Expect More Jobs And More Automation In The Post-COVID-19 Economy
April 10, 2020 / Shahin Farshchi, Contributor
The COVID-19 pandemic has halted economic activity globally. Factories and warehouses are forced to shut down to protect their workers, while those that are essential struggle with preventing outbreaks. Could a more automated workforce have alleviated the economic damage COVID-19 has caused? The International Federation of Robotics (IFR) reported the cost of robots has decreased and continues to decrease enabling wide adoption. South Korea has seven robots per 100 workers and every third robot installed is in China. A 2019 report by Oxford Economics predicted 12.5 million manufacturing jobs will be automated in China by 2030. In the aftermath of the pandemic, it could be many more.
So what does this mean for workers? Before the crisis hit, fearful reaction and alarmist headline buzz immediately harkened to predictions of massive job loss, disproportionate allocation of prosperity and further political polarization. Now that we are in the midst of massive job loss, that hasn’t been caused by automation, the question is now “How can automation accelerate our recovery and protect us from future pandemics?”
Prior to the COVID-19 outbreak, estimates on the specific impact automation will have on jobs varied drastically: McKinsey projected up to 30% of jobs in the US will be automated by 2030, and “automation and AI will lift productivity and economic growth, but millions of people worldwide may need to switch occupations or upgrade skills.” The World Economic Forum (WEF) estimated the emerging professions resulting from automation could account for 6.1 million jobs globally between 2020 to 2022. We have yet to see how the global pandemic will impact jobs in the long term, but it’s safe to assume that we will see acceleration in automation where it keeps human workers, and consumers, safer.
