Presented in IUB conference

1. Potential Impact of Automation
on Bangladesh Labor Market in
the GCC countries
9 May 2020

2. Md. Juwel Ahmed Sarker
Assistant Professor
Department of Development Studies
Hajee Mohammad Danesh Science &
Technology University
juweljewel@gmail.com
Md. Abdullah Al Zobair
Lecturer
General Education Department
Bangladesh Islami University
azobair@gmail.com
9 May 2020

3. Background
9 May 2020

4. AI & Automation
AI is a science and engineering of making intelligent
machines
Automation is the application of machines to tasks
once performed by human beings.
Automation has a single purpose: To let machines
perform repetitive, monotonous tasks or “to take
the robot out a human” (PwC, 2018)
This frees up time for people to focus on more
important, creative tasks that require the personal
touch and judgment
9 May 2020

5. Future of AI
AI is going to be a big game changer in the global
economy, and much of the value potential is up for
grabs.
AI could contribute up to $15.7 trillion to the global
economy in 2030, more than the current output of
China and India combined
In the wake of the 4IR, govt. and businesses across the
Gulf are beginning to realize the shift globally towards
AI and advanced technologies
9 May 2020

6. AI in the Gulf
AI is expected to contribute US$ 277bn to the GCC by 2030
The largest gains are expected to accrue to Saudi Arabia where
AI is expected to contribute over US$135.2 billion in 2030
Relatively, the UAE is expected to see the largest impact 14% of
GDP by 2030.
The magnitude of the impact expected in the KSA and UAE
economies is unsurprising given their relative investment in
AI technology
Both the countries place within the top 50 countries in the world
on the Global Innovation Index 2017 in terms of their ability
to innovate and the outputs of their innovation.
9 May 2020

7. The average annual growth in the contribution of AI by region
between 2018-2030 (PwC 2018)
AI in the Gulf
9 May 2020

8. UAE
In the UAE, AI is at the
forefront of the
government’s strategic
plans.
In October 2017, the govt.
launched its strategy for
AI
Alongside this strategy, UAE
appointed HE Omar Bin
Sultan Al Olama as the fist
Minister of State for AI
KSA’s Vision 2030
identifies digital
transformation as a key
goal to activate economic
sectors
To support industries, to
advocate for the
development of public-
private business and to
ultimately reduce the
country’s dependence on
oil, AI was underscored
KSA
9 May 2020

9. Bangladesh Labor Market
• A total of 12.2mn Bangladeshis have migrated
overseas for employment in 1976-2018
• In 2018, a total of 734,181 Bangladeshi workers
migrated to different countries, including the
Gulf, that was 27 % less than the previous year.
• The UAE government’s ban on male labor
migration, nevertheless the GCC is the recipient
of 82 % of total Bangladeshi labor migrate in
2018
9 May 2020

10. Bangladesh Labor Market in GCC
9 May 2020

11. Female Labor Migration in GCC
In 2018, the KSA received 73,713 female migrant workers in 2018,
72.48% of the total flow of female migrants from Bangladesh.
9 May 2020

12. Skill Composition of Bangladeshi Labor
9 May 2020

13. Objectives
The objectives of the study are:
1. To understand the level of automation in
the GCC countries by 2030.
2. To Understand the Positive and
Negative Consequence of Automation
on Bangladesh Labor Market in the GCC
3. To suggest policymakers for modify
labor policy, training module and prep
for grabbing the new jobs in the GCC
9 May 2020

14. Methodology
Basically, the study would be conducted by
content analysis by assessing bulk number of
literatures and reports
The study would employ some key informant
interviews to understand the level of
automation
9 May 2020

15. Expected Outcome
• Automation poses threats for job loss for the
migrant workers at large numbers
• Most of the male migrants to the GCC are
working in the construction sector, where full
automation is still a very far
• The agriculture sector in the GCC would
embrace automation verily but unless full
automation, there are some option, which will
result in decrease of migrant
9 May 2020

16. Expected Outcome
• Female workers involved in house keeping,
cleaning would face a blow but there must
have an operator of machine
• Undoubtedly, the number of workers in the
repeated work would be fewer than today
9 May 2020

17. Conclusion
• Despite huge threat of job loss, we are
hopeful timely intervention would lessen the
negative affect of the automation and bring
comfort and increase output
9 May 2020

18. Thanks for your
patience
9 May 2020