Machines to Create Nearly 60 mn New Jobs in 2025, says WEF

Machines will overtake humans when it comes to performing more tasks at the workplace by 2025. However, there could still be 58 million net new jobs created in the next five years, according to the World Economic Forum.

Developments in automation technologies and artificial intelligence could witness 75 million jobs displaced, according to the WEF report “The Future of Jobs 2018.” On the other hand, another 133 million new roles may emerge as companies shake up their division of labor between humans and machines. This can be calculated to 58 million net new jobs being created by 2022.

At the same time, there would be “significant shifts” in the quality, location and format of new roles, according to the WEF report, which indicated that full-time, permanent employment may potentially fall.

Some companies could choose to use temporary workers, freelancers, and specialist contractors, while others may automate many of the tasks.

New skill sets for employees will be needed as labor between machines and humans continue to evolve, the report said.

Machines are expected to perform around 42 percent of all current tasks in the workplace by 2022, compared to only 29 percent now, according to the companies polled by WEF. Humans are seen to be working an average of 58 percent of task hours by 2022, higher than the current 71 percent task hours.

Artificial intelligence and its effect on jobs has become a hot issue of debate and many experts have forecasted that machines will ultimately replace millions of jobs in the next decade. Even so, the traditional wisdom among many business executives is that AI will also create new jobs.

An analysis from global audit firm PwC also made similar predictions. It stated that AI, robotics, and other forms of “smart automation” technologies could boost productivity and create better products and services.

Even if some jobs will be displaced or “fundamentally changed in nature,” new jobs will also be created and the long term net effect should be positive for the economy as a whole.

The WEF report was based on a survey of human resources officers, strategy executives, and CEOs from over 30 global companies in a wide-ranging set of industries. Respondents represented more than 15 million employees and 20 developed and emerging economies that collectively represent some 70 percent of the global economy.

The outlook for job creation remains positive even if almost half of all companies expect their full-time workforce to shrink over the next several years, according to the WEF report. That’s because the firms now have a better grasp of how technology creates new business opportunities.

According to Saadia Zahidi, who is the head of the Centre for the New Economy and Society, companies need to invest in their employee in order to stay competitive even though automation could give them a boost.

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