The Fourth Industrial Revolution, characterized by advanced technologies such as artificial intelligence, automation, and the internet of things, is transforming industries and generating both job creation and elimination. In the United Kingdom alone, PwC predicts that by 2038, over 7 million jobs will be lost due to these technological advancements. However, the report also suggests that new jobs, primarily in healthcare, science, and education, will be created, outnumbering the job losses by around 200,000. Such changes in business models will not only alter the employment landscape in numerous sectors, but they will also widen the gap between existing skills and those most in demand.
Helping People To Develop New Skills
The pace and depth of the technological disruption require new and effective ways to help individuals develop new skills and prevent job losses. Unlike previous industrial revolutions, where training systems and labour market institutions took decades to be built, the Fourth Industrial Revolution’s pace makes it impossible to afford such a luxury. Therefore, it is vital to recognize that people are an asset that requires investment, rather than being seen as a liability.
Taking Proactive Talent Management Strategies
Companies must take proactive talent management strategies to address the skills gap and retain their employees. The COVID-19 pandemic has already created a seismic change, and the Fourth Industrial Revolution’s disruptions are likely to make things worse. To mitigate this, companies must invest in their employees, deploy proactive talent management strategies, and collaborate with governments and education providers.
Workers in fields that are facing significant job reductions must be re-skilled and provided with viable job transitions. It is imperative to understand the country’s current skills base and the industry’s changing requirements. Therefore, anticipating and preparing for future skills requirements will be crucial for everyone.
The Fourth Industrial Revolution is reshaping the employment landscape, creating new jobs while disrupting existing ones. It is essential to address the skills gap and invest in people to mitigate the disruptions’ effects. Companies must take proactive talent management strategies and collaborate with governments and education providers. Workers must be re-skilled and provided with viable job transitions to close the skills gap. Anticipating and preparing for future skills requirements will be critical for everyone.