Robots plan to destroy a labor market

Baku. 13 April. REPORT.AZ/ The increase in one robot for every 1000 employees in the industrial economy cuts wages in the country by 0.25-0.5% and reduces economically active population by 0.18-0.34%. Report informs citing the Kommersant newspaper it is stated in “sobering” study from Daron Acemoglu of M.I.T. and Pascual Restrepo of Boston University, “Robots and Jobs: Evidence from US Labor Markets” published by the National Bureau of Economic Research.

They said that robotization prosess in US is behind the Eurozone. The research covers impact of automation on labor market during 1997-2016. According to International Federationof Robotics (IFR), at present 1,15-1,17 mln robots are working around the world. 39% of them operate in car industry, 19% in electronics, 18% in metallurgical and chemical industries. Research notes that, since 1993 robots in US dismissed about 360-670 thousand people from job. Economists, scientists believe that robots will impede the growth of wages. Until 2025 robotization will decrease growth in real wages by 1,3-2,6%.

According to Daron and Pascual Eurozone countries will be more affected from automation process.

Among OECD (Organisation for Economic Co-operation and Development) countries the situation in labor market in German and Austrian is more exposed to danger. However, the impact will be minimum on Korea.

According to OECD, job cuts by robotization prosess will reach 9% in next 20 years. Each new robot will lead to the replacement of the 6.2-workers.