The impact of automation and technology on our lives is increasing day by day. We can ask “Siri” to play favourite song, ask the “Google Assistant” to book a table at a restaurant, we can have a “driver-less Uber ” at doorstep at the push of a button, get pizzas  hand over by drones, build 3D printed houses etc. Automation impact, uphold by artificial intelligence (AI) and machine learning (ML) is already having great on us.

Our homes are getting “smarter” as we take on smart home technology driven by the internet of things (IoT). Our Nest Cams monitor our homes when we are not there and aware us of when to act based on our needs. Our thermostats monitor our home environment and power down heating, ventilation and air conditioning systems when we are not present in order to save power consumption.Hence the Impact of Automation is immeasurable in our life.

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Whenever a new technology is join into economic system, it is quite usual that it induce bother about job losses. However, the present growth of automation are a cause of disturbing due to its effect on even white-collar jobs.

Impact of Automation

Company like Amazon introduced more than 50,000 new robots in 2017, a 100% increase from the previous year. Survey suggest 20% of its workforce may already be made up of robots

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Automation will complete reshape of the job market, with a vast number of job categories being replaced by smart robots. In the same time, new job opportunities will rise which will demand  up-gradation of skilled of the current workforce.

Impact Of Automation are Illustrated Through Following Examples :

Impact of Automation on employment

 1)Online courses that run automatically has break out over the time will be consequently replaced schools and teachers  by a automation machine.

2)There are digital governesses, digital drivers and plumbers soon too.

3)The way we move across will rapidly transform everything. It will not be long before private cars, buses, and trains have no drivers and will run by automation machine.

4)In fact, even commercial airliners will perhaps have no pilots by the mid of this century.

5)Even professions that are super-confirmed today will after a bit turnout to robots.

6)Robot surgeons, doctors, and veterinarians will indeed run all views of medicine by the end of this century. Furthermore , by the year 2100, there perhaps not be any human medical professionals.

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7)As an impact of Automation RPA , AI, ML will surely reform businesses as a whole.

8)Impact of Automation is also seen on our workplaces with flip human workers out.

9)There is increasing concern in the future, that only those with extraordinary qualifications will have jobs. Perhaps skilled artists, talented musicians, and others to whom humans rate highly will get engaged.

Thus It is determine that Impact of Automation is acceptable.

Research Report On Impact of Automation 

Automation impact on employment

1) The latest study figure out that one-quarter of jobs in the US are at high risk of being automated. According to New Brookings report, titled, “Automation and Artificial Intelligence: How machines are affecting people and places”, automation will have a large impact by 2030 on the US employment.

2) Automation impacted around 25 per cent of the jobs which have high risk . 36 per cent of US employment will experience medium exposure and 39 per cent will experience low threat. Task not requiring a bachelor’s degree are more likely to automation than those requiring a four-year degree.

3) As per the World Bank’s report, impact of automation tends to a creations of new forms of jobs such as  meshwork or microwork  (a series of small tasks which together comprise a large unified project, and are completed by many people over the Internet), which are the  jobs in the on-demand economy. These new forms of jobs are freelancing in nature and leads to weakening workers’ bargaining power and a lack of benefits.

4) A pioneering research (Frey & Osborne, 2013) estimated that automation impacted  47% of jobs in the USA in the next two decades. It is not only manual jobs with repetitive task that are at high risk, but non-routine intrapersonal jobs also have some risk due to the progress of technologies.

5) IT consultancy firm, Accenture has said intelligent machines entering business altogether over the next few years will provide organizations a wonderful opening to release the true potential of their workforce of the future.

Automation impact on employment

6) In August, 2016 HDFC announced that it would soon have a robot to begin with, in one of its branch. It will work as security as well as receptionist. According to a report by Citi Bank, “Around 30% of all jobs inside banks would be terminated due to increased automation in various banking services.”

7) Impact of automation according to The World Bank has massive job cuts in India in the coming years. Research based on World Bank data has figure that the proportion of jobs in danger by automation in India is 69%, while it is 77% in china and 85% in Ethiopia. “If this is true, and if these countries are going to lose these many jobs, we then have to understand what paths to economic growth will be available for these countries and then adapt our approach to infrastructure accordingly,” World Bank President Jim Yong Kim has said.

impact of automation

8) By 2030, up to 861,000  UK public sector jobs may be automated, says a Deloitte and Reform report. Not only would this cut the wage bill by £17 billion, but it would also reduce the workforce by 16%.

9) Two researchers at the University of Oxford analyzed 702 occupations in the U.S. and determined that half of them have a high risk of being automated in the next couple of decades.

10) Moshe Vardi warns that over 50% of the world’s workforce will be unemployed  within thirty years because of automation. Prof. Vardi is Distinguished Service Professor of Computational Engineering at Rice’s Department of Computer Science.Not only will smart robots replace humans in the workplace, but also out-perform too.

11) As recent research, smart process automation will replace more than 120 million knowledge workers by 2025, generating revenues of $12.5 billion by 2019 only. All industrial revolutions till date, hinted at  renovation of jobs and creation of new ones, also applicable for this phase. 

12) A recently released report by the International Labour Organization (ILO)  elaborate on automation and employability or the impact of automation. The report titled “Changing Business and Opportunities for Employer and Business Organizations” lists the percentage of work activities that can be automated using current technology. In the case of India, 51.8% of activities can be automated.

