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Recession, Tech Kill Middle-Class Jobs

Un pobre guey writes "'To understand the impact technology is having on middle-class jobs in developed countries, the AP analyzed employment data from 20 countries; tracked changes in hiring by industry, pay and task; compared job losses and gains during recessions and expansions over the past four decades; and interviewed economists, technology experts, robot manufacturers, software developers, entrepreneurs and people in the labor force who ranged from CEOs to the unemployed.' Their findings: Technology has consistently reduced the number of manufacturing jobs for 30 years; people with repetitive jobs have been easy to replace in the past, and task jugglers like managers and supervisors will be likely targets in the future; companies in the S&P 500 have expanded their business and increased profits, but reduced staffing, thanks to tech; and startups are launching much more easily these days. The response to the article includes the dutifully repeated bad-government-is-at-fault and don't-worry-it's-like-the-Industrial-Revolution memes. But what if this time it's different? What if delegating everything to machines is a radical and fundamental new change in the course of human history?"

31 of 586 comments (clear)

  1. Chicken Littles by SillyHamster · · Score: 5, Insightful

    What if the sky is really falling?

    1. Re:Chicken Littles by Anonymous Coward · · Score: 4, Insightful

      To sum up:

        "To understand the impact of tech on skilled labor (where automation is extremely questionable) , we studied the impact of tech on unskilled, easily automated labor"

      "Technology has consistently reduced the number of manufacturing jobs for 30 years; people with repetitive jobs have been easy to replace in the past, and task jugglers like managers and supervisors will be likely targets in the future"

      When we come up with a real Computer AI, wake me up to care about "middle class" jobs... until then why not focus on the question of what we are going to do with all unskilled labor that is currently being replaced?

    2. Re:Chicken Littles by vlm · · Score: 4, Funny

      why not focus on the question of what we are going to do with all unskilled labor that is currently being replaced?

      "Let them eat cake" as long as possible, followed, of course, by revolution. In this case, the revolution will, in fact, be televised. Probably won't fix anything, but not avoidable either.

      --
      "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
    3. Re:Chicken Littles by Anonymous Coward · · Score: 5, Funny

      When we come up with a real Computer AI, wake me up to care about "middle class" jobs... until then why not focus on the question of what we are going to do with all unskilled labor that is currently being replaced?

      The same thing we do every night after work.

      We consume as much drugs as possible and watch TV.

    4. Re:Chicken Littles by binarylarry · · Score: 5, Funny

      Oh Brain how far you have fallen

      zort

      --
      Mod me down, my New Earth Global Warmingist friends!
    5. Re:Chicken Littles by Cryacin · · Score: 4, Funny

      But think of the jobs it will create in the entertainment industry alone!

      --
      Science advances one funeral at a time- Max Planck
    6. Re:Chicken Littles by mikael · · Score: 4, Insightful

      Middle class jobs have already been replaced in the past - you just weren't around at the time.

      Newspapers used to have huge print departments - entire teams of hundreds of people employed to take the stories that journalists wrote, convert them into metal boilerplate on drums, choosing appropriate font sizes, laying out rows of text, leaving space for pictures and photographs, doing a run of hundreds of thousands of newspaper pages, then tearing down this boilerplate and putting all the letters back into the appropriate boxes for each font. All done within a day. When WYSIWYG edit systems came out, the journalists and editors could do this by themselves. The print unions went on strike demanding that they be the ones to operate these systems. Known as the Wapping Dispute where 6000 workers went on strike over the sudden vaporisation of their jobs. In-house print departments have been replaced by Powerpoint and laser printers. They might still be around for presentation posters.

      Corporate structures have become flatter. Some companies used to have a 3 to 1 ratio for managers to subordinates, so there would be 10 people between an engineer and the CEO. Typing secretaries have been replaced by admins and personal assistants, and executaries. Weaving loom operators have been replaced by Photoshop artists and machine technicians. Telephone operators have been replaced by automatic exchanges.
      Workers either emigrate, set up their own companies and/or move onto doing something diffferent.

