“Will robots, the digital revolution, automation, and artificial intelligence give rise to drastic unemployment? No, but they have the capability to change the labor market and this is already starting to happen” this is the opinion of one of the prominent economist. There is a polarization of labor throughout the world.
Today, technology is perceived as the main rival of employment. Is that true?
At some extent it is true and many studies point out technology as a major cause of increasing unemployment. According to research conducted by Deloitte, 35% of the jobs in the UK are at high risk due to automation in the coming 10 to 20 years. However, the percentage of the job at risk is indeed around 8-10%. Another 25% job will not vanish but will undergo rapid change in the working methodology and hence workers need to put more emphasis towards upskilling.
In reality, you don’t think that there is a risk of widespread unemployment. Why?
The major point is not about which job will increase and which will vanish but how much inequality innovation will bring. There will be a huge gap between those who can have access to a high tech job opportunity with high salary and better career and the majority-those who will be forced to fall behind due to low skills. It is called polarization and is occurring throughout the world.
How does this polarization takes place?
The number of manual jobs that can be automated will go down. According to experts, areas like creative intelligence and social intelligence will be controlled by humans, even though research on artificial intelligence is giving emphasis on the emphatic capacity of the algorithm.
In any case, it is paramount to change the syllabus of schools and universities to give young people to learn the skills which are useful for today’s job market. Also, providing training to workers who are already in the job market. The real task is training and upskilling.
Training is very costly
Training related to new and emerging technology is not cheap. It takes a huge amount of money to get trained. Though there are many options available to get the financing yet there are few for whom accessing the money for training is not so easy. In reality, professional training is not affordable for everyone.
In this situation, one can take help from online lenders. They can take installment loans for bad credit from direct lenders only and pay back in easy and affordable monthly instalment.
Fields in which Automation can be used
In the coming decades, we will see many tasks and jobs getting automated. Not all works will get disappear but we will some works getting done by humans will be replaced by technology.
For example, the customers care service: when we call customer care, the first thing we hear from a computer. We talk to this voice and in some situation; we even get a solution to our issues.
Let’s take another example. The health sector: What do doctors give? A diagnosis and they prescribe some medicine and regular check-up. These processes can be done by a machine. The machine can say: “you have so and so problem, take these medicine”. But the medical persons will still be involved in everything. Why? Because the computer cannot differentiate between who is the real patient, young or old and what is the reason behind illness.
Impact on Financial Services
The digital world is also revolutionizing the banking and financial industry. There are many technologies being used by banks and lending companies these days like Chabot, automatic processes, etc.
With the advent of FinTech companies and their innovative financial products, lending has become very easy. They all have a simple and secure application system. Usages of the latest technology to check the creditworthiness of borrowers is being used on a large scale.
Usages of latest technology like Artificial Intelligence and Data Analysis could bring a major change in the financial sector. With carefully examined data of customers, banks and lending agencies can decide a good borrower and avoid possible loss in the future. With a tremendous capacity to make a big change in the financial sector, technology can prove promising.
In conclusion, we can say that the fear among workers that new technology and automation will eradicate the job for unskilled labor is not 100% true. But it will have some effect and bring some disruption in the job market. With change comes disruption. Only option to cope up with the changing technology is retraining. Hence, it is important for everyone to keep oneself equipped with latest technology change.