Wednesday, March 29, 2017

Can Universal Basic Income (UBI) Solve Automation-led Unemployment?

According to reports, Cognizant, the multinational IT giant which has major operations in India, is likely to lay off more than 6,000 of its employees. Though the purported reason being ‘non-performance’, it in fact is part of a wider trend in the IT sector where the ever-increasing automation is making many jobs, especially the lower-end jobs, redundant. There are clear indications that this redundancy is only going to get intensified in future and bad days are ahead for the working class. Research based on World Bank data has predicted that the proportion of jobs threatened by automation in India is 69 percent, 77 percent in China and as high as 85 percent in Ethiopia.