Feature topic - automation
Skills and staff shortages
Jade Linton, senior associate of Thursfields Solicitors, provides practical guidance and tips onmanaging issues of workforce disruption and skills shortages
A recent report by PwC (https://pwc. to/2r6C1a7) has revealed that by 2030 up to 30% of jobs could be automatable; and with Brexit pending no one can deny the imminent changes that leaving the European Union (EU) will have on the workforce and particularly its impact on skills shortages in the UK. One challenge will be the ability to recruit and retain appropriately skilled labour. Can advances in automation assist, but if not how can employers prepare for these uncertain times? Automation and its impact Another report by PwC (https://pwc. to/2sGnaTY) analysing more than 200,000 jobs in 29 countries, concluded that there are many economic benefits posed by automation. According to the report, artificial intelligence (AI), robotics and other forms of automation will contribute up to fifteen trillion dollars to global gross domestic product by 2030. This wealth will bring increased demand for jobs as well as bridging the gap left by staff and skills shortages in the event of a sudden no-deal departure from the EU. In some sectors, and particularly those with a multi-national function engaging in cross-border trade, smart automation may be the answer in reducing the logistical challenges faced by the unavailability of appropriately skilled workers. Though AI alone will not resolve the short- and even medium-term issues left by gaps in staff and skills shortages post Brexit, the data is somewhat clear that AI is ‘the future of the workforce’. But what can be done about the immediate challenges in the meantime? ● Risk assessment – A good starting point is to establish an organisation’s exposure to risk, loss and disruption in staff and skill shortages by carrying out an audit of the workforce followed by a risk assessment. This exercise enables the organisation to see the actions to reduce the short-and
medium-term impact staff changes will have and also provides it with a strategy to plan for the longer-term impact. An effective audit and risk assessment should include: ❍ Identifying UK nationals working elsewhere in the EU as well as nationals from those countries working in the UK. This will help to plan for worker mobility restrictions and labour shortages that could result from Brexit. ❍ Carry out a review of all European expatriate and secondment arrangements. ❍ Check and monitor the immigration status of UK inbound and outbound expatriate workers and establish the date on which they can apply for permanent residence or citizenship. ❍ Review whether contractual provisions such as restrictive covenants, confidentiality or intellectual property obligations need to be amended to address any unenforceability risks which may follow after Brexit. ...increased demand for jobs as well as bridging ● Identify and support impacted staff on immigration status – Following the audit and risk assessment described above, the organisation will now have a list of key individuals who are nationals of EU states, and can consider what resources need to be put in place to mitigate any impact of Brexit on the affected employees. For example, in an effort to assist retention, a business may consider making a contribution towards the legal costs of affected individuals to receive legal advice about securing their UK residency. Communication channels between the gap left by staff and skills shortages...
human resources departments and wider teams need to be kept open and regular with a willingness to receive and answer questions promoted to staff. ● Check your terms and conditions – In the event of a sudden no deal departure from the EU, businesses will need to identify areas where staff and skills gaps will appear and have short-term solutions available. Such solutions may include suspending or even terminating certain services but not without first assessing the legal and contractual implications of this exercise with any customers and suppliers. Automation may also help with skills shortages in less business-critical areas. Long-termmeasures It is in the medium- to long-term that organisations can really see the benefits of deploying various strategies to mitigate damage caused by staff and skills shortages. In addition to automation these strategies include: ● diversifying talent pools ● upskilling staff to have the skills required to use automated technologies, and ● having robust measures in place to secure retention. It goes without saying that preparation is vital, whether changes to workforces are brought about by Brexit or the steady wave of change in the employment landscape. Organisations would be best advised to have such changes on their strategic agenda now in order to avoid major disruption to their workforce(s). organisations alongside the government would be wise to work together to help people adjust to these new technologies through training and career progression. Promoting a culture of adaptability and lifelong learning across workforces will be crucial for spreading the benefits of AI and robotics whilst ensuring there are no wider implications in terms of job losses. n Comment Automation is here to stay and
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| Professional in Payroll, Pensions and Reward |
Issue 57 | February 2020
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