Do you ever worry whether your job will exist in 2030? If not, you must.
It is unarguable that the world is changing. In almost every sphere of our lives, what once worked is not working anymore. Massive changes are taking place in how we live, how we travel, the ways we socialize and of course, how we work.
This rapidly changing world demands us to be more and more adaptable. The same is true for businesses. Late adopters cannot survive in the new era of digitalization, AI-s and massive globalization.
Changes are taking place with increased pace, and in ways that were unfathomable before. The earlier ways of top-down hierarchical communication in organizations is collapsing, as the new employees are more vocal with their demands for bringing physical and structural transformations in the traditional workplaces. The gap between high and low skilled jobs are widening due to automation and other uses of technology, leading to income inequality and rising unemployment.
At a time of such high uncertainty, it’s imperative to understand the drivers that are changing the dynamics and rules of work. We must understand the trends that are emerging so we are better prepared for the future that awaits us all.
Here are few of the top 5 drivers and trends that will determine which jobs will exist in the future:
1. NEW DEMANDS OF MILLENNIAL WORKFORCE
By 2025, millennials (those born roughly between 1981 and 1996) will constitute 75% of the workforce.
Having spent a majority of their life with immediate access to whatever information was required, this generation has grown up to be a lot different than the ones that preceded it.
Now, being in the workforce, millennials are pushing the organizations to update their work culture and re-evaluate the systems which are currently in use.
A good designation and regular salary is not enough to retain the talent anymore.
The new generation values job satisfaction in terms of the quality of work as well as the impact they bring to the table. The work culture is more important than ever before. Employers must create and sustain an environment that motivates them to come to work.
This tech-savvy generation wants to be in a workplace that is updated, efficient and modern.
Thanks to the rise of social media and online forums, they have easily available platforms to reach more people and share opinions. They are more likely to speak up about their dissatisfaction regarding work, organization or diminishing work-life balance if it does not match with their expectations.
👆🏻 This is driving employers to find new ways of ensuring job satisfaction.
Also, millennials value feedback; not only receiving feedback but also giving when it’s needed, which is pushing the organizations to make feedback a two-way street. Websites like Glassdoor have enabled people to have transparency, in terms of previously guarded information about employers.
2. CROSS BORDER MIGRATION
Migration is the direct result of globalization.
People often migrate to different countries where they expect a better standard of living and greater work opportunities.
In 2015, almost 247 million people lived in a country different than their place of birth. Out of which, 90% has moved voluntarily: mainly due to perceived economic benefits. The number of migrants has tripled in the last 50 years.
On the other hand, migrant workers earn wages that are 20–30% lower than native workers which imply that hiring migrant workers leads to greater cost-efficiency for employers.
According to research by Mckinsey Global Institute, if the migrant workers are well compensated for their work and integrated seamlessly into the main workforce, migrants can contribute up to $1 trillion of global economic output.
3. DECENTRALIZATION OF WORKPLACE
We are witnessing the rise of a Gig economy. As distance is no longer a barrier in recruiting potential employees, individuals are gravitating towards more flexible, project-based, contractual, remote working opportunities than ever before. The share of gig workers has increased from 6% in 1989 to more than 40% in 2020. And while 70% of them, choose to work in a flexible environment, 30% are forced to do so due to the lack of traditional jobs.
The emphasis is shifting from how long you spend at work to how much work you get done irrespective of the time spent at office.
This generation is not scared to leave stable, regular paychecks for more flexible work opportunities. Tech-based apps and websites (like Upwork, and elancer) are making it easier for companies to find contractual, freelance workers (often more skilled) for particular projects with less liability on their shoulders (usually gig workers do not demand insurance and other benefits that come with regular employment).
Platforms like Linkedin, Talent Pool and Upwork are bringing employers and employees together for hiring, collaborating and finding opportunities without leaving the comfort of their own locations.
At this time, companies must come to the realization that even their regular employees are likely to have side hustles and multiple streams of income.
The rise of start-up culture and entrepreneurism is helping people to get more comfortable with taking higher risks with the expectations of higher return when it comes to choosing a career. Today, people are more comfortable with uncertainty, thus
only ensuring a stable income stream is not enough to attract and retain the talent pool.
4. RISING SKILL GAP
According to a survey conducted by PwC, the availability of key skills is one of the biggest threats to growth. On the contrary, the new generation of employees is more prone to upskilling their talents and learning new things.
They are willing to leave a job where there is no opportunity for growth or further learning.
Today the organizations must ensure that they invest in employee learning and skill-building as well as provide multidimensional work opportunities to employees to build skill-sets that would help them advance their career path in order to keep talent.
At the same time, it is not enough today to learn only the technical skills for a job. Employers are looking for people with more soft skills like interpersonal or non-cognitive skills. According to a recent survey by Linkedin, the following are the skills most sought after by employers in 2020.
It shows that the need for tech-based / digitally oriented skills will rule the job market in the next decade along with soft skills that cannot be effectively performed by machines or robots.
5. TECH REVOLUTION
Lastly, the biggest trend that’s transforming the future of work is the tech revolution. Today, the transformation is more rapid and more radical than ever before. The division of labour between humans and machines / Artificial Intelligence (AI) is changing at a tremendously fast pace. By 2025, it is expected to shift to 48% human and 52% machine or algorithm.
According to research conducted by Mckinsey Global Institute, about 60% of occupations have 30% of activities that are technically automatable based on currently demonstrated technologies. On a global scale, it may affect 50% of the world economy or 1.2 billion workers.
Advanced technologies like Big Data, Cloud and AI are changing the landscape of how things used to work and opening new avenues for getting things done. Digital platforms like Linkedin or Upwork are bridging the gap between the requirement of a job and the talent hired with their powerful algorithms and filtering processes. Thus resulting in a more efficient recruitment process.
Although the tech revolution is replacing many of the existing jobs in the market, at the same time it’s opening doors for new modes of employment.
The digital economy is creating a need for knowledge and skill-based workers. Those who are ready to upskill themselves will be the ones to survive the era of transformation and reorganization.
Change is inevitable and as we move forward in the new decade, we know that it is going to be more radical and exhaustive. Although we cannot predict accurately what the future will look like, but we can certainly prepare ourselves and the future generations with the required skill-sets and tools to not only survive but thrive in the times to come.
illumnus is bringing technology and modern solutions into traditional classrooms, thus ensuring that the students today are ready to face the new dynamics of jobs tomorrow.