Bain has come up with its Macro Trends Group report to describe the key changes that will take place in the workforce by the year 2030. This will be precipitated by changes in demographic patterns, rising inequality and the growth of automation. These forces are already changing the scenario for investorsand businesses. A fifth of the present jobs could be lost to automation and robotics by 2020, especially hitting low and middle-income jobs. Add to this, the loweconomic growth in the developed countries. As per the business intelligence submitted in this report, Bain says that US$ 8 trillion additional investment will be required to achieve productivity gains by 2030. There have been previous industry shifts such as from agriculture to manufacturing between 1900 and 1940. But the sheer numbers now will dwarf the previous figures. Market momentum is no longer to be taken as a precedent due to rising volatility. Interest rates may be expected to constantly rise. Automation could actually lead to a period of boom for about ten to fifteen years, followed by a bust. The role of governments is expected to rise. International conflicts will now involve businesses too. Talent recruitment of skilled workforce will taper off as avenues will reduce for the people. Baby boomer generations spending will peak by 2020, and then fall off.

Source:http://www.bain.com/publications/articles/labor-2030-the-collision-of-demographics-automation-and-inequality.aspx

Uploaded Date:18 August 2018