The effect of digital transformation on employment in Egypt: An applied study using ARDL model

Abstract

The current study aims to measure the effect of digital transformation on employment in Egypt, in addition to developing some proposed measures to sustain the digital vision in the New Republic to reduce unemployment. So, this study tries to contribute to this discussion, which attracted the attention of the two researchers to the problem of this research. EViews 12 Software was used as this study depended on the autoregressive distributed lag methodology, which gives the best results in the long run, and is considered one of the most suitable models with the sample size used in this research. The sample size consisted of 18 observations extended from 2003 to 2020. As well as, the Vector Auto-Regression model was used to test the relationship between variables in order to test hypotheses as it is characterized by dealing with the variables entering the system as correlated internal variables. The study results showed that the unemployment variable did not have a causal effect on the independent variables, while the education variable and the Gross domestic product variable had a causal and positive effect on the independent variables that express the transformation digital where the significance value was less than 5%.digital transformation, employment in Egypt, procedures of reducing unemployment | INTRODUCTIONToday, the world is witnessing a fourth industrial revolution as a result of rapid technological developments that are reflected in societies and institutions alike. Globally, daily life is changing in unimaginable ways. It is expected that digital transformation technology will have a significant effect on jobs quantitatively and qualitatively. As a result of the changing nature and conditions of work and the digital skills required, the institutions' need for specific types of workers may be lower (David, 2015), so there are many concerns that technological innovation will reduce job opportunities and suppress wages and therefore workers are expected to resist the modern digital technologies, where they make their skills obsolete which in turn reduces their income permanently (Frey & Osborne, 2017). In this context, (Elgohary, 2020) had proved the resistance of workers to the modern technologies in his study; the impact of employees' resistance to change on implementing e-government systems.Digital transformation has now become an important part of the sustainable development implementation plan, so Egypt seeks to keep pace with these developments by activating the digital transformation system in all state institutions to improve the business environment and culture, raise the level of performance and increase production rates to create many job opportunities and reduce unemployment in an effort to implement Egypt's plan for sustainable development (El-Kamhawi, 2020). According to the report of Ministry of Communications and Information Technology (2021), the communications and information technology sector achieved the highest growth rates in the country in spite of the Corona pandemic, as it exceeded ...

Trends and Transformations of E-Retailing in Jordan Sales Market: Challenges, Growth, and Potential Future Developments

“…In Jordan, has seen significant growth and transformation in recent years. Many trends have shaped the reality of online commerce in Jordan and changed the means and technologies by which companies operate (Elgohary, 2021). In the field of e-commerce adoption, Jordan has witnessed a significant increase driven by indicators such as widespread improvement of the World Wide Web, improved customer preferences, and an increase in the number of customers interested in technology.…”