Who took the American's Jobs

Automation: The Rise of the Machines

Automation, encompassing robotics and artificial intelligence (AI), has revolutionized industries by enhancing efficiency and productivity. However, this technological advancement has also led to significant job displacement. According to a study by the National Bureau of Economic Research, the introduction of one industrial robot per thousand workers resulted in an employment decline of 0.18 to 0.34 percentage points and wage reductions of 0.25 to 0.5 percent. ​NBER

Further projections are even more striking. A report by NPR highlighted that automation could displace between 400 million and 800 million workers globally by 2030, with up to 73 million of those in the United States. This suggests that a substantial portion of the workforce may need to transition to new occupations or acquire new skills to remain employed.​NBER+3New York Post+3NPR+3NPR+1Gitnux.org+1

The impact of automation varies across sectors. For instance, the manufacturing industry is particularly susceptible, with estimates indicating that up to 20 million manufacturing jobs worldwide could be lost to automation by 2030. Similarly, the information technology sector has experienced shifts; the unemployment rate in IT rose to 5.7% in January, partly due to the integration of AI technologies reducing the need for certain roles. ​NBERWorldmetricsWSJ

Outsourcing: The Global Redistribution of Work

Outsourcing involves relocating business processes or services to external providers, often overseas, to reduce costs. This practice has significantly influenced the American job market. In the 2000s, U.S. companies reduced their domestic workforces by approximately 2.9 million while hiring 2.4 million workers overseas. ​Zippia

The information technology sector exemplifies this trend. In 2019, 92% of organizations in North America engaged in IT outsourcing to some extent. Occupations such as computer programmers, data entry keyers, and mechanical drafters are among the most vulnerable to outsourcing, with annual wages for these roles ranging between $26,350 and $100,640.​Zippia

Geographically, China has emerged as the top destination for U.S. outsourcing, with its outsourcing market growing by 30% annually. Other notable countries include the Philippines, Taiwan, Ukraine, and Vietnam. This global redistribution of work has led to debates about the long-term effects on the U.S. economy and employment rates.​Zippia

Immigration: Myths and Realities

Immigration’s impact on the job market is a contentious topic, often surrounded by misconceptions. Contrary to claims that immigrants take jobs from native-born Americans, data suggests otherwise. For example, a report by the Associated Press indicated that immigrant labor benefits the U.S. economy by contributing to growth and offering job opportunities for native-born workers. Immigrants typically fill roles that native workers are less inclined to take, such as positions in agriculture and food processing. ​AP News

Moreover, mass deportation plans could have detrimental economic consequences. An analysis by The Guardian highlighted that deporting millions of migrant workers would lead to productivity losses, inflationary pressures, and overall economic harm due to the country’s reliance on a mobile, low-cost workforce. Additionally, a report by the Center for Immigration Studies revealed that while the number of native-born Americans in the workforce has declined, immigrant labor participation has risen, challenging the notion that immigrants are displacing native workers. ​New York Post+4The Guardian+4AP News+4New York Post

Conclusion: A Multifaceted Issue

The question of who is taking American jobs cannot be attributed to a single factor. Automation, outsourcing, and immigration each play distinct roles in shaping the employment landscape. Automation and outsourcing have led to job displacement in certain sectors, while immigration has provided labor for roles less desired by native workers and contributed to economic growth. Addressing job displacement requires a comprehensive approach, including retraining programs, education, and policies that adapt to the evolving nature of work.