Source | LinkedIn : By Brigette Hyacinth
A joint research by MIT and Boston University studied the effects of increased use of industrial robots between 1990 and 2007. Results estimate
s an extra robot per 1,000 workers could potentially cut 5.6 human jobs. In that period, industrial robots alone have eliminated up to 670,000 American jobs. China is also building fully automated factories. In some cases, 1 robot can do the work of 140 human workers.
As estimated by Deloitte, around 39% jobs would be replaced in legal services and around 6% jobs are supposed to be replaced in the next 5 years. Similarly accountant jobs have 95% chance of being replaced. Jobs like insurance underwriters and claims representatives, bank tellers and representatives, financial analysts and construction workers, inventory managers and stock listing
s, taxi drivers, and manufacturing workers jobs are coming into extinction. All of these fields employ s a huge headcount.
Blue collar manufacturing jobs are being replaced at an increasing rate by the hundreds of thousands as robots are being deployed into many factories and workplaces across the world. Research from KPMG suggests that Robotic Process Automation (RPA) offers a 40% to 75% reduction in costs. RPA-based processes run non
–stop, 24 hours a day, 365 days a year and they’re fast.
New technologies will create new opportunities in many fields. There’s an unprecedented shortage of programmers, data scientists, cybersecurity experts and IT specialists, among others. For example, there’s currently a 1 million shortage of skilled workers in the cybersecurity sector. According to ISC2, that number will rise to 1.5 million by 2020. Additionally, a study of job ads from April found more than 10,000 vacancies in the US for people with AI or machine-learning skills.
Some economists claim automation will create many more jobs than those lost. Boston University economist James Bessen
, stated that “in the 45 years since the introduction of the automated teller machine, the number of human bank tellers employed in the United States has roughly doubled.” What Bessen doesn’t take into account is that the US population increased by roughly 120 million people since the introduction of the ATM into the US, so population (as well as increased services) helped to contribute to an increase in bank tellers.