Technology and globalization are two things that will have a very strong impact on the labor market short-term. Some analysts even argue that technology will cause a total reduction in opportunities. There are also many possible opinions regarding job opportunities that will arise. Research has shown an increase in demand jobs in non-routine analytics. This corresponds to a significant automation of routine manual work in general.
The end of 2019 is the beginning of an unstable future of work. Much of this is due to automation, technology and globalization. The first half of 2020 give a profound and unexpected economic impact on the market. By giving a sudden impact both on individual and household income. This effect is of course the impact of the COVID-19 pandemic.
COVID-19 Pandemic’s Impact on Labor Market
The COVID-19 pandemic appears to be deepening existing inequalities across the workers market, reversing the job gains that have occurred since the Global Financial Crisis in 2007–2008, and accelerating the arrival of the future of jobs. The changes heralded by the COVID-19 pandemic have exacerbated the long-term changes that have been triggered by the Fourth Industrial Revolution, so that they are faster and deeper.
The health threat caused by the COVID-19 virus has caused governments around the world to implement business activity closures, either in whole or in part. The impact of this virus has made changes to the economy, labor market and people’s markets. Many large and small businesses have chosen to close their business activities. According to data from the World Economic Forum, from mid-March to mid-April 2020, nearly 55% of the economies of approximately 100 countries in the world had closed their business activities, which affected almost all types of businesses except essential businesses such as health workers. During May to June, some economic activity started to recover. However, stick to health restrictions and protocols that limit contact.