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Automation, skill requirements and labour-use strategies: high-wage and low-wage approaches to high-tech manufacturing in the automotive industry

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  • Krzywdzinski, Martin

Abstract

In light of debates about advanced manufacturing and concepts like Industrie 4.0, this article compares labour‐use strategies in highly automated automotive supplier plants in a high‐wage country (Germany) and a low‐wage region (Central Eastern Europe). It shows considerable differences regarding skill requirements on the shop floor and the use of precarious employment contracts and examines three potential factors that explain them: national institutional frameworks, the power of employee representatives and the role of the plant within the companies and value chains. The analysis shows that the labour‐use strategies depend less on process technologies per se, but rather on the institutional framework and the role of the factory in the rollout and ramp‐up of new products and new process technologies. Such a role requires close cooperation between employees in the manufacturing areas and in product development, which in turn requires particularly high skills. The role of employee representatives in influencing labour‐use strategies proves less important. The article uses quantitative data from a survey of employee representatives, as well as qualitative data from in‐depth company case studies.

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  • Krzywdzinski, Martin, 2017. "Automation, skill requirements and labour-use strategies: high-wage and low-wage approaches to high-tech manufacturing in the automotive industry," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 32(3), pages 247-267.
    • Handle: RePEc:zbw:espost:199008
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    Cited by:

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    3. Angelo Moro & Maria Enrica Virgillito, 2022. "Towards Factory 4.0? Convergence and divergence of lean models in Italian automotive plants," International Journal of Automotive Technology and Management, Inderscience Enterprises Ltd, vol. 22(2), pages 245-271.
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    10. Armanda Cetrulo & Giovanni Dosi & Angelo Moro & Linnea Nelli & Maria Enrica Virgillito, 2023. "Automation, digitalization and decarbonization in the European automotive industry: a roadmap towards a just transition," LEM Papers Series 2023/36, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    11. Violeta Sima & Ileana Georgiana Gheorghe & Jonel Subić & Dumitru Nancu, 2020. "Influences of the Industry 4.0 Revolution on the Human Capital Development and Consumer Behavior: A Systematic Review," Sustainability, MDPI, vol. 12(10), pages 1-28, May.
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    15. Grybauskas, Andrius & Stefanini, Alessandro & Ghobakhloo, Morteza, 2022. "Social sustainability in the age of digitalization: A systematic literature Review on the social implications of industry 4.0," Technology in Society, Elsevier, vol. 70(C).
    16. Beier, Grischa & Matthess, Marcel & Shuttleworth, Luke & Guan, Ting & de Oliveira Pereira Grudzien, David Iubel & Xue, Bing & Pinheiro de Lima, Edson & Chen, Ling, 2022. "Implications of Industry 4.0 on industrial employment: A comparative survey from Brazilian, Chinese, and German practitioners," Technology in Society, Elsevier, vol. 70(C).
    17. Krzywdzinski, Martin & Gerber, Christine & Evers, Maren, 2018. "The Social Consequences of the Digital Revolution," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, pages 101-120.
    18. Giancarlo Corò & Monica Plechero & Francesco Rullani & Mario Volpe, 2020. "The Evolution of Technological Space and Firms' Workforce Composition in a Manufacturing Region," Working Papers 2020:12, Department of Economics, University of Venice "Ca' Foscari".
    19. Cirillo, Valeria & Rinaldini, Matteo & Staccioli, Jacopo & Virgillito, Maria Enrica, 2021. "Technology vs. workers: the case of Italy’s Industry 4.0 factories," Structural Change and Economic Dynamics, Elsevier, vol. 56(C), pages 166-183.
    20. Fabíola Kaczam & Julio Cezar Mairesse Siluk & Gil Eduardo Guimaraes & Gilnei Luiz Moura & Wesley Vieira Silva & Claudimar Pereira Veiga, 2022. "Establishment of a typology for startups 4.0," Review of Managerial Science, Springer, vol. 16(3), pages 649-680, April.
    21. Kolade, Oluwaseun & Owoseni, Adebowale, 2022. "Employment 5.0: The work of the future and the future of work," Technology in Society, Elsevier, vol. 71(C).
    22. Stefan PRAHOVEANU & Violeta SIMA & Ileana Georgiana GHEORGHE, 2023. "Digitalization in Romania in the Context of Economic Changes," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 3, pages 102-113.
    23. Blanka, Christine & Krumay, Barbara & Rueckel, David, 2022. "The interplay of digital transformation and employee competency: A design science approach," Technological Forecasting and Social Change, Elsevier, vol. 178(C).
    24. Caroline Lloyd & Jonathan Payne, 2023. "Digital skills in context: Working with robots in lower-skilled jobs," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 44(4), pages 1084-1104, November.
    25. Fana, Marta & Villani, Davide, 2022. "Decomposing the Automotive Supply Chain: Employment, Value Added and Occupational Structure," Structural Change and Economic Dynamics, Elsevier, vol. 62(C), pages 407-419.

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