Technological Unemployment

Technological Unemployment

"Technology... is a peculiar thing. It brings you great gifts with one hand, and it stabs you in the back with the other." 
-C.P. Snow

Wikipedia defines Technological Unemployment as "unemploymentprimarily caused by technological change," or more accurately technological innovation. In industries were "technological unemployment" occurs, productivity and profitability tend to increase. We don't generally think of increased unemployment as causing increased productivity.

Most "technological unemployment" tends to happen in industries and work scenarios that are easily automated like assembly and manufacturing. Think robots. 
 However, automation is occurring in more and more sectors not previously thought to be automatable. Fast food restaurants are starting to experiment with automation. I've personally seen robotic beverage machines. A machine that grabs the right size cup and fills it with the cold drink I've ordered. I've also seen a computer touch screen for placing your order, which replaces the fast food worker who used to take your order. Some restaurants are experimenting with replacing wait staff by placing iPad like devices on restaurant tables and you just order your food from there with a simple pull down menu when you're ready. No wait staff coming out to take your order. Need another beer? Just punch it in and someone will bring it out.


If you think robots caused "technological unemployment," wait until 3D printing (learn more here) becomes mainstream. Several 3D printing patents expired last year, which had been holding the 3D printer market back. Many others patents still exist, however, and with the innovation that is occurring in the 3D printer market and with the software and material science technology ever advancing, 3D printing is going to cause "technological unemployment" like we've never seen before. It will not just affect the manufacturing sectors, but also shipping, warehousing, and even construction and housing. Need a bridge? Print it. Need a house? Print it. 3D printers are cheaper than Chinese labor and there is no need to warehouse or ship parts and other various items across oceans. They will be able to be printed on-site or right next door in every hometown.

The explosion of software and mobile applications is also causing "technological unemployment." Ride sharing applications like Uberand Lyft have caused decreased revenues among taxicab companies. Room rental software like Airbnb, where you can rent a room at bed and breakfasts and hotels all over the world, is hitting large hotel chains with decreased revenues. The smart capitalist understands that productivity and profitability don't have to be tied to the number of employees a company has. As it's always been since the beginning of tool making, technology that lets you do what you have been doing with a lower overall cost is going to win in the market place.

SampleServe.com's own software is loathed by AutoCAD Technicians all over the country. It all but eliminates the need for AutoCAD technician time, significantly impacting their pocket books. Project management time is about 10-20% of 
what it used to be. The typical monitoring project is mostly data crunching and mapping. With our software, what used to take two days now takes about 10-20 seconds. The vast majority of the environmental industry bills by the hour, so there is this inherent subliminal resistance to technologies that cut into billable hours. It's an "It's working now, why would I want to change" mentality. I can't tell you how many times I've heard "How am I supposed to make any money if I use your software?" from a potential client.


Resistance to change is inherent in humans; we are all creatures of habit. Many of us however, are also curious, inventive, and competitive. In today's technological world and with the ever-increasing rate at which technology is advancing, if you don't want to become one of the "technologically unemployed," you had better make learning and embracing new proven technology a daily habit.

As always, your comments and questions about anything I've written are appreciated.

- Russell Schindler

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