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Business, Management and Economics Research

Online ISSN: 2412-1770
Print ISSN: 2413-855X

Quarterly Published (4 Issues Per Year)





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Volume 10 Number 1 December 2025

Transforming Labor Markets in the Feeling Economy: A Case Study of Aged Care Industry


Authors: Jiaqi Chen ; Jiaheng Chen ; Yiru Chen ; Jiatong Jiang ; Weijie Liu
Pages: 1-6
DOI: doi.org/10.32861/bmer.101.1.6
Abstract
The emergence of the "feeling economy" signifies a fundamental shift in labor markets, where emotional intelligence and interpersonal skills are becoming paramount as automation assumes routine cognitive and physical tasks. This transition is acutely evident in the aged care sector, which serves as a critical case study. While AI and robotics automate duties like patient lifting and monitoring, demand is increasing for human caregivers to provide empathy, complex communication, and emotional support. However, significant supply-demand contradictions threaten this transition. An aging global population is escalating demand, yet the labor supply is constrained by systemic issues: educational programs that undervalue emotional skills, low wages and social status leading to high turnover, and a pervasive skills mismatch. To bridge this gap, integrated policy solutions are required. These include reforming vocational education to certify emotional care competencies, implementing wage incentives to improve retention, leveraging immigration pathways to expand the skilled workforce, deploying assistive technologies to reduce routine workload, and launching public campaigns to enhance the profession’s societal value. Proactively addressing these challenges is essential to building a resilient, skilled care workforce capable of meeting the human-centric demands of the future economy.