Prepare For Increased Automation In The Economy

By Soko Directory Team / October 16, 2020 | 9:34 am




By Nsunjo Erica

What the COVID-19 pandemic has impacted at almost 80 percent are the economies, disruptions in production, manufacturing, supply, and consumer chains have been the order of the day, businesses closed.

Business owners were forced to shut down Factories and warehouses as a measure to combat the spread of COVID-19 to protect their workers, business has been affected by the increased lack of manpower therefore there could be a more automated workforce.

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.

More countries are now expected to adopt more usage of robots than the human workforce because typically, no one is sure of when the pandemic is to end and when people can officially return to their workplaces and work like the previous normal.

Economic analysts warn that almost half of all jobs worldwide could be automated by computers within two decades and “no government is prepared” for the tsunami of social change that will follow, during the post-COVID-19 period.

In 2017, The McKinsey Global Institute cautioned that as many as 375 million workers will need to switch occupational categories by 2030 due to automation, with the outbreak of the pandemic the numbers are expected to rise.

Prior to the COVID-19 outbreak, estimates on the specific impact of automation will have on jobs varied drastically: McKinsey projected up to 30% of jobs in the US will be automated by 2030,

Automation is very impactful to the economy, the negative impact my outweigh the positive, automation will lift productivity and economic growth, but millions of people worldwide may need to switch occupations or upgrade skills

READ: Kenya Imports About 80% Of Honey But Potential Lies Within

The World Economic Forum (WEF) estimated the emerging professions resulting from automation could account for 6.1 million jobs globally between 2020 to 2022, the global pandemic will impact jobs in the long term.

The pandemic has affected many sectors of the economy but manual sectors like agriculture have felt the heat. After suffering severe labor shortages due to COVID-19, advanced-economy farmers will probably attempt to mitigate the risks stemming from dependence on foreign seasonal workers by automating more of their operations.

Previously, an analytical survey by the World Economic Forum showed that unemployment is seen as the biggest worry over the next 10 years for business executives around the world following the destructions caused by the COVID-19 pandemic.

“The employment disruptions caused by the pandemic, rising automation and the transition to greener economies are fundamentally changing labor markets,” said Saadia Zahidi, managing director at the World Economic Forum (WEF).

Unemployment rates have rocketed due to lockdowns and other restrictions to combat the COVID-19 pandemic, with fears of worse to come in countries that have furloughed workers.

READ: 65% of Kenya’s Workforce Already Earning Less Due To Covid-19





About Soko Directory Team

Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system.Find us on Facebook: facebook.com/SokoDirectory and on Twitter: twitter.com/SokoDirectory

View other posts by Soko Directory Team


More Articles From This Author







Trending Stories










Other Related Articles










SOKO DIRECTORY & FINANCIAL GUIDE



ARCHIVES

2020
  • January 2020 (272)
  • February 2020 (310)
  • March 2020 (390)
  • April 2020 (321)
  • May 2020 (335)
  • June 2020 (327)
  • July 2020 (334)
  • August 2020 (276)
  • September 2020 (214)
  • October 2020 (214)
  • 2019
  • January 2019 (253)
  • February 2019 (216)
  • March 2019 (285)
  • April 2019 (254)
  • May 2019 (272)
  • June 2019 (251)
  • July 2019 (338)
  • August 2019 (293)
  • September 2019 (306)
  • October 2019 (313)
  • November 2019 (362)
  • December 2019 (319)
  • 2018
  • January 2018 (291)
  • February 2018 (213)
  • March 2018 (278)
  • April 2018 (225)
  • May 2018 (238)
  • June 2018 (178)
  • July 2018 (256)
  • August 2018 (249)
  • September 2018 (256)
  • October 2018 (287)
  • November 2018 (284)
  • December 2018 (185)
  • 2017
  • January 2017 (183)
  • February 2017 (194)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (205)
  • July 2017 (190)
  • August 2017 (195)
  • September 2017 (186)
  • October 2017 (235)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (165)
  • February 2016 (165)
  • March 2016 (190)
  • April 2016 (143)
  • May 2016 (245)
  • June 2016 (182)
  • July 2016 (271)
  • August 2016 (248)
  • September 2016 (234)
  • October 2016 (191)
  • November 2016 (243)
  • December 2016 (153)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (166)
  • April 2015 (108)
  • May 2015 (116)
  • June 2015 (120)
  • July 2015 (148)
  • August 2015 (157)
  • September 2015 (188)
  • October 2015 (169)
  • November 2015 (173)
  • December 2015 (207)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950