As the report points out: “Robotic  automation  is having the greatest impact, replacing low-skilled jobs and simple assembly tasks.Japan and Thailand run the risk of 55.7% and 54.8%, respectively, of their activities being automated. Over 40% of activities can be automated across the world. This is clearly not good news for the employed. A significant point made by the ILO report is that 66% of Indian businesses are looking for quite a different set of skills among new recruits than they did three years ago.

Automation impact on employment

13)As the ILO report points out, “a large proportion of businesses in the United States of America (61%), Brazil (70%)… and Germany (65%) agreed that businesses are looking for quite different skills in new recruits”. For 53% of Indian businesses it has become harder to recruit people with the skills needed.

14)Hire drones and robots or applications of AI and other innovations might not altogether increase unemployment. Much of the developed countries, applications of AI are in the finance, transportation, healthcare and defence sectors. In India, we have only 7% of workers in above mention sectors. Robots are used in the fields of manufacturing, construction, rescue operations and personal security. 

15) 5.7 crore workers employed in manufacturing industries during the year 2015-16, only 1.1 crore belong to formal industries. If we assume an average of 4 lakh new jobs generated in formal manufacturing each year and assume automation to the level of 10 per cent, the maximum possible job-loss turns out to be 40,000. And not all the industries would be able to afford automation for cost reasons.

If we further assume an adoption of 20 per cent industries, this further boils down to 8,000. One could observe similar possibilities in the other sectors as well. In agriculture, one can barely expect to generate job losses as applications in pest surveillance and weather forecasting involve literally no unskilled worker.

17)The country with a population of 1.3 billion is already facing a problem of employing its vast and growing workforce. In February 2018, its railroads had  63000 job openings, for which 19 million people applied.

18) An Ernst & Young study states that there are 17 million new entrants into the Indian workforce year after year, but only 5.5 million jobs created.

19)Pew Research Center study asked 1,896 experts about the impact of automation and found

“half of these experts (48 percent) envision a future in which robots and digital agents will have displaced significant numbers of both blue- and white-collar workers—with many expressing concern that this will lead to vast increases in income inequality, masses of people who are effectively unemployable, and breakdowns in the social order.”

21)McKinsey Global Institute analysis  gives reports on impact of automation by  considering 750 jobs and concluded that “45% of paid activities could be automated using ‘currently demonstrated technologies’ and . . . 60% of occupations could have 30% or more of their processes automated.” A more recent McKinsey report, “Jobs Lost, Jobs Gained,” found that 30 percent of “work activities” could be automated by 2030 and up to 375 million workers worldwide could be affected by emerging technologies.

22)In fact, Gartner has already predicted that one in every three jobs will be shifted from human to machine by the year 2025. “Gartner also predict “autonomous things,” including drones, appliances, robots, and even ships, sometimes working in collaborative swarms, that “exploit AI to perform tasks usually done by humans. These are all impact of Automation only.

Gartner report on impact of  Automation

19)According to the “State of Working in India 2018 report“, a 10% increase in GDP now results in less than a 1% increase in employment—leading to higher unemployment in a fast-growing economy. The report also highlights the issue of income inequality: As labour productivity in organised manufacturing increased sixfold over the past three decades, wages increased just 50% over that period. Services may not be able to compensate for the job losses that automation causes in manufacturing.


The Indian economy is right now deficient to accept the advent of automation and AI. The impact of Automation is worrisome, though India is one of the fastest growing large economies but higher growth does not recast more jobs. Due to gradually automate the different working aura, the country must have to take measures to meet the threats arises like boosting employment in sectors that are least exposed to automation and encouraging youth to running a business of their own. 

The following steps need to be taken to decrease the negative impacts of automation on employment opportunities.

1)Skill upgradation

2)Flexible-labour laws

3)Focus on small and medium enterprises

4)Need for employee protection

Related Automation Article

Advantages and disadvantages of Automation

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4 thoughts on “Impact Of Automation

  1. It does not impact employment in my opinion, only the form of employment changes. Take the case of computerisation, it might have reduced job opportunities in one field but created jobs in other field. Proportions always go up & down, but equilibrium is maintained
    Only worry is increasing rate of population and number of people who want AC room job with just a piece of degree.
    Jab ham koi rishta karte hain to bahut khush hote hain when the groom’s parent says that he just goes & comes back with very little responsibility. We think this is the man who will keep our daughter/sister happy
    Efficiency had never been a topic of discussion for us. But automation is challenging these type of people. That is why there is hue & cry
    We want jobs but with very little responsibility. Today’s market scenario does not allow so. So a war in ON between automation & traditional people. For example computerisation in Banks.Society needs automation even you & I but we want to safe guard ourselves with job security with no question on our efficiency. All this hue & cry is by people who want Govt jobs but no commitment. But the country has to compete internationally. So automation is the answer. We need to tune ourselves to Current need of hour. Otherwise world will say Ta-ta, bye bye. Anyway nice topic selection. Hats off🎩🎩🎩

  2. Good selection of topic… But i do agree with Mr. Nagesh Gaur… We need to change or upgrade according to the modern market requirment … And automation is one of them…

  3. Great Job…..I think you raise a subject, which should be addressed on priority by all of us… it’s a matter of debate regarding impacts of automation…but my opinion is we must consider every aspect of our culture and society….before going forward with this whole automation process….

  4. Its great blog that you have written, because of automation intervention there are many Do’s and Con’s on the real world.Automation describes a wide range of technologies that reduces the human interventions in process.The benefits of automation labor savings,reducing waste,savings in electric cost etc.So after your higher education you can study the automation course at a institutes.Here IPCS provides the best automation course.

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