What do new technologies mean for the European labour market?

There is no doubt that technological improvement is an important factor for changes in different labour markets. This is true both for the quantitative development of employment as well as for the qualitative development of skilled labour force. The extent to which new technologies lead to more jobsand better working conditions is, however, a subject of debate. On the one hand, new technologies – such as modern IT – have often been called ‘job killers’, causing unemployment growth. On the other hand, technological innovation is considered a means to improve the competitiveness of the European economy and offers new economic markets with new job opportunities. With new IT technologies work can be organised much more effectively with fewer workers involved and as a consequence the demands on the higher qualifications labour at nearly all job levels are required. And result is that mostly unqualified, older and young people in European countries have reduced access to the labour markets.


Due to IT technologies in highly skilled occupational groups there is evidence that the increasing demands for further qualification as well as lifelong learning have become an integral part of the individual commitment on the job. In lower-qualified occupational groups the workers depend verymuch on the learning opportunities provided by the companies. The question for public

policy remains how institutions can maximise opportunities and minimise risk in different

working environments.


More about this subject you can read in attached study provided By ETAG:Interactions between new technologies and the job market, flexicurity and training/vocational training”



3 thoughts on “What do new technologies mean for the European labour market?

  1. Technical innovation is the factor enhancing progress in society, having impact on all spheres of economy and society. It can be seen as a positive sign of development. However, technologies cause a significant pressure on labour market. New technologies mean new products and services. In addition they demand new job specification and everything in shorter life spans. This evolution causes shorter economic cycles, which in the economic terminology means instability due the incapacity of market to adapt to the quick changes. Successful labour market policy will have to respond to this development with fast reaction and appropriate actions.

  2. I agree that technology does put a strain on the already worsening labour market situation, with the introduction of more and more new technologies every year which dont replace jobs but increase productivity and speed meaning less manual labour workers are needed as compared to a machine they are: slow, inaccurate, inconsistant and unpredictable.
    This is a problem that i can only see worsening into the future.

  3. Nevertheless, the new technology must always be created by human work. In addition to that new techology might offer fields of working which were not possible without it. Thus, I think that technology is always a positive development.


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