Automation: Threat or Opportunity?

Economists are divided over the potential impact of robotisation, especially when the effects on labour are considered. Several experts fear that the labour substitution effects will outpace the number of new jobs created, while others find that balancing forces will work this time as well. In this article, I focus on the impact of these processes on the Hungarian manufacturing industry, as Hungary is a good example of an FDI-dependent, production-focused country. The analysis is based on several interviews with experts and managers, mostly from the automotive industry. The result of the discussions shows that there is a growing robotisation trend in Hungary, along with the other Visegrad Four countries. While this trend decreases the number of workers needed for a certain production volume, it does not pose a serious immediate threat as it is balanced by the tendency of a lack of workforce with the necessary skills.