Nearly 80 million ASEAN employees could see jobs reshaped by GenAI, ILO finds

Nearly 80 million employees in ASEAN are employed in occupations with at least some exposure to generative AI (GenAI), underscoring the technology’s growing influence on the region’s workforce. However, widespread job displacement has yet to materialise, according to a new report by the International Labour Organisation (ILO).

The report, Generative AI and labour markets in ASEAN: Significant exposure, limited disruption, uneven preparedness, examines the implications of GenAI adoption across the 11 ASEAN member states, assessing both occupational exposure and emerging patterns of workplace adoption.

The study estimates that 22.9% of ASEAN’s workforce, or nearly 80 million people, are employed in occupations with more than minimal exposure to GenAI. However, only 3.3% of employees, equivalent to 11.7 million people, are employed in occupations classified as having the highest level of exposure. Meanwhile, about 67% of employment remains concentrated in occupations with no identified exposure to the technology.

The findings suggest that while GenAI is poised to reshape many roles, it is more likely to augment work than replace it in the near term. Employment in highly exposed occupations has continued to grow across the region, with the report concluding that although the potential for labour market transformation is significant, evidence of widespread disruption remains limited.

Among ASEAN economies with available data, Singapore recorded the highest share of employees in occupations with more than minimal GenAI exposure, at 42.2% of total employment. It was followed by the Philippines (28.1%), reflecting its service- and IT-oriented economy, as well as Indonesia (21.7%), Vietnam (20.8%) and Thailand (20.6%).

Despite relatively high occupational exposure, the report found that GenAI adoption across ASEAN remains in its early, uneven stages. Use of technology is largely concentrated in technology-intensive occupations, while office and administrative roles, despite being among the most exposed, have yet to see widespread adoption.

For HR leaders, the findings point to the need for proactive workforce planning as AI adoption accelerates. The report found that young employees aged 15 to 24 and older adults face broadly similar levels of exposure, suggesting that AI-related workforce transformation will affect employees across generations rather than being confined to younger talent.

However, the research highlighted a significant gender divide. Women are more than twice as likely as men to work in occupations with high GenAI exposure, largely because they are disproportionately represented in clerical, administrative and professional roles. This underscores the importance of ensuring AI adoption strategies are accompanied by inclusive skills development and career transition support.

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The report also identified differences in AI readiness across the region. Singapore was recognised as having one of the world’s most competitive AI ecosystems, supported by advanced digital infrastructure, a strong talent pipeline and a coordinated whole-of-government implementation strategy.

To help ensure AI delivers productivity gains while supporting quality employment, the ILO called for a human-centred approach to AI governance across ASEAN. It recommended expanding upskilling and reskilling initiatives, particularly for women and young employees; supporting micro, small and medium-sized enterprises in overcoming barriers to AI adoption; and strengthening regional cooperation on workforce development and knowledge sharing.

Christian Viegelahn, Economist at the ILO and lead author of the report, said, “Harnessing the benefits of GenAI requires more than access to technology. Productivity gains depend on investments in human capital and social protection. Ultimately, future labour market outcomes will depend less on exposure alone than on the policy choices to build the preparedness and resilience of employees, enterprises and institutions.”