The rise of robots and the fall of routine jobs

Abstract

This paper examines the impact of industrial robots on jobs. We combine data on robot adoption and occupations by industry in thirty-seven countries for the period from 2005 to 2015. We exploit differences across industries in technical feasibility – defined as the industry's share of tasks replaceable by robots – to identify the impact of robot usage on employment. The data allow us to differentiate effects by the routine-intensity of employment. We find that a rise in robot adoption relates significantly to a fall in the employment share of routine manual task-intensive jobs. This relation is observed in high-income countries, but not in emerging market and transition economies.