Minimum income schemes needed for job loss due to automation: Study

Certain sectors are expected to experience shrinkage of employment demand as robotic systems and algorithms take up several tasks

GN Bureau | May 2, 2017


#Universal Basic Income   #UBI   #Economic Survey   #Narendra Modi   #Demonetisation   #Budget 2017   #Economy   #Renana Jhabvala   #Sewa Bharat   #Economic Survey  


With the Indian IT and other industries facing daunting challenges from protectionism in the US and Artificial Intelligence (AI), an ASSOCHAM-PwC study has made out a case for government –industry schemes that ensure a minimum income to those displaced , along with basic health facilities for the families in stress.

It said there are concerns in a number of industries related to loss of jobs, arising out AI and robotics and the solution lies in facing the issue upfront and skilling up the country's human resource.

Read --  Universal Basic Income: The big idea takes tiny steps

“In light of technology advances, certain sectors are expected to experience shrinkage of employment demand as robotic systems and algorithms take up several tasks. It can be expected that IT, manufacturing, agriculture etc will experience such a demand shift,” the study noted.

Quoting Oxford University researchers Carl Frety and Michael Osborne, based on 702 occupational groupings, workers in tele-marketing, hand sewers, mathematical technicians, insurance underwriters, watch repairers, cargo agents, tax preparers have a very high probability of being replaced by automation.

The ASSOCHAM-PwC Paper suggested that even though the churn arising out of automation would throw new opportunities, certain basic cushion must be given to those who may get affected by the AI and robotics and other automation technologies.

The paper made a strong case for universal benefits outside employment structures. “If a large number of people end up unemployed for extended periods of time, there needs to be a way to provide healthcare, disability and pension benefits outside employment.”

It also sought a minimum income to sustain households. “In the event of continuous unemployment or under-employment, government schemes to provide a minimum level of income to each citizen to guarantee basic needs are necessary to keep them out of destitution. Proposals must be structured in a way so as to maintain a balance between benefits and incentives for engagement – for example by involving the unemployed in social and community initiatives”.

The ASSOCHAM–PwC Paper sought creation of separate funds by the companies for skill re-training of employees. “Companies can contribute a set amount to an individual's fund which can then be transferred as the individual switches jobs.  The goal of such an initiative will be o incentivize lifelong education and up-skilling."

Comments

 

Other News

Charming tales of the Snakeman’s early years

Snakes, Drugs and Rock ’N’ Roll: My Early Years By Romulus Whitaker with Janaki Lenin HarperCollins, 400 pages, Rs 699

Gripping graphic narrative helps make sense of pandemics past

The Moral Contagion By Julia Hauser and Sarnath Banerjee HarperCollins, 140 pages, Rs 699 The world has lar

“Globally, there is unprecedented positivity for India”

Addressing the Viksit Bharat Viksit Uttar Pradesh program in Lucknow on Monday, prime minister Narendra Modi launched 14,000 projects across the state, worth more than Rs 10 lakh crore at the fourth groundbreaking ceremony of UP Global Investors Summit held in February 2023. The projects relate to sectors

World’s biggest bird-a-thon begins in India

During the four days from Feb 16, more than a thousand birdwatchers throughout India are coming together with the goal of documenting as many birds as possible across the country’s diverse locations. Over one lakh birdwatchers globally participate in the annual Great Backyard Bird Coun

Comments sought on Draft Guidelines for Prevention of Misleading Advt in Coaching Sector

The Central Consumer Protection Authority has sought public comments on the ‘Draft Guidelines for Prevention of Misleading Advertisement in Coaching Sector’. The draft guidelines are placed on the website of the Department of Consumer Affairs and are accessible through the link:

Electoral bond scheme unconstitutional: Supreme Court

In a landmark judgment, the Supreme Court of India has held the anonymous, unregulated and unlimited funding through electoral bonds and companies as unconstitutional. The five-judge Constitution Bench of the Supreme Court comprising chief justice DY Chandrachud and justices Sanjiv Khanna, B

Visionary Talk: Amitabh Gupta, Pune Police Commissioner with Kailashnath Adhikari, MD, Governance Now


Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter