How Will the Pandemic Accelerate Business Automation and Increase Unemployment?

In recent years, more focus has started to shift towards automation and how it could potentially impact businesses in the future. This has become especially apparent throughout the ongoing COVID-19 pandemic, as more businesses turned the additional focus towards how to make use of digital technology. As a result, more businesses are finding that business automation is actually impacting their workforce and could lead to bigger changes moving forward. This is why it is important to understand how the COVID-19 pandemic could accelerate business automation and result in increased unemployment. 

Redefining Job Responsibilities

Most professionals will agree that the rise in technology has led to a number of shifts in how business works. More businesses are finding ways to utilize technology than ever before, which has resulted in more jobs becoming automated. This has led to more jobs being completed by automation and has decreased the need for workers in specific areas. With fewer jobs available for workers in these roles, more individuals will be forced to look for new jobs altogether and will likely require unemployment while determining their next steps.

Decrease In Company Culture

With more jobs being taken over by automation, businesses will likely feel the strain of their company culture as well. Before the COVID-19 pandemic started, most businesses had an office space for employees to work each day. After communities were forced to shut down, many of these offices went remote for the first time and have chosen to remain remote moving forward. As a result, the increased use of technology combined with the decreased time spent in person has made it more difficult to maintain a positive company culture. While there may not be as many opportunities to connect while working remotely, businesses need to remember the significance of team-building. This is especially important for any businesses that have been forced to downsize as a result of automation during the pandemic. 

More In-House Efforts

Another underestimated shift in how businesses work comes in the form of in-house responsibilities. Using outside agencies or firms to help keep things running became more challenging for many businesses once the pandemic hit. This was likely a result of major financial losses due to communities shutting down at the start of the pandemic and forced businesses to re-evaluate what work could be done internally. Many business leaders decided to either bring all efforts internally or use automation to reduce the expenses needed for employees. As a result, many people were laid off from their jobs and were forced to apply for unemployment. This trend will likely continue to grow, especially as more businesses begin to see the financial impact of automation. 

As automation continues to impact how the world functions, businesses should be prepared for any changes as a result.