At a recent conference on the role of the good employer, I was interested to hear that people born after 1980 are now known as the 'Generation Y'. With this in mind, I thought it would be interesting to compare 'Generation Y' with 'Generation X', people born between 1965 and 1980; and the 'Baby Boomers', those born between the end of the second war (WWII) and 1965.

The table below illustrates a changing global culture, and one which Hong Kong wil have to follow. In China, however, which is more conservative and less exposed to the impact of globalisation, it seems that the 'Generation Y' is responding much slower to these global trends. This group is displaying more of the characteristics of 'Generation X' than of 'Generation Y'. As such, it might be more beneficial for local employers to recruit PRC Graduates rather than Hong Kong graduates, especially as the employment market opens, following China's entry to the WTO.

During the 1980s and 1990s, much of Hong Kong's economic prosperity resulted from its rapid integration with China. But as China becomes more and more independent, Hong Kong's role has started to change from that of investor and pathfinder to that of facilitator and regional financial base. Hong Kong is now, more than ever, working with China on an equal footing.

The significance of this change is that China no longer needs to recruit as many people from Hong Kong as it has done in the past. The skills sets demonstrated by China's workforce have much improved. In many ways, PRC workers are as technically competent as their Hong Kong counterparts, but they also work harder, are more adapt to the Mainland work environment and are more ready to accept a lower salary.

In light of this, it makes sense that the demand for Hong Kong graduates in the PRC is diminishing - although Hong Kong's top graduates still have the edge over their PRC-education peers.

For the time being, Hong Kong qualifications, especially those awarded by professional bodies, are still better recognised internationally. Our 'Generation Y' accountants, for example, are generally able to speak English and use information technology, as well as being at ease in a competitive multi-cultural environment. As such, Hong Kong graduates are likely to be able to communicate well with their bosses and with their foreign colleagues. Social skills, linguistic skills, technological skills and communication skills are attributes which have saved the day for many Hong Kong graduates.

I believe therefore that Hong Kong graduates will still be in demand in the future, albeit in smaller numbers. They will rise through the ranks more quickly than their China counterparts. However, at the junior management level, I foresee less demand for Hong Kong graduates as more Chinese graduates become capable of taking on more challenges.

Our best hope for Hong Kong graduates is that they sharpen their skills to enable them to compete for more senior positions. Otherwise, the weaker Hong Kong graduates are likely to face a less than rosy career path than at present.

But despite the obvious competition from the Mainland, recent surveys suggest that many of our fresh graduates are not confronting this reality. For those who still treat Hong Kong as a local village, and for those who will not explore beyond the realm of the 'cantopop' culture to learn English and Mandarin, it would not surprise me if they find themselves quickly overtaken by the army of say one million Mainland 'Generation X' graduates above to storm over the border.

From Baby Boomer to Generation X to Generation Y