      --
      Vintage computer adverts: http://www.vintageadbrowser.com/computers-and-software-ads
    7. Re:Chicken Littles by SillyHamster · · Score: 4, Funny

      The only difference I see between horses and the common man is that he or she can vote. ...

      And literacy. And the ability to use tools. And the ability to communicate with language. And the ability to learn, think abstractly and plan for the future.

      Aside from all that, the common man is just a dumb animal.

      Do you think you're a super genius surrounded by idiots, per chance?

    8. Re:Chicken Littles by rtb61 · · Score: 5, Interesting

      However reality is we live in a psychopathic insane society, where selfishness and greed have become dominant at the top. For them, if you have no useful function, you should starve and die. So the reality is automation presents a real problem for us as a transitional society.

      With no attempts in place to reduce working hours, in fact the opposite occurring the reality is, society is far more likely disintegrate into violence as those at the top expect those at the bottom to simply die and those at the bottom refusing to do so.

      The internet is helping to break down the control of the psychopathic minority but will it be quick enough to prevent societal collapse driven by insanity at the top? At the current rate no, with continuing pressure to reduce wages and increases hours rather than the required increase in wages with a reduction in working hours. Until that shift occurs to say a 6 hour 4 day week, things look pretty grim in the long term.

      --
      Chaos - everything, everywhere, everywhen
    9. Re:Chicken Littles by TsuruchiBrian · · Score: 4, Interesting

      Where horses really better off when they were more useful to man? They were essentially kept as slaves. They were a means to an end, not an end in themselves. Maybe horses aren't smart enough to notice or care that they are slaves. Maybe some people aren't either.

      Yes a difference between the common man and a horse is autonomy (one manifestation of which is the right to vote, along with other rights bestowed by various societies and constitutions and enforced by legal systems). When we say horses became useless, this is only in relation to people. What does it mean when people become useless? In relation to what? I'm sure some would argue that if the poor became useless to the rich, there would be a strong incentive to simply have the poor killed. This is probably true under some circumstances. But living in a society where the only thing keeping the poor alive is their usefulness (real or artificial through denial of technology) to the wealthy, seems to me to be barely an improvement. Maybe that was good enough for horses, but I wouldn't accept that for people.

      I think people are intelligent and empathetic enough to come up with a system that respects human life while trying to maximize economic efficiency. I think sopping technology to keep the unskilled useful is one of the the dumbest things you can do if you care about overall human prosperity.

      Even if you look at it from the point of view of the selfish uber-wealthy. If my options were to have 10% of my $billion income used to help poor people, or 90% of my $trillion income (facilitated by technology) used to sustain people who have no useful skills, it is simply irrational of me to choose the former. Obviously a selfish uber-wealthy person would rather just kill all the poor and keep 100%, but that's not one of the options allowed in this social contract. If people ever lose the right to vote or democracy fails, etc, all bets are off anyway.

    10. Re:Chicken Littles by TsuruchiBrian · · Score: 4, Insightful

      Traditionally in this sort of example, the rock throwers and jar smashers represent the government. The people benefiting (those getting an otherwise unnecessary job) are the "special interests", and the ones who end up paying the cost are the taxpayers.

      When the government decides it will pay people money to destroy their old cars (i.e. cash for clunkers), this creates jobs on the auto industry (the special interest), but it comes at the expense of the tax payer. It may seem like the beneficiary is the lowly autoworker with the new job, but this job is also profitable for the auto company (i.e. it's shareholders), that supplies it

      Any economy with a lot of window smashing job creation is one that has a smaller wealth pool from which to distribute to the same number of people. All economies are exploitable by those who are good at exploiting. Having more total wealth puts less pressure on those that end up at the bottom. For example, look at the situation of poor people in the US compared with poor people in Africa.

  2. Re:As intended. by Anonymous Coward · · Score: 5, Insightful

    The idea that our government could plan anything this complex and succeed is preposterous.

