UN Warns Millions of Asia-Pacific Jobs at Risk as AI Adoption Accelerates

Rapid uptake of artificial intelligence across Asia‑Pacific could put millions of jobs at risk, particularly in economies that still struggle with basic digital access and skills, according to a new assessment by UN economists. The report highlights a stark imbalance: while the r

Amelia Rowe

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Amelia Rowe

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Dec 16, 2025

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2 min

UN Warns Millions of Asia-Pacific Jobs at Risk as AI Adoption Accelerates

Rapid uptake of artificial intelligence across Asia‑Pacific could put millions of jobs at risk, particularly in economies that still struggle with basic digital access and skills, according to a new assessment by UN economists. The report highlights a stark imbalance: while the region hosts more than half of global AI users and is expanding its innovation footprint quickly, many workers and smaller economies remain ill‑prepared to adapt.

UNDP data cited in the study shows that six countries in the wider region host more than 3,100 newly funded AI companies, and China alone accounts for nearly 70 percent of global AI‑related patents. The agency estimates that AI could lift annual GDP growth in Asia‑Pacific by around two percentage points and raise productivity by up to five percent in key sectors such as health and finance. However, those gains risk being unevenly distributed unless governments invest heavily in digital infrastructure, education and social protection.

The report warns that lower‑income and less digitally mature economies may face a “double squeeze,” losing labor‑intensive manufacturing and services to more automated neighbors while lacking the capital and skills to build their own AI industries. Routine clerical work, basic coding, back‑office processing and some customer‑service roles are identified as especially vulnerable, with women and younger workers in precarious employment facing disproportionate risks. Without targeted retraining programs, the transition could widen inequality within and between countries.

At the same time, the study stresses that AI also opens up opportunities in new occupations, from data‑labeling and AI safety to domain‑specific prompt engineering, as well as in sectors where human judgment and creativity remain central. Policymakers are urged to focus not only on headline innovation metrics but on building inclusive digital‑skills pipelines, strengthening labor‑market institutions and ensuring that social‑protection systems can handle more frequent job transitions. Doing so could help the region capture AI‑driven growth while cushioning the social costs of disruption.

Countries in Southeast Asia and the Gulf are already beginning to respond. Initiatives range from national AI strategies and dedicated training centers to partnerships with cloud providers that bundle compute access with workforce‑upskilling programs. The UN economists argue that such efforts must be scaled up and better coordinated across borders, including through regional organizations, to prevent a patchwork of AI “winners” and “left‑behind” states from emerging within Asia‑Pacific. The next few years, they conclude, will be critical in determining whether AI deepens divides or becomes a tool for shared prosperity.

Amelia Rowe

Written by

Amelia Rowe

Senior correspondent · Markets & Sovereign Capital

Amelia spent eight years inside a sovereign wealth fund before deciding she'd rather write about institutional money than allocate it. She covers central banking, sovereign capital, and the macro decisions that quietly choose which markets get the next decade. Sharp on monetary policy; impatient with anyone who confuses noise with signal. Based in London. Reach out at amelia.rowe@theplatinumcapital.com.