Robots will help to boost wages, says Deutsche Bank
WORKERS have been told to “learn to love” robots instead of fearing them because they are the key to boosting wages.
Pay growth has been measly across much of the rich world since the financial crisis, in part because productivity has increased very slowly.
Economists at Deutsche Bank believe the answer is to step up investment in modern technology, which means workers welcoming robots into the workplace. Rather than taking jobs, this should enhance them, just as previous waves of technology have, they claim.
“A look at the unemployment rate in major economies through this quartermillennium period suggests that the parade of constant (and mind-boggling) labour-saving improvements has had no structural long-term impact on the unemployment rate,” said Jim Reid at Deutsche Bank. “So we say, learn to love your robot colleague.”
Mr Reid also cites a surge in the global workforce since the Eighties as globalisation took off, and China joining the world economy, which brought “a huge pool of cheap workers” into the market.
But that is now “levelling off”, he said. “As such, I believe we will look back on the middle of this decade as the turning point for the post-eighties relationship between capital and labour.”
Jim Reid, from Deutsche Bank, has urged employees to welcome having robot colleagues in their workplace