2019/36 | LEM Working Paper Series | ||||||||||||||||
Digital technologies, employment and skills |
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Jelena Reljic, Rinaldo Evangelista and Mario Pianta |
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Keywords | |||||||||||||||||
Digital technology; Innovation; Employment; Skills; European industries.
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JEL Classifications | |||||||||||||||||
J23, J24, J21, O3
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Abstract | |||||||||||||||||
The diffusion of digital technologies and their impact on employment and skills is investigated in
this article considering six major European countries (Germany, France, Spain, Italy,
the Netherlands and the United Kingdom) and 42 manufacturing and service industries
over the 2009-2014 period. We analyse two key dimensions of digitalisation
– industries’ consumption of intermediate inputs from digital-intensive sectors
and investment in ICT tangible and intangible assets per employee. We first
investigate their effect on total employment finding that job creation in industries
is supported by high digital consumption and reduced by high digital investment.
We then explore how these variables have shaped the evolution of four
professional groups - Managers, Clerks, Craft and Manual workers,
defined on the basis of ISCO classes - and the increasingly polarised
skill structure of European economies.
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