Millions of retail jobs in the US are likely to be automated out of existence in the coming years. Retail cashiers are at highest risk for automation technologies, and women hold 73 per cent of these positions.
Some 16 million Americans are employed in retail, which represents ten per cent of the nation’s working population and generates six per cent of the US gross domestic product.
Some 36 per cent of retail workers currently receive some form of public assistance and the average retail worker age is 38. Contrary to perceptions, 71 per cent of retail workers are full-time employees. Most companies are considering the use of in-store technology such as mobile devices, self-checkout, digital kiosks and proximity beacons. In addition, sensor-based checkouts and smart shelves are a growing technology.
The shrinking of retail jobs in many ways threatens to mirror the decline in manufacturing in the US. Moreover, in this case, workers at risk are already disproportionately working poor, so any disruption may cause strains in the social safety net and stresses on local tax revenues.
Retailers need to balance demand for wage increases with the negative optics of future job losses. The winners in retail will be companies that provide recruitment, retention and training for workers and innovate with forward-thinking future store strategies.