The impact of RPA and AI Technologies on the job Market
Advancements in RPA and AI are happening at a staggering pace and it’s helping small and large insurance companies automate jobs that were once done by humans. Jobs will be replaced by automation and AI technologies and just like the Industrial Revolution, the first ones to go are unskilled labour that are easily automated due to their repetitive nature.
The biggest threat to employment is not automation, but the inability to remain competitive.
But according to the International Federation of Robotics (IFR), the biggest threat to employment is not automation, but the inability to remain competitive. Research indicates that robots complement and increase work. By doing so, the automation of robots increases the quality of work and the salaries of those who fulfil new roles or tasks. An increase in productivity derived from the use of robots can also lead to an increase in demand, creating new job opportunities.
Many significant innovations in the past have been associated with a transition period of temporary job loss, followed by recovery. In 1961, President Kennedy said, “the major challenge of the sixties is to maintain full employment at a time when automation is replacing men.” In the 1980s, the advent of personal computers spurred “computerphobia” with many fearing computers would replace them. Despite the fears and concerns, every technological shift has ended up creating more jobs than replacing jobs. When particular tasks are automated, becoming cheaper and faster, you need more human workers to do the other functions in the process that haven’t been automated.
The long-term implications to society are where the benefits of RPA and AI are. Even with the temporary short-term job losses, Gartner predicts that AI will create more jobs than they will replace by 2020. People will have to learn new skills and new laws will need to dictate how society can curb some of the negative side effects as AI becomes more prevalent in everyday life.
Beyond net job creation, there are other reasons to be optimistic about the impact of artificial intelligence and automation. Employees will no longer be focused on manual & repetitive tasks and will be able to focus on tasks that are more valuable for the business, such as marketing and maintaining customer relationships. AI and automation can free employees to pursue careers that give us a greater sense of meaning and well-being. Careers that challenge them, provide them with autonomy, and make them feel like we belong; all research-backed attributes of a satisfying job, thereby increasing their productivity.
While RPA and AI may still be in its early stages, it’s already making an impact on the way organizations are able to complete mundane processes and achieve goals. RPA and AI have already made positive impacts in businesses and have a promising future ahead, especially when working alongside humans.
At thewave we combine profound knowledge of insurance with new technologies to build practical solutions for insurers and brokers. Together with our partner Roborana, a robotics competence, we offer insurance knowledge and expertise combined with technical RPA knowledge. Feel free to contact us via email@example.com for more information.