Automation Threatens 83 Million Jobs Globally by 2027

A recent study by the World Economic Forum reveals that automation could jeopardize approximately 83 million jobs worldwide within the next three years. Key sectors facing significant risks include accommodation, wholesale, and the arts.

High Risk Sectors Identified
The McKinsey study highlights that within Europe, certain sectors are particularly vulnerable to job displacement due to automation. Accommodation and food services top the list at 94%, followed by arts at 80%, and wholesale and retail at 68%. The construction and transport sectors also face substantial risks, with 58% and 50% of jobs potentially affected, respectively.

Workforce Retraining Essential
With automation advancing rapidly, McKinsey estimates that 94 million European workers will require retraining by 2030. The report warns that many of those affected may lack tertiary education, making transitions to new occupations challenging. It anticipates that 21 million individuals might need to change their career paths entirely.

New Job Opportunities on the Horizon
Despite the looming job losses, the World Economic Forum suggests a potential creation of 69 million new positions globally by 2027. However, these opportunities may not be evenly distributed across Europe, with regions experiencing labor market contractions likely to see a significant impact.

Regional Disparities in Job Markets
The report highlights that around 40% of European workers might live in areas with shrinking job markets, particularly in eastern and southern Europe. To counteract these trends, McKinsey advocates for enhanced remote work incentives and improved digital infrastructure.

Economic Centralization in Major Cities
Europe’s productivity is increasingly concentrated in major urban centers such as Amsterdam, London, and Paris, which represent only 20% of the population but account for a disproportionate share of GDP and job growth. In contrast, 438 regions are experiencing declines in workforce and educational attainment.