A declining working population and rising costs to hire and retain employees will force firms in Asia Pacific to invest more in automation
SINGAPORE, Aug. 8, 2022 /PRNewswire/ -- Forrester (Nasdaq: FORR) forecasts that working populations in the five largest economies in Asia Pacific — India, China, South Korea, Australia, and Japan — are more at risk due to physical robot automation than Europe and North America. By 2040, 63 million jobs are expected to be lost to automation, with more than 247 million jobs expected to be in jeopardy across industries that are more susceptible to automation, such as construction and agriculture.
According to Forrester's Future Of Jobs Forecast, 2020 To 2040 (India, China, South Korea, Australia, And Japan), in the coming years, the green economy will help offset some job losses as more countries commit to carbon neutrality. India, China, South Korea, Australia, and Japan will create 28.5 million new jobs in renewable energy, green buildings, smart cities and smart infrastructure, and professional services by 2040. But even with the creation of new jobs in areas such as the green economy and information and communications technology (ICT) industries, 13.7 million jobs in the region will be lost to automation across wholesale, retail, transport, accommodation, and leisure sectors.
Each country faces different challenges. Key highlights include:
"To prepare for the changes brought on by automation, the five largest economies in APAC will have to radically rethink their workforce strategies," said Michael O'Grady, principal forecast analyst at Forrester. "While each economy faces its own challenges, common focus areas such as hiring more female workers can help offset working population declines. In addition, investing in STEM education, technology workforce training, and protecting the rights of freelance workers will become of utmost importance."
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