Addresses business resilience and how companies can prepare for the next economic downturn, explores the ins and outs of effective decision making, and takes a hard look at talent in the workplace. Despite new occupations and overall job growth, one worrisome trend could continue: the hollowing out of middle-wage jobs. Press enter to select and open the results on a new page. For rural counties, the road is tougher. We analyze the automation potential of every job by looking at how many of its constituent activities can be handled by currently demonstrated technologies. Our model suggests that these areas could experience net job loss, with their employment bases shrinking by 3 percent. Automation will affect workers across age brackets, but both the youngest and oldest segments of the labor force face unique risks. If you would like information about this content we will be happy to work with you. McKinsey Insights - Get our latest thinking on your iPhone, iPad, or Android device. segments of the labor force face
Every community, from the most dynamic to the most distressed, faces economic development issues that need to be solved at the local and regional level. Millions of jobs could be phased out even as new ones are created.
McKinsey Quarterly. Administrative assistants, bill collectors, and bookkeepers lost a combined 226,000 jobs from 2012 to 2017. Training and education can no longer end when workers are in their twenties and carry them through the decades. The United States does not have to let opportunity concentrate in a limited number of places, some of which are straining at the seams, while others wither. We choose to tackle some of the world’s biggest challenges—and we are early on a journey to ensure that our purpose is reflected in all we do to overcome them. A new report maps local labor markets today and weighs the impact of automation on people and places. Many occupations are likely to shrink through attrition and reduced hiring. Because some racial minorities have lower educational attainment, we find they are more vulnerable to being displaced by automation. We used a mathematical clustering method to categorize all US cities and counties into 13 archetypes based on their economic health, business dynamism, industry mix, labor force demographics, and other characteristics (download the full list of locations in each segment). The good news is that there is a growing tool kit of potential solutions, and many promising pilots are under way. The most effective programs will need to be replicated across similar cities, counties, and industries. The report also benefited enormously . Our flagship business publication has been defining and informing the senior-management agenda since 1964. Flip the odds. displaced workers to new,
The next step is attracting investment, which does not have to come from within the United States. Even as some jobs decline, the US economy will continue to create others—and technologies themselves will give rise to new occupations. Our findings suggest that net job growth through 2030 may be concentrated in relatively few urban areas, while wide swaths of the country see little employment growth or even lose jobs. These events have deepened our commitment to supporting communities across the globe, both in response to and beyond these crises.
This work and the report Cities and counties across the United States are entering this period of technological and labor market change from different starting points. Use minimal essential
Companies can make a difference, too, in recognizing that talent, space, and untapped potential are available all over the country.
Reinvent your business. We performed this audit as a follow-up to a preaward audit of the proposal for the option to renew GSA Contract Number GS-10F-0118S, with McKinsey & Company, Inc. Washington D.C. (McKinsey). Digital upends old models. The vast majority (429 counties) are rural areas in the Americana and distressed Americana segments. For megacities and high-growth hubs, the priorities may be connecting disadvantaged populations with new opportunities, adding affordable housing, and improving transportation. On the other end of the spectrum, the decade ahead could be a rocky one for rural America (interactive). Although a tighter labor market may increase wage growth in the short term, it will take sustained growth to counter the trend of wage stagnation, which dates to the 1980s. Our flagship business publication has been defining and informing the senior-management agenda since 1964. Please use UP and DOWN arrow keys to review autocomplete results. Residents have been moving out of megacities, stable cities, America’s makers, and trailing cities. The work highlighted in our 2019 Social Responsibility Report lay the foundation for our response, and our 2020 report will convey how we continue to rise to these and other global challenges. Learn how we work with private- and public-sector institutions on challenges created by growing pressure on resource systems and increasing environmental risk. While employment in categories such as office support and food service may decline, our scenario suggests strong job growth in healthcare, STEM occupations, creative fields, and business services. This has already been occurring in office support roles, for instance. automation age will be
'This annual report from McKinsey & Company and LeanIn.Org is the largest study of the state of women in corporate America. A central challenge in the
By contrast, trailing cities have had virtually no job growth for a decade—and the counties of Americana and distressed Americana have 360,000 fewer jobs in 2017 than they did in 2007. Unleash their potential. Report - McKinsey Global Institute The future of women at work: Transitions in the age of automation June 4, 2019 – Concerted and creative new solutions are needed to enable women to seize new opportunities in the automation age; without them, women may fall further behind in the world of work.
