{"id":267,"date":"2020-02-24T03:48:42","date_gmt":"2020-02-24T03:48:42","guid":{"rendered":"http:\/\/unparpress.development.unpar.ac.id\/?p=267"},"modified":"2020-04-28T01:28:11","modified_gmt":"2020-04-28T01:28:11","slug":"the-future-of-work-in-indonesia-2030","status":"publish","type":"post","link":"https:\/\/unparpress.unpar.ac.id\/index.php\/2020\/02\/24\/the-future-of-work-in-indonesia-2030\/","title":{"rendered":"The Future of Work in Indonesia 2030"},"content":{"rendered":"\n

\u201cIndonesia\u2019s\njobs story can be a positive one. Automation has the potential to raise productivity\nand GDP growth, and to generate higher incomes for Indonesian workers and\nmarket opportunities for Indonesian companies. While as many as 23 million jobs\ncould be displaced by automation in Indonesia by 2030, between 27 million and\n46 million new jobs could be created in the same period.\u201d ~ McKinsey &\nCompany<\/p>\n\n\n\n

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(Source: McKinsey & Company)<\/figcaption><\/figure>\n\n\n\n

Automation technologies are changing the workplace, providing a significant opportunity for nations and companies to boost productivity, efficiency, and growth. At the same time, they are altering the nature of work. Successfully harnessing these technologies will create jobs, but it will also displace others and change many occupations. A report of McKinsey & Company (2019), titled Automation and The Future of Work in Indonesia <\/em>\u2500 authored by Kaushik Das, Phillia Wibowo, Michael Chui, Vishal Agarwal, and Vivek Lathwhich \u2500, draws on their global research into how technology is affecting the economy, business, and society, focuses on the implications of automation adoption for Indonesia. Here are their key findings:<\/p>\n\n\n\n

\u2013 Automation<\/strong> has\nthe potential to raise productivity and GDP growth in Indonesia and generate\nhigher incomes for workers and market opportunities for companies. The positive\neconomic impact could help Indonesia accelerate its growth trajectory, creating\njobs for many of the 25 million new entrants to the country\u2019s labor force by\n2030.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

\u2013 While some jobs in\nIndonesia may be displaced by automation, many more will be added to the\neconomy by 2030, likely leading to a net gain<\/strong>. About 16 percent of the total\nhours worked in Indonesia could be automated by adopting demonstrated\ntechnologies, according to a scenario that takes the midpoint in our range for\nthe pace of automation adoption. These lost jobs could be more than compensated\nfor by new labor demand, especially from rising incomes and increased spending\non infrastructure and other sectors. They\nestimate that these factors could lead to a net gain in Indonesia of between four\nmillion and 23 million jobs by 2030. This figure includes 10 million jobs in\nnew occupations that do not exist today, in line with past trends of innovation\ngenerating new forms of work.<\/p>\n\n\n\n

\u2013 Indonesia is already\nsuccessfully harnessing the digital revolution to some degree. Companies such\nas Go-Jek and Grab are continuing to grow, providing job opportunities to\nIndonesia\u2019s underemployed and unemployed population. Online commerce is another\nexample of how new technologies are creating work. By 2022, they estimate that online\ncommerce<\/strong> could directly or indirectly support up to 26 million\nfull-time-equivalent jobs. These examples highlight Indonesia\u2019s entrepreneurial\ndynamism and willingness to adapt, but they are just a start: much more can be done\nto harness the new technologies.<\/p>\n\n\n\n

\u2013 Employment growth<\/strong>\nis likely to change the mix of sectors in the Indonesian economy as a whole.\nConstruction and manufacturing could see growing demand for labor, as could accommodation\nand food service, education, healthcare, and retail and wholesale trade. However,\nsome occupations that involve routine, predictable work could be susceptible to\nautomation, including collecting and processing data.<\/p>\n\n\n\n

\u2013 New skills<\/strong> will\nbe needed for the automation age. These include technological skills, but also\nsocial and emotional and higher cognitive skills such as creativity and advanced\nproblem solving. Indonesians who complete secondary education will likely see\nthe largest net change in employment to 2030, but in percentage terms, the\ngreatest opportunities will be for those who have college or advanced education.\nThis creates an important challenge for the country\u2019s education sector.<\/p>\n\n\n\n

\u2013 Indonesia will need proactive\nstrategies<\/strong> to adopt artificial intelligence (AI) and automation to remain\ncompetitive in the global and ASEAN marketplace. All stakeholders, including policy\nmakers, academic institutions, NGOs, and business leaders, will need to prepare\nfor substantial changes affecting the future of work. Companies must start planning\nfor, and transitioning into, the future of work now, with long-term learning\nprograms both for people affected today and those possibly affected in the\nfuture.<\/p>\n\n\n\n

The report among others\nconclude the importance of promoting entrepreneurship at scale<\/strong>.\nEntrepreneurship and more rapid new business formation will not only boost\nproductivity, but also drive job creation. Startups and SMEs<\/p>\n\n\n\n

employ far more people\nthan large enterprises. For a country like Indonesia, encouraging growth of\nstartups and SMEs can help create jobs at scale. Online commerce has already had\na major impact on Indonesia\u2019s job market. It is giving a boost to Indonesia\u2019s\njewelry sector; artisans in traditional production centers such as Bali and\nYogyakarta sell their products to digitally savvy local aggregators, who then\nresell to overseas retailers. *** (PX) (Source: McKinsey & Company, 2019)<\/p>\n","protected":false},"excerpt":{"rendered":"

\u201cIndonesia\u2019s jobs story can be a positive one. Automation has the potential to raise productivity and GDP growth, and to generate higher incomes for Indonesian workers and market opportunities for Indonesian companies. While as many as 23 million jobs could be displaced by automation in Indonesia by 2030, between 27 million and 46 million new […]<\/p>\n","protected":false},"author":1,"featured_media":432,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":""},"categories":[2],"tags":[],"_links":{"self":[{"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/posts\/267"}],"collection":[{"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/comments?post=267"}],"version-history":[{"count":1,"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/posts\/267\/revisions"}],"predecessor-version":[{"id":23375,"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/posts\/267\/revisions\/23375"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/media\/432"}],"wp:attachment":[{"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/media?parent=267"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/categories?post=267"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/unparpress.unpar.ac.id\/index.php\/wp-json\/wp\/v2\/tags?post=267"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}