AI is having a progressively larger impact on the global economy. With BT’s recent announcement to replace 10,000 staff with the help of AI, it’s becoming clear that Europe must take more action to reduce the potential risks associated with replacing jobs due to automation. Fortunately, there are several interventions that governments in Europe can take to alleviate the impact of AI in the workplace.
First, it is important for workers to receive training in new skills that will help them stay ahead of the automation curve. By providing a fund to support the retraining and upskilling of employees, Italy has recently set a good example. This will help those at greatest risk of automation—such as journalists—develop new, valuable skills to stay employed in the future.
Second, ensuring students gain the necessary skill-sets for the future of work should also be a priority. This can be done through focusing on ’21st century skills’ like critical thinking, creativity, communication, and providing specialised training. Finland is leading the way with its free online course on AI, to prove that success is not only dependent on being able to compete with robots, but to also work with them.
Third, to combat the effects automated systems can have on low-paid work, governments should improve wage supplements. This can include things like better child care, higher income tax credits or wage insurance for those whose salaries may have been lowered due to AI. This would be much more cost-effective than financially supporting unemployed people and could result in greater societal benefit too.
Fourth, the concept of ‘good jobs’ should be encouraged. Good jobs are those that pay well, offer valid prospects of advancement and give at least some degree of security. Employers could be incentivised to provide this type of job through tax and subsidy policies.
Finally, Universal Basic Income (UBI) has recently been gaining traction across Europe as an option for governments to ensure people do not suffer extreme levels of poverty in the face of automation. UBI is a guaranteed payment from the government to every citizen, enough to support their basic needs. While some argue this could worsen inequality and reduce the incentive to find work, opinion polls across seven European countries have shown that support for the idea is strong.
Thomas is a senior reporter at TNW. He covers European tech, with a focus on deeptech, startups, and government policy. He constantly brings readers the latest news and provides insights on the dynamics of the tech industry, particularly when it comes to politics and policy. Thomas’s reporting has won him multiple awards.
BT is one of the world’s largest telecoms providers, actively involved in setting up networks globally and providing services to residential and business customers. Its recent announcement of replacing 10,000 staff with AI was met with a lot of criticism and backlash, signifying how automation is a cause of great concern and debate among governments and citizens in Europe.
