What's for breakfast? Nuts and Bolts

"So it has taken over completely," the girl finished. She nodded. "Now I understand." - Do Androids Dream of Electric Sheep? Philip K. Dick

Is Manual Labour Done For?

It is estimated that by 2050, there will be more humanoid robots roaming the US than actual people living there.

63 Million robots are expected to be employed, impacting 75% of all jobs and 40% of the workforce in the US alone and a $3Tr impact on wages.

In Japan, it is expected that robots to take on 50% of the workforce by 2032, meaning robots might be the greater majority working by 2050.

52% of the world's industrial robots originated in China, a 272% increase from a decade earlier.

China's workforce also has 12 times more robots than previously expected, meaning its overall reliance on robots is very significant.

This means, taking into account these are the 1st, 2nd and 4th largest countries in the world in terms of GDP, it seems the future isn't rosy, unless "Rosy" is one of your robots' names.

How did this Happen?

The rate at which technology is moving forward and the life cycle of products become obsolete has turned into 6 months on average, down from 18 months 20 years ago.

This progress, coupled with the permutations of low birth rates, downturn markets, pandemics and remote work, has turned the world into a giant sandbox in which automation, AI and robots reign supreme, while people are being pushed to the fringes of society.

This shouldn't come as a surprise to people, though; this is but a manifestation of Newton's Third Law: "For every action in nature, there is an equal and opposite reaction."

People's dire wish to work remotely (or not work at all) on their own terms, going on TikTok and badmouthing their employers or worse: Document their firing process and going live, embarrassing themselves and others in the process, has made many employers take on a hawkish stance regarding employees, weaponising the newest (widely available) tool: AI.

How AI Impacts Employees

14% of all workers were already displaced by AI, with 30% of employees feeling that AI is about to take their jobs, whereas in India alone 74% of employees feel that way.

Considering that is the 5th largest economy in the world in terms of GDP and the G20's champion, these numbers are very much alarming.

We have discussed the fact India's global market share in Business Process Outsourcing was around 20%, whereas Indian BPO firms handle 56% of the globe's IT demand specifically. This means that if AI displaces these jobs - that could turn out to have a huge impact which may work against other countries' wish to enter these fields, such as Vietnam's, Indonesia's, Ukraine's or Poland's.

What could be done then?

AI is like Penicillin

AI is a remedy, but it only helps if you build an entire strategy behind it.

Similarly to penicillin then, AI could either do nothing, cure or kill (any prospects of employment).

AI, robots and automation could create upwards of 180-200 Million jobs, according to McKinsey, meaning that if 300 Million people are to be displaced because of these, only a third (!) will go through retraining.

But it's up to the ones displacing employees to build such retraining programmes, together with the same governments which are pushing to implement AI and robots in the workforce.

Not only that, but people with no employment prospects, are even less likely to reproduce, which means countries will see even lower birth rates than they see today.

That also means that robots will be the ones taking care of the elderly, possibly creating a larger schism within society and leading to higher depression and anxiety levels all around, meaning AI may not cure anything that way.

What can employers do?

Start building for the future, mostly if they wish to retain human talent and not be overreliant on robots to do their bidding.

By creating better experiences for their employees, employers and governments can turn the tide on birth rates, anxiety and depression signals.

Taking AI For A Spin! ?????

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