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Industry 4.0: New challenges for the labor market and working conditions as a result of emergence of robots and automation

Author

Listed:
  • Vadie Amir Saeed

    (University of Miskolc, Hungary)

  • Lipták Katalin

    (University of Miskolc, Hungary)

Abstract

Subject and purpose of work: The paper is discussing the challenges presented by Industry 4.0, specifically in relation to the potential loss of jobs due to automation. The article explores how middle-skilled jobs are more likely to be affected adversely by automation and how the integration of cutting-edge technologies such as automation, AI, and IoT is expected to bring about extensive automation and irreversible changes to employment opportunities. Materials and methods: As this paper is a review of previous research articles, the authors have collected several journal articles. Results: The authors highlight how Industry 4.0 is expected to change working conditions and the nature of work and raises concerns about job insecurity and the erosion of traditional employment relations. Conclusions: The paper suggests that to tackle these challenges, policymakers and employers must be aware of the potential impacts of automation and Industry 4.0 on different types of occupations and take steps to mitigate any negative effects, and invest in retraining programs, implement policies that support the fair distribution of the benefits of automation and promoting the skills needed for the future of work.

Suggested Citation

  • Vadie Amir Saeed & Lipták Katalin, 2023. "Industry 4.0: New challenges for the labor market and working conditions as a result of emergence of robots and automation," Economic and Regional Studies / Studia Ekonomiczne i Regionalne, Sciendo, vol. 16(3), pages 434-445, September.
    • Handle: RePEc:vrs:ecoreg:v:16:y:2023:i:3:p:434-445:n:10
    DOI: 10.2478/ers-2023-0028
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    References listed on IDEAS

    as
    1. David H. Autor & David Dorn & Gordon H. Hanson, 2016. "The China Shock: Learning from Labor-Market Adjustment to Large Changes in Trade," Annual Review of Economics, Annual Reviews, vol. 8(1), pages 205-240, October.
    2. Daron Acemoglu & Pascual Restrepo, 2020. "Robots and Jobs: Evidence from US Labor Markets," Journal of Political Economy, University of Chicago Press, vol. 128(6), pages 2188-2244.
    3. David H. Autor, 2015. "Why Are There Still So Many Jobs? The History and Future of Workplace Automation," Journal of Economic Perspectives, American Economic Association, vol. 29(3), pages 3-30, Summer.
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    More about this item

    Keywords

    industry 4.0; labor market; working conditions; robots; automation;
    All these keywords.

    JEL classification:

    • J81 - Labor and Demographic Economics - - Labor Standards - - - Working Conditions
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General

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