You are on page 1of 1

The gradual automation of the service sector, observed over the past decade, is a very

controversial phenomenon. On the one hand, automation minimizes the costs, but on the other
hand, it has a huge negative effect in the form of job cuts.

The experience of past generations showed that despite significant changes in the labour market,
even people dismissed because of automation were able to find a job. This is clearly
demonstrated by America in the 1950s, when workers moved from an automated production
sector to a service sector. It is then emphasized that any mechanical work after a certain time will
be considered an unskilled profession, especially if the supply on the labour market is too high.
Moreover, it is estimated that even if the top 100 economists in the world offer quality online
courses, there will be a huge demand for those who will conduct research, do applied analysis, or
conduct face-to-face classes. The author highlights that despite the fact that about 40% of jobs
were lost since the beginning of the 20th century, today the percentage of unemployment in the
United States is still the same 5%. Finally, the author assumes that our automated world will
always have a demand for a retrospective that can explain many current trends.

Personally, I also hold the view that the labour market is quite flexible. This can be explained by
the fact that, for instance, with the invention of new technologies that replace manual employees,
the demand for specialists for repair and maintenance of such machines increases. people who
have lost their jobs, a qualitative re-qualification is of vital importance, which governments and
educational institutions should seriously pay attention to. Yet one cannot clearly predict global
trends, but it remains obvious that people can always adapt to them.

You might also like