The Impact of Digital Technologies on Routine Tasks: Do Labor Policies Matter?

Almeida, Rita; Corseuil, Carlos Henrique Leite; Poole, Jennifer P.

doi:10.1596/1813-9450-8187

Cited by 23 publications

(19 citation statements)

References 20 publications

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“…Data of routine task intensity comes from the O*NET 2000 release, which associates the importance of certain tasks to 800 occupations in the United States. Following Almeida, Corseuil, and Poole (2017), and assuming that occupations in Brazil entail similar tasks as the U.S., occupations are assigned a routine intensity. These are matched with the Brazilian occupation system CBO 30 .…”

Section: Routine Task Intensitymentioning

confidence: 99%

Does Automation Lead to De-Industrialization in Emerging Economies? - Evidence from Brazil

Stemmler

2019

SSRN Journal

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This paper investigates several channels through which automation affects an emerging economy. Building on a Ricardian model of trade with sectoral linkages and a two-stage production technology, in which robots replace labor in certain tasks, it is shown that domestic and foreign automation have differential effects on labor markets. Based on this model, the impact of automation on local labor markets in Brazil are estimated using a shift-share approach. Local labor market exposures to industry-level stocks of robots are derived from their initial industry-employment composition. Foreign automation is found to decrease manufacturing employment through the channel of final goods exports, while it increases employment in the mining sector through the channel of input exports. This may stimulate what has been called "premature deindustrialization" in emerging economies. To account for possible endogeneity in adopting robots domestically, robot uptake in other emerging economies is used as an instrumental variable. Domestic automation is found to directly decrease the ratio of unskilled industry workers and increase the ratio of skilled workers. Also, the wage gap between the two groups widens as a consequence of domestic automation, reinforcing income inequality.

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Section: Routine Task Intensitymentioning

confidence: 99%

Does Automation Lead to De-Industrialization in Emerging Economies? - Evidence from Brazil

Stemmler

2019

SSRN Journal

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“…Dachs (2018) also found that new technologies substituted for routine tasks and that a high share of tasks require creative and social skills. Moreover, Almeida et al (2017) also investigated the impact of digital technologies on worker tasks. They investigated about 16m workers in 2,312 occupations in Brazil.…”

Section: Technology Adoption and Labor Demandmentioning

confidence: 99%

The adoption of digital technology and labor demand in the Indonesian banking sector

Alisjahbana

Setiawan

Effendi

et al. 2020

IJSE

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PurposeThis study investigates the effect of digital technology adoption on labor demand in the Indonesian banking sector.Design/methodology/approachThis research uses bank-level survey data obtained from the Indonesia Financial Service Authority (OJK) for the period 2010–2017 using semiannual data. This research applies a panel data method using a fixed effect model.FindingsThis study results show that technology adoption affects labor demand significantly in all Commercial Bank Based on Business Activities (BUKU) levels of banks. Technology adoption tends to be a substitute for labor in BUKU I, BUKU II and BUKU III banks in the support and business units. In addition, technology adoption complements labor only in the business unit in BUKU IV banks.Research limitations/implicationsThis research uses a sample of only 40 banks at the regulatory levels of BUKU I, BUKU II, BUKU III and BUKU IV. These 40 banks account for more than 80% of the assets in the Indonesian banking sector.Originality/valueLiterature investigating the effect of the adoption of digital technology on labor demand in the banking sector is still rare in the Indonesian economy. Most of the previous research limited its area of study to the manufacturing industry. This research makes a vital contribution in measuring the adoption of digital technology and its effect on labor demand in the banking sector using the BUKU level classifications of banks.

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“…In a similar study, show that the adoption of computers by households in Vietnam is strongly associated with increases in the demand for non-routine manual tasks and routine cognitive tasks. Based on employer-employee data from Brazil, Almeida et al (2017a) find that the rollout of the internet between 1996 and 2006 was associated with a reduction in employment and a fall in demand by technology-intensive industries for routine tasks, thus shifting the composition of employment towards non-routine tasks. Finally, Almeida et al (2019) find that the use of advanced software reduces the relative demand for analytical skills by Chilean firms.…”

Section: Literature Reviewmentioning

confidence: 99%

How Technology Adoption And Trade Are Shaping Indonesian Labor Markets

Viollaz¹,

Darko²,

Mason³

2019

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The Policy Research Working Paper Series disseminates the findings of work in progress to encourage the exchange of ideas about development issues. An objective of the series is to get the findings out quickly, even if the presentations are less than fully polished. The papers carry the names of the authors and should be cited accordingly. The findings, interpretations, and conclusions expressed in this paper are entirely those of the authors. They do not necessarily represent the views of the International Bank for Reconstruction and Development/World Bank and its affiliated organizations, or those of the Executive Directors of the World Bank or the governments they represent.

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The Impact of Digital Technologies on Routine Tasks: Do Labor Policies Matter?

Cited by 23 publications

References 20 publications

Does Automation Lead to De-Industrialization in Emerging Economies? - Evidence from Brazil

Does Automation Lead to De-Industrialization in Emerging Economies? - Evidence from Brazil

The adoption of digital technology and labor demand in the Indonesian banking sector

How Technology Adoption And Trade Are Shaping Indonesian Labor Markets

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