As China witnesses a boom in humanoid robotics, companies in the sector are offering salaries more than three times the urban average to lure top engineers and AI talent – underscoring a deepening talent crunch that even industry leaders acknowledge.

The average monthly pay for humanoid robot algorithm engineers now stands at 31,512 yuan (RM18,670 or US$4386), rising up to 38,489 yuan (RM22,804) for roles requiring more than five years of experience, according to a new report released this week by online recruitment platform Zhaopin.

That is nearly four times the nationwide urban average salary of 10,058 yuan (RM5,959) per month, based on the firm’s most recent compensation data for the third quarter of 2024.

Mechanical design engineer roles in the field also command strong wages, with an average salary of 22,264 yuan (RM13,191).

Soaring pay in the humanoid robotics sector stands out as a rare bright spot in an otherwise subdued hiring landscape. China’s job market remains under pressure from slowing economic growth and falling corporate earnings, leading to widespread lay-offs and pay cuts across industries.

The youth unemployment rate, excluding students, eased slightly to 15.8% in April, down from 16.5% in March, according to official data. But with a record number of graduates set to enter the workforce this summer, the labour market faces growing strain.

Job openings in China’s humanoid robotics sector surged 409% year-on-year in the first five months of 2025, while job applications jumped 396%, according to Zhaopin.

In contrast, the broader robotics industry saw a modest 6% rise in openings and a 32% increase in applicants over the same period.

“The rapid evolution of embodied intelligence, coupled with growing demand in smart manufacturing and elder care, is accelerating commercialisation in humanoid robotics and driving a hiring boom,” the report’s authors said.

“Compared with traditional robots, humanoid systems involve more complex algorithms and mechanical structures, requiring highly specialised talent, and prompting companies to offer premium salaries.”

As China rolls out sweeping national and local policies to support the sector, 2025 is widely seen as a pivotal year for the mass production of humanoid robots.

The market is projected to reach 5.3bil yuan (RM3.14bil) this year – more than double the estimated size in 2024 – according to a report released at the inaugural China Humanoid Robot Industry Conference.

By 2029, the humanoid robot market could hit 75bil yuan (RM44.43bil), accounting for 32.7% of the global total – which would make China the world’s largest player. Looking further ahead, the domestic market’s value is expected to swell to 300bil yuan (RM177.74bil) by 2035, according to the report.

Even Unitree, one of China’s leading humanoid robot start-ups, is feeling the talent crunch.

“We’re short on people across the board – from admin and procurement to R&D, sales and marketing. Everyone is welcome,” founder Wang Xingxing told the media at a youth entrepreneurship forum in Shanghai last month.

At a recent embodied intelligence forum in Beijing, Zhao Tongyang, founder of Zhongqing Robots, made a direct pitch to AI talent focused on humanoid robot “brains”.

“We’ve got money, manpower, and a flat structure,” he said. “Come talk to us.”

By the end of 2024, China had 451,700 companies in the intelligent robotics industry – a 207% increase from 2020 – according to data from the State Administration for Market Regulation. – South China Morning Post