Hong Kong must embrace talent of all ages

If Hong Kong is to remain competitive in the global economy it must find a balance between embracing its ageing workforce and continuing to develop new entrants to the labour market.

The number of people aged 65 and over is expected to surge from the current one million to 2.6 million in 2041, becoming one person in three. As Hong Kong's population ages, the pool of working age people aged 15 to 64 may start to shrink as early as 2018.

If the rate of participation in the labor force declines, it will affect economic growth and domestic consumption in Hong Kong. It therefore makes sense for Hong Kong employers to retain mature age workers for as long as they can.

But by embracing its ageing workforce Hong Kong employers must not neglect the training and development of new entrants to the labour market. If Hong Kong is to maintain its competitive edge it needs to ensure it has a future pipeline of talent who have the skills and experience necessary to replace the territory's ageing workforce when they do eventually retire.

Failure to do this will result in a skills shortage that could take many years and a significant amount of investment to rectify.

That's why it's important for employers to retain highly-valued, well educated, and experienced older workers, while focusing on the recruitment and development of the next generation of employees. Ultimately, employers should be recruiting, developing, and training staff at all levels and of all ages.

It is essential for Hong Kong businesses to continue to train and develop competent people of all ages in order to ensure their workforce continues to evolve to changing market conditions. When someone does decide to retire, companies need to have suitably trained and experienced professionals in place to fill the skills gap.