The Future of Work and Industrial Relations Part 1 ✓ Solved
Context: the perfect storm. We have witnessed a radical transformation of Australia’s labour market: Participation of women in the labour market; Growth in precarious work; Erosion of traditional employment relationships; Concentration of corporate power; Declining union membership; New technologies; Global challenges affecting work locally. What does this mean for the future of work and employment?
Technological transformation: Automation and AI. The spectrum of automation ranges from jobs most likely to be automated to those that are less likely. Lowest paid jobs are more susceptible to automation compared to highest paid jobs, which often require manual dexterity, human interaction, emotional empathy, and judgment. Frey and Osborne (2013) estimate that 47% of jobs in the US are at high risk of automation. However, it is expected that we will see more partial automation rather than full automation.
Case example: Employment impact of AI in Finance. Automation could reduce the banking workforce by 40,000 over the next decade. However, there is an expected boost in employment of certain skills. For instance, in 2018, 6000 head office employees were laid off while 2000 other employees were hired.
Technological transformation: Reshaping the traditional employment relationship - Gig economy. Companies like Uber and Airtasker proclaim user-friendly working conditions, but the reality often lacks the essential hallmarks of a true employment relationship. The gig model raises concerns about workers' rights and protections.
Global phenomena impacting work locally – COVID-19. Certain groups such as women, younger workers, older workers, migrant workers, casual workers, gig workers, and those with pre-existing health conditions are more vulnerable to negative labor market outcomes due to COVID-19. New implications for work methods arise, including flexibility for higher productivity, mentoring, surveillance, and work/life balance.
The State’s industrial relations response includes measures like pandemic leave (unpaid), taking annual leave at ‘half pay’, restrictions on full-time hours, and delayed wage increases in some awards.
Global phenomena impacting work locally – Climate change. The current climate crisis is affecting workplace health and safety, working time, and productivity. Climate change exacerbates the precariousness of work in industries already vulnerable, such as construction. Trade unions have issued directives for workers to stop work if they feel sick or affected by climatic conditions.
New institutions of solidarity are emerging in response to changing workplace dynamics and the growing need for collective support amongst workers amid these transformations.
Summary: The world of work is undergoing fundamental changes due to evolving technology, forms of work, and global phenomena, which have direct implications for industrial relations. The pace and speed of technological changes are unprecedented, necessitating a collaborative approach to decision-making about technology use. Considerations include the impact on training, skill development, government investment, effects on equality, and job quality. Enhancing the safety net for workers is crucial, which involves extending social protections, employment rights, and cultivating new collective institutions and worker activism. Workers are increasingly exercising their voice through new platforms. Gender issues remain a defining characteristic of contemporary work, yet often miss from mainstream discussions concerning the future of work.
Paper For Above Instructions
The future of work is dynamic and constantly evolving, shaped by technological advances, shifting socio-economic conditions, and emerging global challenges. This paper explores the multifaceted implications of these transformations on industrial relations, with a particular focus on the role of automation, the gig economy, and recent global events such as the COVID-19 pandemic and climate change.
Technological Transformation and Automation
Automation and artificial intelligence (AI) have accelerated changes across various sectors, with significant implications for employment. Frey and Osborne's (2013) study suggests that a substantial proportion of jobs (about 47%) in the US are at a high risk of automation. This transformation does not only affect low-skilled positions, but also middle-income jobs that involve routine tasks. Research by Baird and Hamilton (2020) indicates that even traditionally secure jobs are now vulnerable to automation, necessitating a proactive approach to workforce retraining and skill development.
The Gig Economy and Employment Relations
The rise of the gig economy exemplifies the shifting landscape of traditional employment relationships. Platforms like Uber and Deliveroo offer flexibility but often fail to provide adequate labor protections, raising critical questions about workers' rights and the nature of employment (Gupta, 2020). The fragility of gig work, along with the exclusion of these workers from standard employment benefits, has led to growing calls for regulatory reforms to ensure fair treatment and support for gig workers (Kaine, 2020).
Impact of Global Phenomena: COVID-19
The COVID-19 pandemic has exacerbated existing inequalities in the labor market, with vulnerable groups—including women, younger workers, and gig workers—facing the harshest impacts. Studies have shown that the pandemic has compelled many organizations to adopt remote working policies, which may enhance flexibility but can also lead to increased surveillance and difficulties in maintaining work-life balance (Kniffin et al., 2020). The state response, including measures such as pandemic leave and reduced working hours, underscores the need for adaptive industrial relations frameworks during crises.
Climate Change and Labor
Climate change presents another profound challenge to work and employment. The detrimental effects of climate conditions on workplace health and safety are becoming increasingly apparent, particularly in vulnerable sectors like construction (Newman & Humphrys, 2019). The intersection of climate change and labor relations necessitates urgent attention to the risks workers face and the establishment of safety protocols to protect their well-being as the climate crisis evolves.
Future Directions in Industrial Relations
Looking forward, industrial relations must adapt to these challenges by extending protections, promoting worker activism, and fostering new forms of solidarity among workers. The emergence of new worker voices, facilitated by technology, signifies a shift towards more participatory and collective approaches in addressing workplace issues (Avins et al., 2018). Legislative frameworks must evolve to accommodate these changes, ensuring that all workers—regardless of their employment status—are afforded protections and rights that reflect contemporary work realities.
As the future of work continues to unfold, it is essential for policymakers, employers, and workers to engage in constructive dialogue, fostering collaborative efforts that prioritize equity, safety, and respect in the workplace.
References
- Avins, K., Larcom, M., & Weissbourd, J. (2018). New forms of worker voice in the 21st century. Harvard Kennedy School of Government and MIT Sloan School of Management.
- Baird, M., & Hamilton, M. (2020). Working from home is nothing new to mothers. Sydney Morning Herald.
- Frey, C.B., & Osborne, M.A. (2013). The future of employment: How susceptible are jobs to computerisation? Technological Forecasting and Social Change.
- Gupta, M. (2020). Uber's employment model criticized. Transport Workers' Union statement.
- Kaine, M. (2020). Workers' rights in the gig economy. Transport Workers' Union informed research.
- Kniffin, K. M., et al. (2020). COVID-19 and the Workplace: Implications, Issues, and Insights for Future Research and Action. American Psychologist.
- Newman, M., & Humphrys, J. (2019). Construction workers in a climate precarious world. Critical Sociology.
- McKinsey & Company. (2020). Lives and livelihoods: Assessing the near-term impact of COVID-19 on US workers.
- OECD. (2016). Climate Change and Labour: Impacts of Heat in the Workplace.
- Workplace Gender Equality Agency. (2020). The future of work and gender: Insight paper.