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Anatomy of automation: CNC machines and industrial robots in UK manufacturing, 2005-2023

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  • Aniket Baksy
  • Daniel Chandler
  • Peter Lambert

Abstract

Using a novel proprietary survey of UK manufacturing sites, we study the impact on employment of arguably the two most important industrial automation technologies of the past fifty years: computer numerical control (CNC) machine tools and industrial robots. First, we document the growing prevalence of both technologies across a wide range of industries between 2005 and 2023. Second, we use a local-projection difference-in-difference design to show that plants that adopt these technologies for the first time increase their employment by 6% to 9% compared to non-adopting plants in the same industry. Third, we find that for both technologies, automation is associated with an increase in employment among industry-competitor sites, and a positive overall impact on industry-level employment.

Suggested Citation

  • Aniket Baksy & Daniel Chandler & Peter Lambert, 2025. "Anatomy of automation: CNC machines and industrial robots in UK manufacturing, 2005-2023," CEP Discussion Papers dp2131, Centre for Economic Performance, LSE.
    • Handle: RePEc:cep:cepdps:dp2131
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