Tag: labor

AI TRANSITION

The potential of AI is akin to the Industrial Revolution, yet it could surpass it significantly if managed correctly by humans.

Books of Interest
 Website: chetyarbrough.blog

The AI-Savvy Leader (Nine Ways to Take Back Control and Make AI Work)

By: David De Cremer

Narrated By: David Marantz

David De Cremer (Author, Belgian born professor at Northeastern University in Boston, and behavioral scientist with academic studies in economics and psychology.)

“The AI-Savvy Leader” should be required reading for every organization investing in artificial intelligence for performance improvement. From government to business, to eleemosynary organizations, De Cremer offers a guide for organizational transition from physical labor to labor-saving benefits of AI.

AI offers the working world the opportunity to increase their productivity without the mind-numbing physical labor of assembly lines and administrative scut work.

Like assembly line production implemented by Ford and work report filing and writing during the industrial revolution, AI offers an opportunity to increase productivity without the mind-numbing physical labor of assembly line work and after-work’ analysis reports. With AI, more time is provided to workers to think and do what can be done to be more productive.

Arguably, AI is similar to the industrial revolutions transition to assembly line work. Assembly line work improved over time by changes that made it more productive. Why would one think that AI is any different? It is just another tool for improving productivity. The concern is that AI means less labor will be required and that workers will lose their jobs. De Cremer notes loss of employment is one of the greatest concerns of employees working for an organization transitioning to AI. Too many times organizations are looking at reducing costs with AI rather than increasing productivity.

The solution identified by De Cremer is to make AI transition human centered.

His point is that organizations need to understand the human impact of AI on employees’ work process. AI should not only be viewed as a cost-cutting process but as a process of reducing repetitive work for labor to make added contributions to an organization’s goals. AI does not guarantee continued employment, but reduced manual labor offers time and incentive to improve organization productivity through employee’ cooperation rather than opposition. AI is mistakenly viewed as an enemy of labor when, in fact, it is a liberator of labor that provides time to do more than tighten bolts on an auto body frame.

AI is not a panacea for labor and can be a threat just like industrialization was to many craftsmen.

But, like craftsman that went to work for industries, today’s labor will join organizations that have successfully transitioned to AI with a human-centered rather than cost-reduction mentality. Labor productivity is only a part of what any AI transition provides an organization. What is often discounted is customer service because labor is consumed by repetitive work. If AI improves labor productivity, more time can be provided to an organization’s customers.

When AI is properly human centered, the customer can be offered more personal attention by fellow human beings employed by an AI organization.

Too many organizations are using AI to respond to customer complaints. Human-centered AI becomes a win-win opportunity because labor is not consumed by production and has the time to understand customer unhappiness with service or product. AI does not think like a human. AI only responds based on the memory of what AI has been programmed to recall. With human handling of customer complaints, problems are more clearly understood. Opportunity for customer satisfaction is improved.

De Creamer acknowledges AI has introduced much closer monitoring of worker performance and carries some of the same mind-numbing work introduced in assembly line manufacturing.

De Creamer suggests negative consequences of AI should be dealt with directly with employees when AI becomes a problem. Part of a human-centered AI organization’s responsibility is allowing employees to take breaks during their workday without being penalized for slackening production. Repetitive tasks have always been a drain on productivity, but it has to be recognized and responded to in the light of overall productivity of an organization.

AI, like the industrial revolution, is shown as a great opportunity for human beings.

De Creamer suggests AI is not and will never be human. To De Creamer AI is a recallable knowledge accumulator and is only a programmed tool of human minds, not a replacement for human thought and understanding. The potential of AI is akin to the Industrial Revolution, yet it could surpass it significantly if managed correctly by humans.

UNIONIZATION

Nolan clearly illustrates how important political power is in balancing corporate owner/managers’ disproportionate incomes and privileges with labor.

Books of Interest
 Website: chetyarbrough.blog

“The Hammer” (Power, Inequality, and the Struggle for the Soul of Labor)

By: Hamilton Nolan

Narrated by: Franklin Pierson

Hamilton Nolan (Author and free-lance Journalist)

“The Hammer” is a paean to unionization. Unions lost much of their political power in the early 1970s. Political power of labor was diminished by State governments, poor labor union management, and a diminishing number of labor union members. Nolan’s argument is workers have to reestablish political power to change their unfair and inequitable relationship with business.

The widening gap between rich and poor is traced to the era of President Reagan when the first deep cuts in corporate taxes occur.

