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Technology and the Future of Work

The Impact on Labour Markets and Welfare States

Bent Greve

Changes in the labour market demand new solutions to mitigate the potentially dramatic wiping away of jobs, and this important book offers both analysis and suggestions for change. Bent Greve provides a systematic and vigorous assessment of the impact of new technology on the labour market and welfare states, including comprehensive analysis of the sharing and platform economies, new types of inequality and trends of changes in the labour market.
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Chapter 6: The end of labour market organisations?

The Impact on Labour Markets and Welfare States

Bent Greve

Extract

Many countries have already seen a decline in membership of trade unions and a weakening of employees’ organisations. This development will presumably continue to reduce the number of employees with membership of a trade union given the increase in the number of “self-employed” people using the sharing economy, short-term contract work, etc. Thus collective agreement as a stabiliser in the labour market – helping in ensuring a decent wage income in order to reduce the risk of becoming working poor – might be wiped out, implying a risk of more unstable labour markets and rising inequality in many countries. Thus, the stable relationship in many welfare states including organisations in the labour market is under threat. This chapter will look into this and the possible consequences thereof, including the issue of stability in labour markets.

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