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AI and the Shrinking Workplace: Workers’ New Reality!

 

BY TIMI OLUBIYI, Ph.D.

Artificial intelligence, commonly called AI, and automated machines are no longer ideas for the distant future. In countries such as China and the United States, they are already changing how factories, hospitals, banks, supermarkets, warehouses and offices operate. Africa may not yet have reached the same level, but change is gradually setting in. I recently experienced this change personally when I visited one of Nigeria’s new-generation banks, easily recognised by its dominant orange colour, to replace my expired debit card. To my surprise, I completed the entire process without assistance from a bank employee. A machine verified my Know Your Customer (KYC) details and immediately issued a new card within the bank premises. The experience was fast and convenient, but it also revealed the employment implications of automation. Tasks that once required a customer-service officer can now be completed by a machine. Although this does not automatically mean that every affected worker will lose a job, it suggests that banks may need fewer employees for routine services. The challenge is therefore to retrain banking staff for roles requiring financial advice, problem-solving, cybersecurity, data analysis and stronger customer relationshipsareas where human judgement remains valuable.

Nigeria and Nigerian must be prepared along with other African countries. Because Africa is entering the age of automation from a difficult position. Countries with advanced economies generally have better electricity, stronger education systems, higher worker productivity and more importantly income support for people who lose their jobs. But the case is different on the African continent, for instance Nigeria is facing automation and technological disruption while also struggling with high unemployment levels, poor electricity supply, skills gaps with millions of young people searching livelihood. We should therefore stop seeing AI as only an exciting technology because of the social media content creation angle. It is now an economic and future of work issue. The greatest danger is not that robots will suddenly arrive in Nigeria and take every job. The bigger concern is that many new jobs that should have been created may never be created. Consider a simple Lagos State example that the author is familiar with. In the past, opening several new supermarkets, warehouses or factories would have created many jobs for cashiers, loaders, clerks, security guards, office assistants and supervisors. Today, a company expanding from Ikeja to Lekki, Epe or the Lagos–Ibadan industrial corridor may increase its business without employing as many people as possible. Payments, customer service, bookkeeping, stocktaking and some security duties can now be handled by machines, automations and computer programs.

The same change could happen in transportation and logistics. Anyone familiar with Apapa knows that Nigeria’s ports and logistics system still depend heavily on human labour. However, other countries are already using automated terminals, smart warehouses and AI systems to manage goods and plan deliveries. These technologies could make Nigerian ports faster and more efficient, but they could also reduce the number of workers needed. This is important because economic growth must improve people’s lives. The future of work should not be treated as a simple battle between people and machines. The real difference will be between people who can use technology and those whose work can easily be performed by it. For example, a cashier who only receives payments may be at greater risk than a shop employee who can manage digital stock records, study customer needs and operate automated systems. An accountant who only enters figures may face more risk than one who can explain financial information, advise business owners and use AI tools. A graphic designer or photographer whose main skill is preparing routine designs and portrait pictures may discover that AI can complete the same work in a few minutes. This is already becoming apparent and may create a long-term problem for those without AI literacy.

So, Nigeria must avoid two mistakes. The first is believing that automation will not affect the country because labour is relatively cheap. Technology is becoming more affordable and capable. Soon businesses will naturally compare the cost and reliability of machines with the cost of employing people. The second mistake is trying to stop technology in order to protect jobs. Nigerian businesses must use modern technology to remain competitive. Refusing to change could eventually cause businesses to fail and lead to even more job losses. This time technical and vocational education deserves greater attention. As businesses become more automated, Nigeria will need technicians who can install, repair, programme and manage machines. Not everyone needs a university degree to participate in the future economy. Practical and technical skills can provide valuable and rewarding careers.

Small businesses must also be part of this change. The discussion should not focus only on banks, factories and large technology companies. The fashion designer in Surulere, furniture maker in Mushin, delivery operator in Oshodi and food processor in Agege can use AI for advertising, customer communication and production planning. Nigeria also needs better plans for workers whose jobs may change or disappear, I hope that can happen? Losing a job because technology has changed an industry should not mean permanent unemployment.

AI and automated machines are neither enemies nor miracle workers. They are tools. They can make workplaces safer, reduce waste, improve healthcare, lower production costs and help businesses grow. But without proper planning, they can also increase inequality and create an economy where businesses produce more while employing fewer people. For Nigeria, the future of work is already a present concern. Africa should welcome innovation, but it must prepare its people to benefit from it. The continent’s greatest mistake would be to wait until jobs begin to disappear before asking what went wrong. Good Luck!

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Dr. Timi Olubiyi is an expert in Entrepreneurship and Business Management, holding a Ph.D. in Business Administration from Babcock University in Nigeria. He is a prolific investment coach, author, columnist, and seasoned scholar with good international networks. Additionally, he is a Chartered Member of the Chartered Institute for Securities and Investment (CISI) and a registered capital market operator with the Securities and Exchange Commission (SEC). He can be reached through his Twitter handle @drtimiolubiyi and via email at [email protected] for any questions, feedback, or comments. The opinions expressed in this article are solely those of the author, Dr. Timi Olubiyi, and do not necessarily reflect the views of others.