This should take three main approaches:
Prepare:
Give younger generations entering the labour market the right set of skills and knowledge to succeed in the jobs of the future.
The basis for the estimation for which occupations will become more or less important is founded on the expectation that interpersonal skills, cognitive skills (such as originality and fluency of ideas) and judgment and decision making will become ever more important. This will require teaching both in schools and at further education colleges to adjust to help their students develop such skills.
A major related concern is that schools in a number of areas are failing to provide quality education based on today’s curriculum, even before further improvements to what is taught are considered. Weaker economies such as Hull and Middlesbrough have very few schools deemed as high performing according to the Education Policy Institute,
9 meaning pupils in these places face the dual challenge of not being given the core skills required to get a high-skilled job as they enter a labour market where higher-skilled opportunities are limited.
Adjust:
The current workforce should be given adequate resources to adjust to changes in the labour market.
People currently in the labour market need to be able to adapt as the demand for skills changes. This will require continuous training and upskilling.
The unveiling of the National Retraining Scheme in the most recent Industrial Strategy suggests a move in this direction. At this stage the policy applies only to digital and construction jobs, but as such a scheme is rolled out there should be a shift towards developing the idea of lifelong learning. One way to do this would be to allocate each worker a number of hours a year to devote to training, to encourage workers to further their skillset in light of an ever changing labour market. This would require greater funding of the further education sector.
Compensate:
Individuals least able to adapt need to be given adequate compensation for their job loss but should also be given retraining.
As part of any wave of change, not everyone will be better off, at least in the short-term. This means that there will still be a requirement to provide a safety net for people if their job disappears.
But this should be done in conjunction with improved access to and requirement for training, to give individuals the ability to continue to work, as well as helping to shift the skills base of a city to improve its chances of attracting in higher-skilled business investment. Cities and the national government must ensure people who are worse off as a result of future job losses receive adequate support. But unlike the past, this support cannot only come in the form of welfare payments.
