Automation is becoming increasingly prevalent in the workforce, with advanced robots taking on tasks from the assembly line to the front desk. This trend is expected to have a significant impact on the future of work.
According to a report from the McKinsey Global Institute in 2017, there is a projected estimate of 73 million jobs that will be eliminated by 2030 due to technological advancements.
However, despite the alarming prediction, some experts have a more optimistic view and suggest that the number of workers who will be displaced might be lower than initially estimated.
“Automation will undoubtedly play a significant role in shaping the future of the workforce,” stated Elliot Dinkin, the president and CEO of Cowden Associates, a prominent US management consulting firm. There are indications, though, that its impact on downsizing might not be as significant as previously anticipated.
According to him, the most significant job cuts in recent times were primarily driven by market dynamics, corporate consolidations, and unfortunate business choices, rather than the adoption of new technology.
When utilized effectively, automation can ignite business growth and create employment opportunities, according to Dinkin. He highlighted the potential of cutting-edge technology to enhance productivity, drawing inspiration from Ford’s success.
With the implementation of new production strategies like lean manufacturing, the car company made significant improvements. They also expanded their workforce by hiring almost 130,000 additional employees. Additionally, they introduced advanced machines that reduced assembly time from half a day to slightly over an hour.
Workforce reductions will always be a possibility, both in the future and the past. Automation will continue to be a factor in these decisions, alongside other important considerations, according to Dinkin.
Understanding the situation and ensuring fairness to all parties is of utmost importance. When it comes to our business practice, we strongly encourage both labor representatives and corporate management to approach workforce decisions with a focus on analysis rather than passion,” he stated.
