Robots set to wipe out or radically alter millions of jobs, OECD warns

Up to half of all jobs could be wiped out or changed almost beyond recognition as new technologies sweep through the global economy, the Organisation for Economic Co-Operation and Development has warned.

It estimates automation will eliminate almost one in six roles completely, while a further third will “change radically”, bringing the total to 46pc of all jobs.

New jobs will be created to replace the lost posts, but traditional full-time, permanent employment may become a thing of the past for most workers, and those with the fewest skills and least training are most vulnerable.

“Individuals will face deep and rapid changes: many will have to change not only their job but even their occupation, and most will have to modernise their skills and working practices. These transitions towards new jobs and occupations might be difficult and costly for a number of workers,” said the OECD in its annual Employment Outlook.

Automation to date has not wiped out job opportunities. The employment rate is rising across much of the developed world, particularly among women and older workers.

But avoiding mass unemployment will require new skills and a new approach to work, the OECD said.

Just as the shift from manufacturing jobs into the services industry left some workers struggling, so this tech revolution risks locking millions out of employment in the years ahead.

“Doomsday scenarios are unlikely to materialise, but there are some real risks,” the think-tank warned.

“Many are worried that the world of work is heading for a dystopian future of massive technological unemployment, precarious work, workers with little or no bargaining power, and important skills gaps as populations age rapidly.”

The solution is a complete overhaul of education and training to better serve workers and businesses in a world of rapidly changing technology and longer lives, the OECD believes.

“We should move away from a model of front-loaded education – whereby recognised skills are mainly developed in schools and universities and subsequently used at work – to a system in which skills are continuously updated during the working life to match changing skills needs,” its report said.

Its surveys of 29 mostly rich countries indicate six in 10 workers lack basic IT skills or computer experience, indicating the scale of the challenge.

A key risk is that middle-wage jobs will be destroyed, leaving only low-paid and high-paid positions with little in between.

One consequence of new technology is a rise in "gig" working on a temporary or informal basis. The OECD fears this has undermined workers’ rights and protections in countries including the UK, potentially making those workers more vulnerable to losing their jobs and leaving them with fewer welfare protections should they fall on hard times.