Bringing back jobs of the past
Dieter Adam, NZMEA We have recently talked about various Western countries positioning themselves to take industrial and manufacturing policy more seriously. It is worth further considering the future of manufacturing in relation to technology, productivity and jobs to help think about what policy moves may work, and those that may not be successful. The biggest criticism of such industrial policies currently is that some of the rhetoric is around bringing back “jobs of the past”– this has been most obvious in the United States. But it can’t be about bringing back ‘old jobs’. In most cases, those jobs are gone for reasons that can be understood, be that in the US, or here at home. All our industries have faced intense competitive pressure as manufacturing capability around the world increases, while at the same time as a country our productivity has lagged behind, and our companies have faced some relative cost increases, while our competitors have sought positions to better fit into supply chains, for example – commercial logic still dictates largely what jobs disappear overseas. What this really means is we need to look hard at taking measures to improve the competitive positioning of manufacturing in New Zealand. For our Government this means creating a set of policies and conditions that help our businesses grow and adapt, while facilitating the move into new niche areas, be that by existing companies or start-ups. Remaining globally competitive, and getting even better at it, means relentless innovation in a world where we see accelerating change in everything from consumer behaviour to product technology, methods of production and methods of doing business. How technological change effects future production will have a big part in determining what industrial jobs in the near future will look like. We continue to see automation becoming increasingly accessible, with […]