Presentation on job automation made at the Workshop on Territorial Mapping and Modelling of Education and Skills across EU Regions, held on 11 October 2018 in Brussels, Belgium.
Presentation by David Bartolini, OECD Local employment, skills and social innovation division, CFE.
More information: http://www.oecd.org/cfe/leed/local-employment.htm
2. LEED flagship publication
• Launched on 18th September 2018
• LEED flagship biennial publication
Table of content
Executive summary
Chapter 1: The local dimension of job
automation
Chapter 2: The geography of non-standard work
Chapter 3: Fostering social inclusion in local labour
markets
Country profiles
Available at http://www.oecd.org/publications/job-
creation-and-local-economic-development-26174979.htm 2
3. • Frey & Osborne (2013), 47% of jobs at risk of automation in USA
• OECD 14% of jobs at high risk of automation (USA, 10%)
Country level estimates varies according to methodology
0
10
20
30
40
50
60
70
High risk of automation Significant risk of change
5. Large differences in the impact of automation
Percentage of jobs at high risk of automation, highest and lowest performing region, 2016
Source: OECD calculations based on Labour Force Surveys
Oslo and Akershus
Helsinki-Uusimaa
Stockholm
Delaware
London
Prague
CapitalR.
Île-de-France
FlemishBrabant
Lazio
Ontario
Madrid
SouthernandEastern
EastAustria
Mazovia
Attica
WesternSlovenia
BratislavaRegion
HedmarkandOppland
EasternandNorthernFinland
SmalandwithIslands
Nevada
NorthernIreland
CentralMoravia
SouthernDenmark
Champagne-Ardenne
WestFlanders
Marche
NewfoundlandandLabrador
Murcia
Border,MidlandandWestern
WestAustria
Swietokrzyskie
CentralGreece
EasternSlovenia
WestSlovakia
0
5
10
15
20
25
30
35
40
45
50
Bottom region Top region
6. What regional characteristics explain the regional
difference?
Below 25% Between 25%
and 40%
Above 40%
Shareofjobsathighriskof
automation
Share of the workforce with
tertiary education
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
Below 40% Between 40%
and 80%
Above 80%
Share of the population living in
Functional Urban Areas
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
Below 25% Between 25%
and 40%
Above 40%
Share of employment in the
tradable sector
7. • Yes, in 80% of regions
it is happening
• Employment trends
2011-16
• By occupation
Is automation actually happening?
25%
26%
27%
28%
29%
30%
2011 2012 2013 2014 2015 2016
SHAREOFTOTALEMPLOYMENT
Low-risk occupations High-risk occupations
Employment trend in the most and least risk occupations
8. In most regions high-risk occupations are replaced by low-
risk ones
60%
10%
22%
9%
Creating jobs, predominantly
in less risky occupations
Creating jobs, predominantly
in riskier occupations
Losing jobs, predominantly in
riskier occupations
Losing jobs, predominantly in
less risky occupations
Help workers
transition to better
jobs
Help firms transition
to digital economy
Help workers
transition to better
jobs and spur job
creation
Need employment to
complement regional
development policies
Policy
9. Example 1: job losses in high-risk occupations are offset
by job created in low-risk occupations
9Source: OECD calculations based on EU Labour Force Survey
Mazowieckie (Poland)
Employment growth (2011-16): 2.1% Lower risk
26 – Legal, Social and Cultural
professionals
31 – Science and Engineering
associate professionals
Higher risk
83 – Drivers and mobile plant
operators
91 – Cleaners and helpers
10. Example 2: jobs are mainly created in high-risk
occupations
Lower Normandy (France)
Employment growth (2011-16): 2.2%
10
Lower risk
13 – Production and specialised
services managers
24- Business and administration
professionals
Higher risk
93 – Labourers in construction,
manufacturing and transport
81 – Stationary plants and
machine operators
11. Example 3: regions decreasing employment in high-risk
occupations
11
Source: OECD calculations based on Quintini (2018, forthcoming) and EU Labour Force Survey
Catalonia (Spain)
Employment growth (2011-16): -0.6%
12. Example 4: Regions losing mainly low-risk occupations
12
Source: OECD calculations based on Quintini (2018, forthcoming) and EU Labour Force Survey
Abruzzo (Italy)
Employment growth (2011-16): -2.7%
13. What policy response?
– Trade offs:
• Boosting productivity may require introducing more automation in
sectors exposed to international competition (tradable) with the
consequence of (short-run) technological unemployment
• Creating jobs today in high-risk occupations may expose workers to
future risks and hinder the transition to a more digital economy that is
essential to improve regional competitiveness
– These trade-offs are more or less severe according to the
regional economy
– Policy responses should aims at helping all workers and places
to seize the opportunities from automation and digitalisation
14. • What types of jobs are created and in which sectors?
– The rise on non-standard contracts
– The importance of the tradable sector for productivity and
competitiveness
• Are people and places ready to benefit from technological
progress?
– Workers can react by upskilling, moving to another
sector/occupation or moving to another region
– How can policy make sure all can benefit from technological
progress?
Concluding remarks