  3. André Gorz by EdgePenguin · · Score: 5, Interesting

    I'm currently reading Critique of Economic Reason by André Gorz. Despite being almost 30 years old, it describes this situation well. Rises in productivity due to automation are incompatible with a culture that values 'work' on a moral basis, and associates it with a persons identity.

  4. oblig by Anonymous Coward · · Score: 5, Interesting

    Got enough karma so might as well post this AC: http://marshallbrain.com/manna1.htm

    Captcha: exempt

  5. Last question in summary is very insightful by Nefarious+Wheel · · Score: 4, Interesting

    What if delegating everything to machines is a radical and fundamental new change in the course of human history?"

    The final question in TFS is an example of a question that's bounced along the periphery of technology and now deserves centre stage. Nicely put!

    Now, what are we going to do for a living after everything's been automated?

    --
    Do not mock my vision of impractical footwear
    1. Re:Last question in summary is very insightful by PrimaryConsult · · Score: 4, Interesting

      The hope for humanity would be for a simple and money-optional society. Everyone "gets" the basics (food, shelter, simple clothes, education, healthcare, public transportation, maybe a computer with internet access) with no requirement to contribute anything to society. If they want anything more than that (iPod, trip to Disney Land, a car, a house with front yard, clothes other than a solid color t shirt) they will need to make money, and for that they will have to work in one of the few jobs available. These jobs would be almost entirely academic (research will always be necessary), service, or cultural in nature. People would work until they could afford whatever luxuries they want, and then could opt to go back to having free time to explore their own desires/ambition. Without the requirement to work, working conditions would automatically improve, as companies would no longer be able to keep workers if "doing nothing" is better than the job they are offering.

      That is possible today actually, if we change the welfare system from something that gives out money to something that only provided necessities, and not money. Instead of farm subsidies, flat out buy the food.

      This system would only work if the "public option" for things that was held to a standard that anyone would be willing to accept. What passes for public housing now does not qualify, but what passes for dorms / cafeterias at a public college would be a start.

  6. Re:As intended. by Anonymous Coward · · Score: 5, Insightful

    The death of the middle class over the past 30 years has been intentional. Our leaders seek to return us to feudalism, and have been very successful at that. Remember that, next time you see a politician crying about the middle class.

    So, since this article posits that the rise of technology is also what's killing middle-class jobs, our leaders are... us. Right here in this tech-centric website. Discussing and promoting tech. The tech that's killing middle-class jobs.

    Nope, nope, too inconvenient. Has to be teh evul shadow comspeeracy and teh evul evul gummervents lookin' to take our guns and our jobs! Whew! That's much less depressing, and way easier to polarize!

  7. Agreed by Anonymous Coward · · Score: 5, Insightful

    A lot of intelligent, educated people can still get too caught up in ideologies to see the big picture.

    In order to be viable in the market, a labor-saving device must, by logical necessity eliminate more work than it creates. This is the only way to get the total cost of ownership down below the cost of hiring people to do the work. When successfully applied widely enough, this processes has serious economic implications.

    There is a finite (and, ultimately, small) demand for brain-work (you only need one genius to invent a trinket in order for everybody to be able to have one), so the majority of displaced workers cannot simply promote themselves to more interesting work. When production is very high but the labor cost is very low, you wind up with large masses of people who can't find *any* work (or at least nothing that provides a livable wage). That results in severe crime and upheaval.

    As tech puts us all out of work, we either start adopting more socialist policies, we put most of our population in jail (where we pay for their needs anyway), or we experience a violent mess.

  8. Re:We need better / quicker schooling / training by gestalt_n_pepper · · Score: 5, Interesting

    It's not just schooling. The fact of the matter is that some people aren't too bright. Without repetitive, simple jobs, these people will literally have no place in the economy. There's no comfortable answer here. Do we prevent the births of stupid people? Gene engineer all potential parents so that their children are smarter? How smart? Where are the boundaries? And who pays? Or do we just hand them all a check each month and encourage them to stay out of the way, and reproduce as little as possible?

    20th century morality isn't going to stand up long to this 21st century problem. Somewhere, something's got to give. Good luck if you think "the marketplace" is a good way to solve this. I think that was tried in France, and in Russia.

