Eurofound logo
Research report

Game-changing technologies: Transforming production and employment in Europe

Published: 22 January 2020

Innovation and technological advancement are natural features of developed economies, and they are necessary to maintain and improve sustainable competitiveness in an era of globalisation. However, while most innovation tends to be incremental, some has a disruptive effect on production and service provision, the labour market and social dialogue. This report discusses a selection of eight so-called ‘game-changing technologies’ (advanced robotics, additive manufacturing, the Internet of Things, electric vehicles, autonomous vehicles, industrial biotechnologies, blockchain and virtual and augmented reality). Each of these has the potential to substantially change business activities, work and employment in Europe. Looking at both the manufacturing and services sectors, this report gives an indication of how these technologies might be adopted and how they are expected to affect the labour market.

Loading PDF…

Game-changing technologies (GCTs) are those expected to have a disruptive effect on the economy, labour market and society; GCTs should be monitored to identify early interventions to foster growth or to prevent negative effects.

There is considerable difference as regards technical and market maturity across GCTs and their adoption across sectors. For example, advanced robotics is a comparatively well established technology in some manufacturing sectors, while at early stage adoption in services. Blockchain, in contrast, is hardly operationally used by business in general, and if applied, then rather in services.

The numerical employment impact of GCTs is hard to assess, but most probably is less severe than often discussed. Most analysed GCTs show some potential for both, job creation (notably higher-skilled jobs related to data handling, science and analytics) and job loss (notably jobs characterised by a high level of automatable routine tasks).

More importantly, GCTs are expected to have a substantial impact on the task composition within jobs, which is likely to result in disruptive changes as regards skills needs and use and work organisation.

To ensure, at the same time, global competitiveness of European companies and sustainable employment and decent working conditions for the workforce, policy interventions are needed, even if the GCTs are not yet widely adopted by business.

The executive summary for this publication is available in PDF format.

This section provides information on the data contained in this publication.

Data and infographics

Figures

  • Figure 1: Narrow AI: fields of application

  • Figure 2: Vectors of digital change and analysed GCTs

  • Figure 3: GCTs in manufacturing: potential employment implications

  • Figure 4: GCTs in services: potential employment implications

  • Figure 5: Overview of potential impact of the analysed GCTs on selected working conditions

Tables

  • Table 1: GCTs selected for analysis

  • Table 2: Definitions of the analysed GCTs

  • Table 3: Example applications of GCTs

  • Table 4: Estimated potential market size of analysed GCTs

  • Table 5: Overview of key factors influencing adoption of the analysed GCTs

  • Table 6: Potential job creation and job loss by sector and GCT

  • Table 7: Expected effects of analysed GCTs on skills use and skills development

  • Table 8: Expected effects of analysed GCTs on work organisation

  • Table 9: Expected effects of analysed GCTs on working time and work intensity

  • Table 10: Expected effects of the analysed GCTs on autonomy, flexibility and control

  • Table 11: Expected effects of analysed GCTs on workers’ health and safety

Infographics

The infographics accompanying this report deal with the implications for the services sector.

  
  
 

Learn more about the authors of this publication.

Eurofound recommends citing this publication in the following way.

Eurofound (2020), Game-changing technologies: Transforming production and employment in Europe, Publications Office of the European Union, Luxembourg.

This section provides access to content that is related to the publication.

Research report

5 April 2018

Game changing technologies: Exploring the impact on production processes and work

This overview report summarises the findings of five case studies on the likely impact of game changing technologies on production and employment in the manufacturing sector in Europe up to 2025: advanced industrial robotics; industrial internet of things; additive manufacturing; electric vehicles; and industrial biotechnology. The adoption of these new technological possibilities will not only have consequences for the production process, but also for the working conditions of those employed on the process and on employment demands at company level. The report highlights the increase in digitisation, the greater demand for highly skilled workers, the expansion of value added to both ends of the product cycle, the even greater importance of data security, the possible reshoring of some production back to Europe, and the need to develop and observe industry standards and protocols.

ec_logo_vsmall.jpg

Flag of the European UnionThis website is an official website of the European Union.
How do I know?
European Foundation for the Improvement of Living and Working Conditions
The tripartite EU agency providing knowledge to assist in the development of better social, employment and work-related policies