Labor in the age of automation: revisiting the 30-year debate on the 'end of work' prophecy

Abstract

This systematic review revisits the 30-year debate on Jeremy Rifkin's 'end of work' prophecy, which predicted that technological progress would reduce human labor demand, causing unemployment and social crises. We examine key contributions in the economic literature since 1995, focusing on arguments and evidence for and against Rifkin's thesis as well as proposed policies and indicators for monitoring economic transitions. The review reveals nuanced views on the response to technological level and automation on employment demand, with some studies suggesting that new tasks can foster employment levels, whereas others emphasise the need for public policies to balance the job landscape. Education and reskilling policies are the most recurrent proposals to support workers in adapting to evolving labor market supply. The study proposes a group of indicators for monitoring economic transformations driven by technological advancements, including employment trends by sector, wage growth, job quality, income distribution, and pace of technology adoption. In addition, this study advocates broader national and regional analyses and updates to theoretical frameworks explaining labor market dynamics. Future research should expand the scope of the analysis and develop robust monitoring systems to assess the multifaceted effects of automation on the economy and society.