Robots Don’t Just Take Jobs — They Make Them!
With robotics technology on the rise, there’s a growing concern about the future of the job market. I get asked all the time if robots and automation will steal jobs from workers and what that could do to our economy.
Well, I’m here to tell you that robots are actually a huge benefit to the job market — not something you should be afraid of.
In 2018 alone, the U.S. put over 35,000 robots to work. While this may sound like trouble for the job market, we actually saw U.S. unemployment fall from 4.1% to 3.7%. On top of that, we created 2.7 million new jobs just last year.
So, it seems that the use of robots in the workforce has done the opposite of what we expected.
According to a recent worldwide study, 87% companies (of the thousands surveyed) say that they’re looking to expand or maintain their current level of workforce because of automation. How is this possible?
It’s simple: Automation isn’t taking jobs — it’s making them.
For example, the number of retail workers has been on the decline for the last two years. Retail companies are finding that their demand for employees is greater than their supply. We call this a “supply crunch.”
And this is where robotics can really thrive.
Walmart recently stated that it’s adding 4,000 robots to its stores. These robots will do more mundane jobs, like polishing floors and sorting inventory … the kinds of jobs that people don’t want to do.
When robots are used for more routine tasks, human employees are able to move into higher-potential jobs that require more specialized skills — skills that the robots can’t learn.
So really, companies are finding ways for robots to work with people rather than against them.
While they can’t learn certain skills, robots can do administrative tasks that take people a bit longer to do. This saves workers time and energy, allowing them to move into roles that promote more critical thinking and management.
It’s undeniable. Automation is causing a positive shift in the workforce. This shift will lead to efficiency, employment and better opportunities for workers. We just need to learn to embrace this change instead of fearing it.
Editor, Profits Unlimited
I’ve been investing for more than 25 years. I started my career on Wall Street in 1991 as an assistant portfolio manager at Bankers Trust. I quickly advanced to prominent positions at Deutsche Bank and ING, managing multimillion-dollar accounts. In 2006, the owners of a $6 billion firm named Kinetics Asset Management recruited me to manage their hedge fund.