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Developing countries will face an unemployment crisis as robots could take two-thirds of their jobs, UN report warns

Developing countries will face an unemployment crisis as robots could take two-thirds of their jobs, UN report warns

Date: 14 November 2016 14:34

A recent study from the United Nations showed that robot labour has been taking over a majority of industry jobs worldwide. This trend can continue and eventually lead to a human society where robots do all work.
 
A lot of people -- both laymen and experts alike -- believe that low-wage workers may be the hardest-hit by the time advanced robots start taking on jobs in the workplace. Widespread automation has not just affected North America, but in all developing countries as well.
 
According to the Motherboard, automation of industries will lower opportunities for low-wage workers in North America. However, people in developing countries are more endangered because of this eventuality. This is because a lot of sectors such as farming and manufacturing are not very famous in wealthier countries and are currently doing their businesses abroad -- high profits, low wage costs.
 
According to the United Nations, this trend will "lose about two-thirds of all jobs" worldwide. This is an incredibly dangerous number, but it appears this is all because of the potential of automation. The increased use of robots in developed countries has eroded the traditional labour cost advantage of developing countries.
 
However, while robots may be the external face of the problem, it appears it's also with the behaviour of other corporation. For instance, in China, factory owners are already using robots to automate their businesses. China is currently leading the pack in robot acquisition.
 
However, there may be hope for other countries that aren't that into the automated industry - yet. Countries with a larger pool of low-wage labour workers can excel in areas that robots aren't great (yet), such as garment making. This means the cost of developing and deploying robots can be higher than paying minimal wage to people who know what they are doing.
 
The report added that "disruptive technologies" such as this have their own risks and benefits. However, the economy will eventually demand higher-skill jobs to eventually restore equilibrium. The report also recommends that children learn how to deal with new technology so that they can go towards higher-skill occupations that aren't automated yet.



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