The Technological Solution to Low Unemployment

Ever since the financial crisis of 2009, the unemployment rate in the United States has been persistently high. Despite all kinds of austerity measures and policy attempts the last few years have been difficult for many Americans. And now, almost 5 years later, it’s only starting to come down to pre-crisis levels. But there’s one part of the economy where unemployment isn’t much of a problem. Do you know what that is?

The truth is, that even though most companies have been cutting jobs and freezing hiring, the technology sector of the economy remains quite strong. It’s true! And if you don’t believe me, just ask yourself how companies like Facebook can afford to spend billions of dollars on acquisitions. Obviously, in Silicon Valley, things aren’t so bad, right?

If you still feel a little bit unsure about the technology employment rate, check out this recent data from US recruiting and staffing firm Randstad. This article shows that the high-tech segments of the economy, like IT and engineering jobs, are some of the highest in demand. Workers in the technology sector are more optimistic than ever about their job prospects. Do you know why?

The truth is, as the economy continues to improve from the financial crisis, all kinds of hiring have picked up. But the reason technology jobs are standing so far above the rest of the pack is because technology staffers usually provide their employers with a high return on investment. Technology jobs offer the opportunity for employees to leverage their skills and give more value to their bosses. To help you understand, let me explain this with an example…

An assembly line worker could add value by building something for his or her employer, right? But the problem they face is that at some point, the factory owner can either outsource the job to someone for less money, or they can invest in technology (like robots) to automate the production and manufacturing.

Do you see what just happened?

Increasingly, a large portion of our jobs are being done by machines. Whether it is a physical task or an administrative one, there are robots and software that can do these jobs much cheaper than a human being can. So what’s the key?

Well if you haven’t guessed yet, the answer is to be the person who creates the robots and the software! That’s also why the technology jobs we talked about earlier are in such high demand, despite other parts of the economy really suffering. When you’re the one who can help your employer achieve more at a lower cost (in this case, using technology) you become much more employable and help fuel sustainable growth for your business.

That’s the technology solution to low unemployment. Of course getting new skills isn’t always easy, but there is tons of information out there and you can get started today improving your ability to deliver value, instead of worrying if there will be a job for you in the economy.

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