Impact of digital technology on employment
New jobs
While there have been many new employment opportunities in the software sector, digital technologies may well have contributed to the decline in traditional manufacturing jobs.
Automation, the introduction of robotics, A system programmed to accept a large number of items of information and, based on rules set in the program, make decisions. and Computer-aided design - the use of computers to assist in any of the phases of product design. and Manufacturing have displaced many jobs. However, the The section of employment that is knowledge-based, eg ICT and research. that supports these digital technologies has grown significantly.
Job displacement occurs when an employee is separated from the job or the job is removed, leaving the individual unemployed. For example, a games company may have employed graphic designers on site, but later outsourced these roles to another company. However, job displacement has largely been countered with job creation in the software sector.
Changing nature of work
Digital technologies have revolutionised the way people can work. Cloud technology and collaborative working allow multiple employees to access files at the same time and from remote locations.
Both working location and working hours can be flexible as many employees work remotely, using internet technologies to communicate with the company and colleagues.
Retraining and reskilling
Because of these changes, many people face the prospect of retraining to acquire the skills needed to access the new roles.
Consider the changing nature of work in the retail sector, the jobs created and lost. The checkout operator replaced by a software engineer. The delivery driver replaced by a drone, or forced to upskill to drone operator. The traditional store replaced by a mobile or web application, with fully automated order and stock control systems. In many cases, these examples are now the norm.