In recent years, rapid technological progress has led to a wholesale destruction of middle-level jobs and a substantial rise in income inequality. It could also bring an era of high structural unemployment. These impacts constitute a major challenge that cannot be ignored by policymakers. They affect the fundamentals of our labor market – and might severely shake the social structure and stability of our society. This new report examines the impacts of technology on the European labor market. The report documents that technological innovation brings not only immense benefits but also significant dislocations in the labor market by making many jobs redundant. HCSS calls upon policymakers to take the risks of job polarization, increased inequality and potentially high technological unemployment quite seriously and suggests some policy measures that could mitigate these risks.The study was conducted in the context of the TNO Strategy & Change program. To download the report, please click on the button on the right.

What is the potential of the new information and communication technologies? This book assesses the relationship between technological change and employment in all its dimensions, focusing on contemporary economies in Europe. The authors discuss patterns

Changes in the labour market demand new solutions to mitigate the potentially dramatic wiping away of jobs, and this important book offers both analysis and suggestions for change. Bent Greve provides a systematic and vigorous assessment of the impact of new technology on the labour market and welfare states, including comprehensive analysis of the sharing and platform economies, new types of inequality and trends of changes in the labour market.

This report complements the recent World Bank publication, Growing United: Upgrading Europe's Convergence Machine (Bodewig, C., Ridao-Cano, C., 2018). The Growing United report highlights that, while the European Union is still the "convergence machine" that fosters an unparalleled depth and scope of regional economic integration, it is no longer working for everyone. The report points to a growing divide, reflected in inequality widening among households across and within EU countries. It reviews the underlying factors of this growing divide from two angles, that of people and that of firms, and for both it examines the reasons why some are left behind and others thrive. This review of labor market trends, the underlying causes that determine which skills are in demand, and how they are rewarded, starts with a framing chapter, briefly summarizing trends in inequity in the EU and ongoing discourse on the impact of technological change and other driver of skill demand and supply on labor outcomes. This is followed by a brief description of trend in employment and earnings in the EU since the late 1990's (chapter two); and a brief description of factors that shape skill demand (technology, globalization, aging, and the level of economic development) followed by an analysis of the evolution of the task content of jobs (chapter three). It then proceeds to discuss the parallel impact of supply-side factors, like education and migration, on the resulting labor market trends; and finally proposes an analytical framework to understand the extent to which the interaction of demand and supply factors is altering the labor market structure in the EU (chapter five).

This book explores the multiple challenges that the global technology shift is posing to the EU. It raises the question of how European societies will mobilize the positive effects of the rapid technological advancement in digitalization, robotization, and artificial intelligence, while mitigating the negative consequences in terms of job losses, cybercrime, and social and political polarization. From the vantage point of experts from economics, law, and political science, this book provides insights into the role that the EU is and ought to be playing in regulating global platform companies, addressing taxation in the digital economy, mitigating job displacements on the labour market, and tackling ethical concerns of artificial intelligence and the prospect of digital democracy. All chapters are based on up-to-date research findings, succinct assessment of the current state of affairs and ongoing debates. They conclude with policy recommendations for policy makers on European and national levels. ‘This volume has a solid foundation in the highly topical question of technological change. More importantly, the individual chapters are written by qualified scholars whose analytically advanced contributions are likely to interest a wide audience. I can strongly recommend this book for scholars and students in political science, law, and economics.’ —Carl Fredrik Bergström, Professor of European Law, Uppsala University, Sweden ‘When the Commission took office in 2019, it put forward its vision as to how Europe’s digital future could be ‘shaped’ in a way that makes the digital transition enrich people’s lives and make sure that European businesses fully benefit from the opportunities offered by digital technologies. Then COVID drastically accelerated the take up of digital solutions. As the digital transformation affects every single one of us it is important that we have the widest possible debate on its inherent risks and opportunities. This is why I warmly recommend this book. It brings together an inter-disciplinary set of scholars able to analyse the multifaceted implications of the technological shift. And I could not agree more with the book’s main takeaway, i.e. that we need to create an adaptive regulatory framework capable of harnessing the positive effects of technological changes while buttressing the negative impact on European society and citizens.’ —Ambassador Kim Jørgensen, Head of Cabinet to Commissioner and Executive Vice-President Margrethe Vestager, European Commission