Over the next ten years, the digital transformation generated by new technologies will affect 600,000 jobs in Romania, according to PwC’s Workforce Disruption Index. According to the report, 325,000 new jobs will be created over the next decade, while another 275,000 workers will need to improve their digital skills, as automation and the introduction of artificial intelligence will gradually eliminate repetitive activities.
“The report presents for the first time the potential impact of new technologies on jobs in Romania. It is a very useful analysis for those concerned about how digital transformation will reconfigure business models, certain industries and even the economy of the country. The most important observation is that the improvement of employees’ digital skills becomes vital. At the same time the partnerships with government institutions need to be encouraged in order to look for areas of common interest such as infrastructure, education or health, where investments may stimulate the adoption of new technologies. In the absence of investments, new jobs cannot be created in key sectors. Moreover, in the case of economies vulnerable to automation and changing business models, some jobs are at a higher risk. Therefore, the concern for education, including of governments, can alleviate pressures on the labour force having skills that will be in less demand on the labour market in the future,” says Ionut Sas, Partner of PwC Romania.
How digital automation will affect the labour market Romania:
- 600,000 jobs will be impacted by the new technologies in Romania. To maintain or create jobs, an innovation and digitization strategy has to be introduced.
- Innovation and digitization will contribute to streamlining processes, but they also require the implementation of strategies to improve workers’ digital skills.
- The 600,000 jobs could contribute to an increase of local Gross Domestic Product (GDP) up to USD 66 billion by 2029.
- In manufacturing, agriculture and utilities, jobs are most likely to be replaced as these sectors do not currently use technology and automation. These sectors will need to improve the digital skills of employees.
- New technologies will generate new jobs, especially in the areas of health, education or financial services.
“Social, economic, cultural and technological change has an impact on every industry and occupation. In this context, the PwC report is a starting point for organizations that want to gain a competitive edge and to look at the perspectives for their industry as well as to learn how to respond to the transformation. For example, companies that depend on low labor costs, such as manufacturing, can begin to reorganize internally, adapt their processes, and invest in developing digital skills of their employees to meet long-term goals,” said Oana Munteanu, Senior Manager of PwC Romania.
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