    --
    Please do not read this sig. Thank you.
  9. Re:As intended. by swb · · Score: 4, Insightful

    I sometimes wonder if feudalism isn't the economic system that is just historically more sustainable over time than anything else once your population exceeds the numbers associated with tribal organization.

    How long have we actually had "capitalism" and the kind of capitalism that assumes that its participants should pay fair prices or receive fair wages? Historically it seems like a total anomaly and it requires a ton of energy (political, economic, human) to sustain it.

    Given the chance, those who can will hoard resources and charge exorbitant prices for them and will pay as little as possible for labor, with no concern over the standard of living of labor. Slavery isn't inconsistent with feudal organization.

    At least in agrarian feudalism there were some limits -- underfed agricultural labor tends to produce less, putting the entire enterprise at risk, and some kinds of feudalism, though unfair by many standards, evolved to at least have a sort of reciprocal welfare, where the continuance of the system was more important than its efficiency.

  10. Slashdot crowd not very bright by Anonymous Coward · · Score: 4, Insightful

    I think some of the commentors here need to go back to econ 101 (or just use their heads for five minutes).

    Automation and increased unemployment are _inversely correlated_. If automation destroyed jobs, than how do you account for the trillions of jobs that have been created over the previous thousands of years given the creation of the wheel, the plow, the assembly line, the computer, etc.?

    There are _tons_ of jobs being created by today's automation, just as there always has been with increased efficiencies. The problem is that those jobs aren't being created in the US! The taxes are too high, the regulation is too onerous, and the labor is too expensive. If we lack job creation in the US, we only have ourselves and our boneheaded policies to blame!

  11. Re:well we need more hands on training / apprentic by h4rr4r · · Score: 5, Informative

    The point of college/university is to teach you how to think not fucking tradeschool. The classes you refer as filler and fluff are the damn point!

  12. Re:As intended. by ohnocitizen · · Score: 5, Interesting

    Tech could just as easily extend middle class jobs, if we chose productivity over cost efficiency. The problem is the people making those decisions seem to lean heavily towards saving their wealth, rather than investing and creating more. We ought to look into why they are making that decision, and also, why they are the ones who get to make it.

  13. Re:As intended. by gl4ss · · Score: 4, Informative

    reduction of people in manual labor jobs is intentional or if not intentional then the intentional GOAL of progress. that's what enables us to have droves of scientists, armies of professional athletes and more artists per capita than ever in every field. just a hundred years ago most people were occupied on producing basic necessities like food - now pretty much everyone in developed countries is fed, yet very few of us work in food production. that's on purpose.

    doesn't have much to do with feudalism though. quite the opposite. you want feudalism, you keep everyone on manual labor, you keep everyone on leash - you don't just set them free to do whatever they please with all the information in the world. you pay few to tax them to feed the masses.. that's more akin to socialism and the star trek goal there is to eventually have just very, very few of us toiling on food production and have everyone else do research and production of whatever gimmick devices they want.

    --
    world was created 5 seconds before this post as it is.
  14. if he won't by nten · · Score: 5, Informative

    I will go ahead of the AC won't. During the depression progressives froze wages, business responded by offering incentives like health care and dental to work around the wage freeze when recruiting talented workers. It became an expected benefit, and then a codified one.

    --
    refactor the law, its bloated, confusing and unmaintainable.
  15. Re:As intended. by Anonymous Coward · · Score: 4, Interesting

    did you know that 90% of americans were once farmers? and then they got pushed off the land by the emergence of technology and corporate farming (we're still in the 19th century here, folks). and THEN those people and their children took jobs in heavy industry (Carnegie, Mellon...) and extraction industries like logging and mining. And THEN the heavy industry jobs moved offshore and the extraction industries automated and wound down a bit. and THEN those people and their kids took jobs in engineering and technological industries. and THEN Japan took over the automotive and consumer markets. Remember the '70's "japan has won the war". And THEN... well OBVIOUSLY it's a HUGE CONSPIRACY perpetrated over several generations by... some... bunch of people who... well...

