20 September 2016

The Guardian: A world without work is coming – it could be utopia or it could be hell

Despite impressive progress in robotics and machine intelligence, those of us alive today can expect to keep on labouring until retirement. But while Star Trek-style replicators and robot nannies remain generations away, the digital revolution is nonetheless beginning to wreak havoc. Economists and politicians have puzzled over the struggles workers have experienced in recent decades: the pitiful rate of growth in wages, rising inequality, and the growing flow of national income to profits and rents rather than pay cheques. The primary culprit is technology. The digital revolution has helped supercharge globalisation, automated routine jobs, and allowed small teams of highly skilled workers to manage tasks that once required scores of people. The result has been a glut of labour that economies have struggled to digest. [...]

For a good while longer, wages will continue to be the main way people come by money, and prices will be needed to ration access to scarce goods and services. But in the absence of any broader social change, pushing people out of work will simply redirect the flow of income from workers to firm-owners: the rich will get richer. Freeing people from work without social collapse will therefore require society to find ways other than pay for labour to channel money to those not on the job. People might come to receive more of their income in the form of state-led redistribution: through the payment of a basic income, for instance, or direct public provision of services such as education, healthcare and housing. Or, perhaps, everyone could be given a capital allotment at birth. [...]

Ongoing political debates illustrate the problem. There are lots of ways a government could boost workers’ pay. It could raise the minimum wage, increase wage subsidies, enact a basic income, or use more heavy-handed regulation to protect industries and force firms to share more of their profits with labourers. Tellingly, workers and trade unions seem least interested in the policies, such as a basic income, that break the link between compensation and work. This makes the building of our eventual utopia tricky; a hefty rise in the minimum wage would benefit lots of workers, but it would also discourage some firms from using the cheap labour they have been soaking up, forcing the jobless to get along in a world in which they cannot find work yet also lack the monetary means to stay out of poverty.

No comments:

Post a Comment