Automation Could Eliminate 800 Million Jobs

Recent developments in Artificial Intelligence and robotics may soon replace 800 million workers around the world by 2030 according to a new study.

The study gathered by the McKinsey Global Institute was conducted in 46 countries and 800 occupations. It is also said that at least one-third of the workforce in some developed countries like the United States and Germany may need to retrain for other tasks.

“Jobs that require human interaction such as doctors, teachers, lawyers, and bartenders are less prone to automation. However, tasks carried out by paralegals, accountants, mortgage brokers, and other back- office positions are vulnerable to automation. Lower-wage jobs that require specialized skills such as gardening, plumbing, and even care work will also be affected by the technological advances.”

According to BBC, at least 39 to 73 million jobs may be eliminated in the US alone. However, 20 million of those workers may be able to find other jobs in other industries.

20% of current jobs in the UK will also be affected by automation in the same period.

Government Can Lessen the Negative Effects of Automation

The study also shows that the effects of this transition can still be mitigated if governments will act on it.

One prime example is America’s transition out of Agriculture, emphasizing that the decrease in available farming jobs in the country was accompanied by prioritizing secondary education, and new laws that enforce compulsory attendance.

This resulted in an increase in an educated workforce that helped build a thriving manufacturing industry. The report also states that technology often results in new jobs; existing jobs will be redefined, and some workers can have the opportunity to switch careers.

The biggest hurdle that this generation has is how to manage the transition. There is a high chance that income inequality will be more apparent and can possibly lead to political instability.

If you liked this article and would like to engage with other small business entrepreneurs selling on marketplaces, join our . You can also find us on , , , and or sign up for our newsletter below.