Just 25 cities (megacities and high-growth hubs, plus their urban peripheries) have accounted for more than two-thirds of job growth in the last decade (Exhibit 1). tab. The picture is worst for the roughly 970 distressed Americana counties that are entering the decade in poor economic health.
These differences are explained by each county’s and city’s current industry and occupation mix as well as wages. The Rural Innovation Initiative, recently launched in nine communities nationwide, is building outposts for workers in the downtowns of rural cities, aiming to spur professional collaboration and nurture tech talent across the country. Population growth has also tilted toward urban America. Offices once populated by armies of administrative assistants, research librarians, and payroll and data clerks now run with leaner support teams and more digital tools. Kinsey Report Introduction. Select topics and stay current with our latest insights. It will be important to create a wider variety of pathways from high school to work, perhaps through apprenticeship. This approach reveals that the differences between local economies across the country are more nuanced than a simple rural-urban divide or regional variations. Learn about
Our mission is to help leaders in multiple sectors develop a deeper understanding of the global economy. may account for about 60
3. The challenge ahead is to scale up the most successful programs. But this is not a foregone conclusion. Employers will be the natural providers of training and continuous learning opportunities for many workers. But the national results contain a wide spectrum of outcomes. Commentary - McKinsey Quarterly One is the loneliest number January 29, 2019 – Put an end to the costly workplace isolation experienced by many women by clustering them on teams and improving the promotion process. It has been reshaped by dramatic events like the Great Recession but also by a quieter ongoing evolution in the mix and location of jobs. 1
Practical resources to help leaders navigate to the next normal: guides, tools, checklists, interviews and more. For African Americans, the potential displacement rate is 23.1 percent (4.6 million individuals). Some may need to change jobs within the same company, and employers would provide the necessary training in these situations. intelligent machines become fixtures in the American workplace. A new report from the McKinsey Global Institute, The future of work in America: People and places, today and tomorrow (PDF–4.41MB), analyzes more than 3,000 US counties and 315 cities and finds they are on sharply different paths. More broadly, the day-to-day nature of work could change for nearly everyone as intelligent machines become fixtures in the American workplace. Our purpose as a firm is to help create positive, enduring change in the world. ompanies report that they are highly committed to gender diversity. McKinsey Global Institute. Use minimal essential
Our analysis suggests that by 2030, they could decline as a share of national employment by 3.4 percentage points. Progress isn’t just slow. cookies, download the full list of locations in each segment, McKinsey_Website_Accessibility@mckinsey.com, less than 5 percent of occupations can be automated in their entirety, women represent 47 percent of the displaced workers in our midpoint automation scenario, representation of women in the tech sector. Learn about
The pace of disruption from automation will depend on how rapidly companies adopt the new technologies. We are honored to receive the Platinum rating from EcoVadis, the leading social responsibility rating organization. Immigration has more than offset domestic population losses in megacities and stable cities, but populations in rural Americana counties grew by less than 1 percent—and distressed Americana is shrinking. Wages and purchasing power are real concerns. Furthermore, when people in rural segments and less vibrant cities do move, it is usually to places with a similar profile rather than to megacities or high-growth hubs (Exhibit 2). These losses will not necessarily manifest as sudden mass unemployment. Midcareer workers need to continue paying their bills while they train for the next chapter in their careers; they require short, flexible courses that follow the boot camp model, teaching new skills in weeks or months rather than years. In the decade ahead, the next wave of automation technologies may accelerate the pace of change. 25 megacities and high-growth
A new report from the McKinsey Global Institute, The future of work in America: People and places, today and tomorrow (PDF–4.41MB), analyzes more than 3,000 US counties and 315 cities and finds they are on sharply different paths. LONDON, United Kingdom — 2019 will be a year of awakening for the fashion industry, one that will go down in history, finds The State of Fashion 2019, a new report co-published by The Business of Fashion (BoF) and McKinsey & Company that was released today. Our model indicates anemic 1 percent employment growth over the entirety of the next decade in the more than 1,100 rural Americana counties. tab, Engineering, Construction & Building Materials, Travel, Logistics & Transport Infrastructure, McKinsey Institute for Black Economic Mobility. The fourth annual State of Fashion report by The Business of Fashion and McKinsey & Company forecasts slowing growth for the second year in a row and underscores a prevailing mood of anxiety and concern amongst senior fashion executives. What lies ahead is not a sudden robot takeover but a period of ongoing, and perhaps accelerated, change in how work is organized and