Reagan fought unionization by firing air traffic controllers that sought better wages. Reagan’s supporters believed government social programs were out of control and their cost diminished the power of free enterprise. Much of the American public either agreed or were apathetic. However, as the gap between rich and poor accelerated, Americans began to complain about inequality. With extraordinary income increases for business owners and CEOs, and repressed wages for workers, the need for unionized political power became self-evident. Nolan introduces his book about unionization with a brief biography of Sara Nelson.

Sara Nelson (AFA president of the Association of Flight Attendants.)

Nolan writes about Sara Nelson who became a union member when she worked for United Airlines as a stewardess. Nelson was born and lived in Corvallis, Oregon. She applies for a job with United Airlines in St. Louis. She gets the job but her first paycheck is late. She couldn’t pay her rent. A check is given to her by a union employee to tide her over until her first check is delivered. From that day forward, according to Nolan, Nelson became a supporter of unions. Eventually Nelson becomes the president of the Association of Flight Attendants (AFA).

Liz Shuler (President of the AFL-CIO since 8/5/21.)

Ironically, the first woman President of the AFL-CIO is also from Oregon. Liz Shuler received a bachelor’s degree in journalism from U of O in Eugene, Oregon. She became a union activist after college and worked to organize clerical workers at Portland General Electric. She is elected as the President of the AFL-CIO in 2021 after serving as the first woman Secretary-Treasurer of the organization.

Nolan’s book addresses State conflicts with unionizers and family-income for low-income workers. The first states he addresses are South Carolina and California. Nolan notes South Carolina has become a haven for businesses wishing to avoid unions. South Carolina’ State laws discourage unionization which appeals to businesses wishing to relocate. Nolan notes South Carolina attracts businesses looking to improve profits by reducing labor costs. The consequence of business’s lower labor cost is to reduce South Carolina workers’ standard of living. South Carolina’s workers are among the lowest (19th out of 50 States) paid workers in the U.S. Nolan implies South Carolina’s income inequality is a consequence of the State’s policy of discouraging unionization.

California has the fourth largest income inequality in the U.S.

Nolan notes the cascading negative of unfair compensation for domestic labor. Though California now allows childcare servers to be unionized, their unionization efforts are discouraged by government regulation, as well as the fragmentation of its poorly compensated workers. The consequence of State government regulation keeps wages low and discourages entrepreneurs from starting childcare’ businesses. A compounding negative is created when users of childcare’ service, women in particular, are unable to work in regular work-day jobs. Workers are compelled to stay home to take care of their children, reducing family income and further impoverishing low-income childcare’ workers. It becomes a vicious cycle, hurting entrepreneurs trying to start a childcare service, employees wishing to increase family income, and employers needing more workers.

Nolan expands his argument by noting how service industries in Las Vegas, the State of Florida, New Orleans, and Mississippi are benefited by unionization.

Vacation and gambling meccas like Las Vegas, Florida, New Orleans and Mississippi need service industry employees. These vacation and gambling meccas depend on service quality for visiting tourists. Lack of representation for service employees diminishes employee’ standards of living which indirectly damages the reputation of the entertainment and vacation industry.

In Las Vegas, where Nolan lived for twenty years, the service industry is protected by the Culinary Union.

Nolan notes how strong the Culinary Union has become in Las Vegas and disparages casino owners like the Fertitta’s who have fought unionization. Numerous examples are given to show how union actions have improved the lives of Casino workers, many of which are immigrants from other countries.

Nolan’s argument for the value of unionization is compelling but his encomium for the union movement ignores America’s immigration crises.

The vast need for immigration reform is not being forcefully addressed by unions. Compensation inequity is a noble fight carried out by unionization, but it needs to broaden its role in immigration. Unions need to use their power and influence to change immigration policies to equitably treat a labor force that is sorely needed in America. Unions need to help educate and house legal immigrants, so they do not become a part of America’s growing homelessness. Additionally, unions could use their recruiting expertise to get Americans off the street by providing job training services and gainful employment.

Public perception of unions could be monumentally improved with a program to recruit and indoctrinate the homeless with training for jobs in the 21st century.

There is so much that unions could do to far exceed the minimalist goal noted in Liz Shuler’s plan to add a million union members over the next 10 years. Nolan pitches for Sara Nelson as a more dynamic leader for the union movement. Maybe Nelson would be better than Shuler, but growth, value, and public perception of union members could be monumentally improved with a program to recruit and indoctrinate the homeless with training and jobs for the 21st century.

Whomever the leaders of unionization may be in the future, Nolan clearly illustrates how important political power is in balancing corporate owner/managers’ disproportionate incomes and privileges with labor.