  16. Re:As intended. by Daetrin · · Score: 5, Insightful

    Sadly, many people would rather believe that some powerful, competent and malevolent group is in charge and causes all the bad shit that happens. Whether that group is the government, corporations, the UN, the Illuminati, or whatever.

    The idea that sometimes shit happens because someone just screwed up is scary. The idea that sometimes shit just happens and it isn't even possible to stop it is scary. No one would have had to come up with the adage "Never attribute to malice that which can adequately be explained by stupidity" if people weren't so eager to believe that there was someone to blame for intentionally causing all their problems instead.

    Note of course this does not deny that governments, corporations, and other groups _can't_ purposefully do shitty things to people, just that people have a strong tendency to exaggerate the power, maliciousness and competence of those groups.

    --
    This Space Intentionally Left Blank
  17. There won't be a revolution by rsilvergun · · Score: 4, Insightful

    the powers that be are getting a rein in on that. The ruling class has taken back the media. Sure, they let them have their little liberal social issues, but on economics it's conservative capitalism 24/7. The little guys didn't do much revolting for over 2000 years, and got put down every time they did (didn't turn out so good for Napoleon, did it?).

    The assumption you're making is that you're going to win in the good vs evil fight. Even if good doesn't win, you'll win. You won't. They'll come for you soon too. For all of us. There's nothing you have that the ruling class won't take away. Their greed knows no limits or bounds. It's what they do. They have enough wealth to buy anything. They teach us that if somebody just gives it to you you'll stop there. But that's a lie. They didn't stop. They never stop.

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
  18. Re:Why do you want to work for others all your lif by ATMAvatar · · Score: 5, Insightful

    Most of those who are filthy rich were originally from lower to middle class, just like you guys.

    (citation needed)

    There are plenty of mechanisms in place which make it easy to assume most of the filthy rich made it because they were born into wealth, either directly through inheritances or indirectly through financial help, family connections, and better schooling. Just as an example, 4 of the top 20 richest people on earth are part of the Walton family, which inherited their wealth from Sam Walton.

    That isn't to say I dismiss your point outright, but I think I need to see some actual data before I accept your point.

    --
    "They that can give up essential liberty to obtain a little temporary safety deserve neither liberty nor safety."
  19. Re:Why do you want to work for others all your lif by Maxo-Texas · · Score: 5, Insightful

    Exactly... like the Rothechild's, Jim Walton, Bill Gates, who started at the top and worked his way up, Warren Buffet, who also started as a child of privilege, ...

    In fact, well over 2/3 of the current wealthiest americans all started rich.

    They got their because their PARENTS were already wealthy and in America, your parents' income now accounts for 50% of your adult income potential- that's worse then many companies in EUROPE where it only accounts for 10%.

    America HAS some benefits- like forgiving you if you go bankrupt. You actually can start over again here unlike so many places (unless the reason is student debt- then you are frakked).

    But "land of opportunity" isn't one of them in the way you are talking.

    You can work your way up a rung or two. The rest is all connections, family names, and inherited money.

    And now those guys are using the money to buy machines which have been destroying jobs for almost a generation (15 years).

    Once you stop employing people- you can't use the capitalist model any more.

    If you have a job- do what I did. Save over half of what you made. Don't carry any debt. Then when they lay off 500 of you and take a SEVEN figure raise for "saving money on salaries", you will be safe.

    Worst run offshoring/outsourcing I've ever been part of. Our replacements didn't even arrive until 4 months after the layoffs- most of us were already gone. Companies probably screwed... but wait- that just means the executives are all going to get TWO YEARS PAY for highly damaging the company.

    --
    She was like chocolate when she drank... semi-sweet at first and then increasingly bitter.
  20. Re:Why do you want to work for others all your lif by joss · · Score: 4, Informative

    You ain't seen nothing yet. There's a short story about where all this is going.. http://marshallbrain.com/manna1.htm.. two models of the future in there, but I only find one plausible.

    --
    http://rareformnewmedia.com/