Income support and other forms of transition assistance to help displaced workers find gainful employment will be essential. Beyond retraining, a range of policies can help, including unemployment insurance, public assistance in finding work, and portable benefits that follow workers between jobs.
We know from history that wages for many occupations can be depressed for some time during workforce transitions. More permanent policies to supplement work incomes might be needed to support aggregate demand and ensure societal fairness. More comprehensive minimum-wage policies, universal basic income, or wage gains tied to productivity growth are all possible solutions being explored.
Policy makers, business leaders, and individual workers all have constructive and important roles to play in smoothing workforce transitions ahead. History shows us that societies across the globe, when faced with monumental challenges, often rise to the occasion for the well-being of their citizens.
