AI adoption cannot justify dismissal

A RECENT ruling by the Hangzhou Intermediate People’s Court in China – declaring that replacing a worker with AI to cut costs does not legally justify termination – serves as a stark warning: rapid technological adoption cannot bypass established labour protections.

For Malaysia, where TalentCorp projects nearly 700,000 workers will face disruption from AI, digitalisation and the green economy within three to five years, this is a legal reality we must urgently confront.