OECD explains risks of automation and its impact on future of work

The rise of new technologies such as Artificial Intelligence (AI), industrial robotics, rapid globalisation and digital transformation has already begun reshaping the world of work. These technological advancements deliver the promise of better and more convenient lives to many, but also disrupt the way of work. 14 per cent of existing jobs could disappear as a result of automation in the next 15-20 years, with another 32 per cent set to change radically, according to a new report from the Organisation for Economic Cooperation and Development (OECD).

The OECD Employment Outlook 2019 foresees major challenges for the future of work, but with the right policies, these risks can be mitigated. To help workers, firms, and countries adapt to the changing world of work, the OECD proposes in this Outlook a Transition Agenda for a Future that Works for All. The report highlights the need to help workers in their job transitions through effective and timely employment services as well as prevention and early intervention measures. 

The Agenda recommends that countries focus on four key areas:

• labour protection
• social protection
• learning 
• social dialogue

Governments should tackle false self-employment, which employers sometimes use to avoid taxes and regulations, minimise the “grey zone” between salaried work and self-employment, and extend rights to workers left in that zone, the report proposed.

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According to Stefano Scarpetta, Director, OECD Employment, Labour and Social Affairs Directorate, "Many workers are poorly protected by traditional labour laws and social policies, or not at all. They too need opportunities to thrive and access to social protection."

The OECD report highlights that the future of work is in our hands and will largely depend on the policy decisions countries make. It will be the nature of such policies, our ability to harness the potential of the unprecedented digital and technological change while coping with the challenges it poses, which will determine whether we succeed or fail.

"We face significant transformation, but we have the opportunity and the determination to use this moment and build a future of work that benefits everyone," said OECD Secretary-General Angel Gurría, launching the report in Berlin with Hubertus Heil, Germany’s Federal Minister of Labour and Social Affairs.