Events in the past two years in the employment domain demonstrate how workers have been laid off as companies strive to enhance efficiency and reduce costs through technology application. For instance, during the year 2014 Tata Chemicals, Cadbury, Nestle and Sher Karuturi together laid off 600 workers to cut costs and improve revenue generation. Coca-Cola Kenya also laid off workers in 2015 to cut costs. In 2016 alone, over 10,000 workers may have been laid off by more than 20 firms that encompass manufacturers and numerous banks. While firms were laying off employees, the economy was registering growth. The phenomenon in which the economy expands while jobs are lost is due to technology-fueled service industries, for instance, the banking and the insurance sectors.
You can see that technology can lead to massive job losses, which means that future graduates must focus on being inventors, innovators, and entrepreneurs. They cannot focus solely on getting employed because the recent layoffs demonstrate the rising uncertainty in which those who attempt to be entrepreneurs will have numerous opportunities.
Compared to earlier industries, technology has the potential to disrupt jobs at every sector. The impact of technology on jobs or employment must be fixed now. Companies, organizations or institutions should not condemn employees to be out of employment. Many tasks that humans used to do are now being done through technology application, for instance, invoices can now be generated by a computer.
Today, companies strive to deliver services efficiently and fast, which changes the way people are served. Technology is going to make substantial differences. Nevertheless, technology will never replace the necessity for real people and it cannot take over all the roles of people since people need someone to talk to.
What is needed is a purpose
Beginning from 2015, some people have been compelled to deal with increasing unemployment as firms use technology to increase their efficiency and reduce operating costs.
Regardless of the effectiveness of the internet, more people are employed today than during the previous years (20 to 30 years ago). Therefore, people should be encouraged to establish small companies to form a strong start-up economy. The main threat to startups includes giant companies such as Safaricom and KCB due to their ability to invest into anything they wish. However, the government should come in as a regulator to protect startups.
Besides, the education system must encourage people to focus more on practical aspects. While it is important to have the knowledge, it is even more important to engage in the practical side of things.