Securing the Future of Work in a Globalised and Hyper-connected World

@AlainDehaze 

In an age of globalisation and hyper-connectivity, numerous paradoxes affect the world of work: record unemployment despite millions of vacancies; job insecurity amidst technological advancements that generate huge opportunities; and booming markets co-existing with stagnant ones.

So how do we secure a future of work where these paradoxes are nullified?

There’s no simple answer, but a valuable first step is to comprehend the underlying conditions that determine the current world of work. Once we have that understanding, it becomes a little easier to determine what can be done.

THE 5 DRIVERS OF THE WORLD OF WORK

I believe there are 5 central drivers that underpin the current and future world of work.

Economic: Today’s globalised economy is subject to continuous and unpredictable change. In order to stay competitive, flexibility is a must: a contingent workforce has a key role to play in addressing businesses’ growing need for flexibility and there is here an urgent need to improve labour flexibility. 

Technology: We know how digitalization has driven a major automation of jobs – 1 out of 2 current jobs is at risk from automation. But the risk varies by country and is based on the policies and investments of local governments. For example, in low-wage countries, which have traditionally attracted manufacturing firms, increased automation, might negatively impact their cost advantage. This is the case of China, and of some Eastern European countries. Developing countries require new growth models and need to up skill their workforce. Cities and regions that have invested in skilled industries, such as information, finance, education and creative industries remain relatively safe from automation.  The best way forward for cities and countries to reduce their exposure to automation and unemployment is then to boost their technological dynamism and attract skilled workers.

Demographic: We are all living longer and having fewer children. By the year 2035, those aged over 65 will be the fastest growing slice of the population and the early retirement in 2050 will be 75. In the meantime, where will we source the young talents we need for the development of our companies and societies? By 2020, many countries will still be experiencing a labour surplus. By 2030, however, this surplus will have turned into a massive shortfall. Countries’ openness is a key solution to tackle the skills gaps and productivity issues brought by the ageing trends. Mobility of workers across borders, guided by appropriate immigration policies, can help to balance surpluses and deficits of skills across the world

Sociology: Based on this scenario, for the first time we, as employers, will be dealing with three to four generations at work (Y / Z) potentially spread around the world. We really need to adapt, and embrace mobility and diversity attitudes.

And Regulation is a red thread through all drivers. In many countries, regulation governing labour stifles job creation, while education that develops employable skills through, for instance, apprenticeship schemes, is sorely lacking.

5 KEY TRENDS THAT DEFINE THE FUTURE OF WORK

Largely as a consequence of the 5 drivers, we can also identify 5 key trends.  

Information technology is making the physical location of work irrelevant, meaning we can work anywhere and anytime.

Largely as a result of the former, global talent mobility will provide employers with a global pool of skilled talent. Beyond the potential to fill skills gaps, mobility will also foster the creation of knowledge, a determinant of innovation, and nurture entrepreneurship.

An inclusive workforce will be ubiquitous in terms of age, gender and cultural origin. Employers need to foster this inclusion and diversity; employees need to be comfortable with it.  

The typical work-life blend will shift. Hyper-connectivity will increase the potential autonomy of employees and work will take place outside traditional working hours and spaces.  

New generations have distinct attitudes to work. The proverbial job for life will likely become a misnomer, and a culture of constant change, fresh challenges, personal responsibility and flexibility in a non-hierarchical structure will become the new norm.

HOW WE CAN COLLECTIVELY SECURE THE FUTURE OF WORK

What do we need to do to cope with these shifts and seize the opportunities at hand?

In order to thrive in this new reality, Companies should foster mobility, boost diversity, and provide ongoing training. Likewise, they should be at ease with employee flexibility and autonomy. And keeping newer generations content demands that they define and uphold sound values.

Regulators should craft simple and fluid labour codes that nurture job creation and make it as easy as possible to fills skills gaps by taking on talent from elsewhere. Meanwhile they should support education schemes that match real-world business needs.

Finally, we have People! To help guarantee their professional prospects, individuals should adopt a spirit of constant learning and approach new opportunities from a global perspective, not just a local one. I appreciate that it’s a brave new world out there and that the new demands can seem daunting. But in these times, such commitment can help guarantee a truly fruitful career.