White Paper
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Digitally-enabled automation and artificial intelligence: Shaping the future of work in Europe’s digital front-runners
Digitally enabled automation and artificial intelligence (AI) are set to become the primary drivers of the next technological revolution. To gauge the potential impact on companies, employees and society, this report focuses on nine European “digital front-runners”—Belgium, Denmark, Estonia, Finland, Ireland, Luxembourg, Netherlands, Norway, and Sweden. We find that automation and AI bring significant benefits, including new jobs and increased productivity. However, employers, employees and policy makers face challenges in managing the shift to a new economy, which requires significant reskilling and a socially responsible transition.
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Youth in transition: Bridging Canada’s path from education to employment
This report explores Canada’s education-to-employment transition, how it differs from that of the rest of the world, and what the experience is like for Canada’s youth, businesses, and educational institutions.
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Offline and falling behind: Barriers to Internet adoption
This report examines the barriers that the offline population, defined as those who have not used the Internet (from any device) in the past 12 months, faces in adopting the Internet. As the latest in a series on the Internet (see Internet matters: The Net’s sweeping impact on growth, jobs, and prosperity; Online and upcoming: The Internet’s impact on aspiring countries; Online and upcoming: The Internet’s impact on India; Lions go digital: The Internet’s transformative impact on Africa; China’s e-tail revolution: Online shopping as a catalyst to growth; and China’s digital transformation: The Internet’s impact on productivity and growth), this report builds on our previous work; here, we have taken a global approach to the challenge of expanding the Internet user base while also offering in-depth profiles of six countries grappling with specific barriers. In the future, we plan to examine the mechanisms or solutions that might help overcome the barriers we have identified.
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Automation and a changing economy - Part 1: The case for action
This report explores how automation impacts the economic security and opportunity of the American worker.
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Automation and a changing economy - Part 2: Policies for shared prosperity
This report outlines a program to address automation’s challenges and opportunities. The paper calls for an all-of-the-above approach, from targeted interventions to those with systems-level impact; from place-based policies to national-level reforms to social safety net programs. The paper identifies 22 solutions to address four overarching objectives
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Modernizing unemployment insurance for the changing nature of work
The first section of the paper reviews changes in the labor market since UI was created. Although most workers still have traditional full-time jobs, the prevalence of non-traditional work has increased. Non-traditional work includes self-employed, independent contractors and freelancers who operate outside formal employer-employee relationships. Other types of non-traditional arrangements include temp-agency workers, on-call workers, contract company workers, multiple jobholders, and part-time workers. These arrangements can be structured as W-2 employment, yet do not provide traditional, stable full-time work. While non-traditional work can provide increased flexibility, it can also heighten job and financial insecurity, and can leave workers without access to critical employment-based benefits and protections. The second section of the paper explains why workers in non-traditional jobs often lack UI coverage. Independent contractors and freelancers are excluded from UI because they do not work for a traditional employer that would make contributions on their behalf. Other non-traditional workers, such as part-time workers, can qualify for UI as a benefit of W-2 employment, but are disadvantaged relative to traditional workers in how the program is structured. The third section of the paper discusses the opportunity to use non-traditional work to help unemployed Americans return to the labor market. Most states generally require UI recipients to seek traditional full-time work in order to continue receiving benefits, even if their original jobs were part-time. Very few states offer Self-Employment Assistance (SEA) to help UI recipients become entrepreneurs. Further, there are structural incentives that discourage regional workforce offices from helping workers find and prepare for non-traditional work. The final section of the paper reviews proposals to modernize the UI program to account for the growth in non-traditional work. The proposals are grouped according to three goals: first, protecting independent contractors — who currently lack UI coverage — from job and income loss; second, providing better coverage to non-traditional workers in W-2 arrangements; and third, supporting entrepreneurship and voluntary transitions from unemployment into non-traditional work. The paper does not include proposals for improving the solvency of state UI trust funds, as it focuses on reforms to broaden eligibility for workers in non-traditional work arrangements. However, the authors strongly support improving solvency as an important goal of any UI reform effort
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The economic value of intermediate vocational education and qualifications
This report reviews the available evidence on the economic value of intermediate vocational qualifications, looking at the private wage returns (and briefly the improved likelihood of being in employment) associated with such qualifications. The question that the review would like to answer is: ‘what is the economic value of acquiring intermediate vocational qualifications to a particular individual, on average? That is, by how much will his or her wages increase following the acquisition of such a qualification?’ This value could differ, according to whether the new qualification acquired is the individual’s new highest qualification and so takes them to a higher level of attainment than they had previously reached, or whether the individual already held qualifications at the same level or even at a higher level than the new qualification acquired. The review will therefore distinguish between such situations. This is particularly important when considering vocational qualifications, since they can often be acquired at a level at or below individuals’ existing highest academic qualification.
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How useful is the concept of skills mismatch?
This paper was prepared as a background note for the International Conference on Jobs and Skills Mismatch to be held in Geneva on May 11-12, 2017.
The term skill mismatch is very broad and can relate to many forms of labour market friction, including vertical mismatch, skill gaps, skill shortages, field of study (horizontal) mismatch and skill obsolescence.
In this paper the authors provide a clear overview of each concept and discuss the measurement and inter-relatedness of different forms of mismatch. They present a comprehensive analysis of the current position of the literature on skills mismatch and highlight areas which are relatively underdeveloped and may warrant further research.
Using data from the European Skills and Jobs Survey, they examine in detail the incidence of various combinations of skills mismatch across the EU and review the European Commission’s country specific recommendations and find that skills mismatch, when referring to underutilised human capital in the form of overeducation and skills underutilisation, receives little policy attention.
They argue that in cases where skills mismatch it is specifically addressed by policy recommendations, the policy advice is either vague or addresses the areas of mismatch for which there is the least available evidence.
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Women and the future of work: Taking care of the caregivers
Over the last 20 years, important achievements have been made with regards to gender equality in the world of work. At least 50% of the world’s women are in paid wage and salary employment – an increase of 10% since the 1990s. In 2014, women held 24% of the world’s senior management positions, compared to 19% ten years ago. What these achievements do not tell us is who is providing the caregiving that is helping these women make inroads into the labour market. Possibly these women are working double shifts, one at the workplace and another at home. There is also evidence of a redistribution of tasks between men and women in households. However, chances are that there are other women helping out. Women of all ages are the principal providers of care for children, the elderly, the disabled, and for whole families and communities, at home and in private and public institutions. In the context of ageing societies, public health care deficits and cut-backs in public services, there is growing demand for care work in private households and an increased pressure on women’s time as care givers. To a large extent, it is also thanks to the labour of, predominantly female, domestic workers that other women have succeeded in occupying the paid labour market in increasingly larger proportions and in breaking the glass ceiling. When women engage in paid work outside the home, they either have to reduce their rest and leisure time, enlist the help of partners or other family members or – if the family or woman could afford it - pay someone else to do the unpaid care work that they would normally do.