Automation impacts retail jobs

automation including self-service is accelerating in the retail sector, and this could hamper efforts to bring down the US' stubbornly high jobless rate, writes the Los Angeles Times.

The publication says in an industry that employs nearly one in 10 Americans and has long been a reliable job generator, companies are increasingly looking to peddle more products with fewer employees.

Shipping and warehousing workers are being replaced by robots that can process packages more efficiently than humans, it adds.

Virtual assistants are also taking the place of customer service representatives. Kiosks and self-service machines are reducing the need for checkout clerks, the report adds.

According to eWire Informer, as of January, there are 1.1 million fewer retail jobs than in 2008.

There have also been indications that employment within the retail industry has become just about stagnant over the past 10 years despite increasing sales at major chains.

Some analysts believe the drop in retail jobs is due to the recession but it's also because retailers are rethinking their operations to find new ways to make more money with fewer workers.

According to City Town Info, retail employment has barely changed over the past year, yet $740 billion was transacted through self-service machines in 2010, up 9% from the year before, notes Greg Buzek, president of technology research firm IHL Group.

However, low-skilled jobs are not the only victims of automation. As The New York Times points out, progress in computer science and linguistics has allowed automation to take over even higher-level jobs, particularly within the legal industry.

City Town Info says when it comes to finding relevant documents for a lawsuit, computers and software programs are getting better at mimicking human reasoning. One computer can now do what an army of lawyers and paralegals do in less time and for less cost.