the mix of jobs in the economy. Based on the median salary of jobs in 2017. Reinvent your business. Roughly 14.7 million workers under age 34 could be displaced by automation; almost half of them are in roles with high separation rates, so employers lack incentives to retrain and redeploy them. Men, for example, make up the majority of drivers and assembly line workers, while administrative assistants and bookkeepers are predominantly female. The skills needed in fast-growing STEM roles, in particular, are continuously evolving. In customer service and retail sales, for example, counter attendants and rental clerks may decline, but more workers could be added to help customers in stores or to staff distribution centers. Hispanic workers, for instance, are overrepresented in food service roles and have the highest rate of potential displacement among all minority groups, at 25.5 percent (7.4 million individuals). Posted By Najib Jan 05, 2019 03:47 Business The Ministry of Economy has uploaded the McKinsey full report entitled “Lebanon Economic Vision” on its website. Press enter to select and open the results on a new page. hereLearn more about cookies, Opens in new
The coming wave of automation will affect some of the largest occupational categories in the US economy, such as office support, food service, production work, and customer service and retail sales (Exhibit 3). Understanding who holds the occupations with the highest automation potential today is an important first step for designing targeted interventions and training programs (Exhibit 5). percent of net job growth by
Annual Revenue ( $ ) McKinsey revenue was $10.5 b in FY, 2019 which is a (5.0%) year over year increase from the previous period. Partner Susan Lund explains why the impact of automation will play out differently depending on where you live. A central challenge in the automation age will be connecting millions of displaced workers to new, growing jobs. McKinsey Insights - Get our latest thinking on your iPhone, iPad, or Android device. People create and sustain change. McKinsey Global Institute. The coming wave of automation will affect some of the largest
The Kinsey Reports on car parts prices have been around since 1990 – probably conjuring up visions of great piles of spark plugs, radiators, headlights and fenders, - all of which are duly price tagged and compared in a large chart. That data can form the basis of an economic development plan built around a growth engine industry that can create jobs and spillover effects. Small powerhouses could enjoy 15 percent employment growth on average by 2030, fueled in many places by technology businesses. Year-end forecasts seem more grounded when accompanied by efforts to put the existing year in context. Our approach to social responsibility includes empowering our people to give back to their communities, operating our firm in ways that are socially responsible and environmentally sustainable, and working with our clients to intentionally address societal challenges. All levels of government, nonprofits, education providers, and industry associations can play a role here. Our mission is to help leaders in multiple sectors develop a deeper understanding of the global economy. Forging career pathways to help people move up and finding sources of future middle-wage jobs will be essential to sustaining the US middle class. Some niche cities are also well positioned.
White workers have a potential displacement rate of 22.4 percent, and Asian-American workers have the lowest rate at 21.7 percent. Learn more about cookies, Opens in new
hubs, plus their peripheries,
Something went wrong. People create and sustain change. For these workers, governments and other stakeholders can help to make local labor markets more fluid and easier to navigate. The communities in the mixed middle segment need to accelerate economic growth and focus on entrepreneurship and skills development. cookies. America’s makers may see mixed results; they will need clear strategies to shift to advanced manufacturing and rebuild local supply chains. A culture of inclusion Our previous work ran multiple scenarios regarding the pace and extent of adoption. This recognition reflects our commitment to ensuring that we have a positive and lasting impact on society. According to McKinsey’s 2019 Apparel Chief Purchasing Officer Survey, while the absolute number of sustainable fashion products remains low, there has … The work highlighted in our 2019 Social Responsibility Report lay the foundation for our response, and our 2020 report will convey how we continue to rise to these and other global challenges. Many stable cities and independent economies have relatively educated workforces and could become attractive regional outposts for corporations looking to expand into lower-cost locations. Based on the median salary of jobs in 2017. Even in the nation’s most prosperous cities, large populations are already struggling to find a place in the new economy and keep up with the rising cost of living. Yet geographic mobility in the United States has eroded to historically low levels. McKinsey. Now technology demands new and higher-level skills, including more critical thinking, creativity, and socioemotional skills. It’s stalled. RECOMMENDATIONS TO THE . The research is a snapshot of some surprising shifts in consumer behaviour that highlights the importance of adaptability and versatility. occupational categories in the US economy. No amount of workforce retraining can solve the bigger challenge of lack of economic activity. across age brackets, but
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