Social Agenda Issue 53 - EN

OTHER VOICES Digital revolution but also climate change Philippe Pochet: “Our first task is to think about how to reconcile these two futures and how they interact with demographic change and globalisation”. © ETUI 2018 It has become commonplace to predict big, even fundamental, changes in the world of work, as a result of what we call the digital transformation. However, this approach is too restrictive because we are confronted with, not one, but at least two, fundamental changes: on the one hand, the digital revolution and, on the other, the impact of climate change. Too often, if not almost always, these two transformations are considered separately. Our first task is therefore to think about how to reconcile these two futures ( https://www.etui. org/Publications2/Foresight-briefs/Two-futures-and-how-to- reconcile-them ) or even, more ambitiously, how they interact, in turn, with other megatrends of demographic change and globalisation that are also unfolding. The first point of debate is therefore how to take both of these transformations into account, along with their accompanying social and regulatory challenges. The approach of Carlota Perez in her work on technological revolutions offers us a useful analytical framework. She identifies within each of the five great waves of innovation that have taken place since the Industrial Revolution four successive phases: irruption, frenzy (followed by a financial crisis), synergy and maturity. New rules Considered within this framework, the digitalisation of the economy is, in fact, not a new industrial revolution at all, but the result of a synergy between different innovations that have been underway for 15 to 20 years. However, for this phase to lead to a new era of prosperity, new rules of the game must be accepted by the different actors involved. In adopting this (briefly summarised) approach, we see that the current challenge is to regulate digital platforms and enact all possible and necessary protections (contracts, pay and social protection) in these sectors of this ‘new’ economy. Without this, the conflicts that we can already see erupting in such platforms as Uber, AirBNB, Deliveroo, etc., will multiply, preventing economic development and the social acceptance of these changes. In this context, we can view the European Social Pillar as an attempt to find new rules acceptable to everyone (this can obviously also involve the application of old rules) and tackle the increasingly porous boundaries between the employment statuses of workers and their respective rights, as well as the issue of defining what an employer is and their obligations. New cycle However, this phase of synergy must, in addition, mesh with the twin objective of reducing our environmental impact and radically limiting greenhouse gas emissions. These, together, must set the goal and the direction of this new cycle of innovation. This radical transformation therefore requires two elements. First, the transition needs to be financed, both in terms of investment to make it happen and of compensation for those who will be adversely affected by it. This should be made a priority in the next multi-annual Community budget but also in those of the Member States. Secondly, political leadership is needed to decide on the direction to take. The urgency of the climate challenges means we cannot allow constant vacillation and U-turns. Together, these are the actions that will determine the direction and effects, positive or negative, of the big transformations that are taking place. Philippe Pochet, General Director, European Trade Union Institute 2 6 / SOC I A L AG E NDA / NOV E MB E R 2 0 1 8