 "Suresh Prabhu")
Railways minister Suresh Prabhu said as the world moves toward a fourth industrial revolution, driven by digital technology, it should be mindful of the impact on jobs and the environment.
“We need technology. No doubt about it. No one can stop it. It is inevitable. We must... be mindful of these two issues, of environment and society,” Prabhu said at a panel discussion on India’s Fourth Industrial Revolution, at the Confederation of Indian Industry-World Economic Forum (CII-WEF) India Economic Summit, which started on Thursday.
Prabhu, who leads a workforce of 1.5 million railwaymen, said it was a matter of global concern that new economic growth over the past decade or so had not added to jobs. “It is a big issue. We are working in the Indian context with the skilling programme,” he said, adding, “It is no argument for not developing technology.” Noting that when the first steam engine was introduced, there was fear of loss of livelihood for people operating horse-drawn carts.
Even as countries like Japan are creating new technologies and robots to serve their ageing population, countries with a young population, like India, are facing challenges in creating enough jobs.
At a separate session on India Economic Update, Vineet Nayyar, vice-chairman, Tech Mahindra India, said, “You are going to see the middle class jobs going away. That is the blacker side of technology and is already happening.”
He said it was a very inward looking phase in the world, as in the current US presidential election. “There is an increasing feeling of vulnerability. But, remember, this is again a result of technology. A gap between the rich and poor is increasing, jobs are disappearing in the US at a fast pace. If technology continues at the same pace, you are going to see a huge social upheaval because, ultimately, the accounting profession is under huge attack and is diminishing. You are going to see the same in medicine and the legal profession. That is the darker side of technology and is already happening.”
“We need technology. No doubt about it. No one can stop it. It is inevitable. We must... be mindful of these two issues, of environment and society,” Prabhu said at a panel discussion on India’s Fourth Industrial Revolution, at the Confederation of Indian Industry-World Economic Forum (CII-WEF) India Economic Summit, which started on Thursday.
Prabhu, who leads a workforce of 1.5 million railwaymen, said it was a matter of global concern that new economic growth over the past decade or so had not added to jobs. “It is a big issue. We are working in the Indian context with the skilling programme,” he said, adding, “It is no argument for not developing technology.” Noting that when the first steam engine was introduced, there was fear of loss of livelihood for people operating horse-drawn carts.
Even as countries like Japan are creating new technologies and robots to serve their ageing population, countries with a young population, like India, are facing challenges in creating enough jobs.
At a separate session on India Economic Update, Vineet Nayyar, vice-chairman, Tech Mahindra India, said, “You are going to see the middle class jobs going away. That is the blacker side of technology and is already happening.”
He said it was a very inward looking phase in the world, as in the current US presidential election. “There is an increasing feeling of vulnerability. But, remember, this is again a result of technology. A gap between the rich and poor is increasing, jobs are disappearing in the US at a fast pace. If technology continues at the same pace, you are going to see a huge social upheaval because, ultimately, the accounting profession is under huge attack and is diminishing. You are going to see the same in medicine and the legal profession. That is the darker side of technology and is already happening.”
While some estimates discussed at the WEF suggested robots were likely to wipe off five million jobs globally by 2020, recent data indicate joblessness in India is at a five-year high. The country’s unemployment rate, as measured by the labour bureau, stood at 4.9 per cent in 2013-14, 4.7 per cent in 2012-13 and 3.8 per cent in 2011-12. While the unemployment rate in rural areas rose to 5.1 per cent in 2015-16 from 4.7 per cent in 2013-14, it declined to 4.9 per cent from 5.5 per cent in urban areas during the same period.
In a recent report, the World Bank said developing countries were more at risk in losing jobs to robots, as the share of occupations that could experience significant automation is actually higher in these than in more advanced economies, where many of these jobs have already disappeared.
Prabhu recalled how in an attempt to control ozone depletion, people ended up creating systems that emitted greenhouse gases. “We solved a problem but created a new one,” he said.
John Rice, vice-chairman, General Electric (GE)-South Asia, agreed with the importance of dealing with dislocation. “Reskilling, retraining and a different form of capacity building” was required, he felt. “You can’t have your head in (the) sand,” he added.
According to him, the goal of the education system should not be a 35-year career but of “life-long learning”.
Prabhu said the government had recently called six top global companies to talk about technology that can be used in India. “The role of the government is of an enabler. We are gearing up for that,” the minister said.
Rice of GE , which will be building 1,000 modern locomotives for Indian Railways over the next 10 years, said the government can help companies move around data they are able to generate. For example, every GE locomotive will soon be able to create digital copies of its entire life from birth, recording every small incident during its operation. Privacy laws today restrict moving around data for detailed analysis, which could help improvement of systems and products.
OTHER VOICES AT WEF
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Vedanta Chairman Anil Agarwal: Merger of Cairn India with Vedanta likely to be completed by the end of FY17
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M&M Executive Director Pawan Goenka: M&M is looking at multifold jump in revenue to $1 billion (Rs 6,700 crore) from agri biz and expects e-commerce to play a major role in growth
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DIPP Secretary Ramesh Abhishek: Govt is further relaxing the FDI regime
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Oil Minister Dharmendra Pradhan: Govt should not control petroleum prices
- Transport Minister Nitin Gadkari: Conversion of waste into wealth can generate Rs 10 lakh crore per annum
