Automation is essential. But so are real people.
Will automation replace humans? We’ve approached the topic several times before, and today the fear is as real as ever as recently the International Longshoremen’s Association demands a total ban on automation at U.S. ports. Whether this is a broader negotiation tactic or an ultimatum is yet to be seen.
While we provide automation software focused on improving business processes, rather than the automation hardware utilized at marine terminals for loading and unloading cargo, the message of automation should be the same. Automation is not meant to remove or replace human labor. But rather, to improve efficiency while creating better environments for employees.
Efficiency drives competitiveness
With the topic of efficiency in mind, it’s crucial to emphasize the broader implications of automation for economic competitiveness, supply chain, and technological progress. The United States’ use of Automation is a key factor in maintaining global competitiveness. Ports in countries like China embrace automation, significantly enhancing efficiency. A ban on automation at the Atlantic and Gulf Coast ports puts the U.S. at risk of falling behind in terms of global trade and supply chain operations and comes with an estimated cost of up to $5 billion per day. This loss, combined with disrupted supply chains, could exacerbate inflation and impact a wide array of industries, from agriculture to retail, and would make American ports less attractive to global shipping companies.
As inevitable as the printing press
The hard truth is that automation is an inevitability. Just because you don’t want to automate something doesn’t mean the competition will follow suit. In his book, The Coming Wave, Mustafa Suleyman references multiple technologies throughout history where some attempted to thwart progress only to become a statistic of futile efforts. The printing press is one such example of a technology that when, upon encountering resistance, moved ahead anyway as the wave of progress rolled on.
Advanced systems and skills requires an advancement in pay
That sounds harsh, and we’re not claiming the solution for the unions is to “get over it.” Far from it. The United States Maritime Alliance must accept that operating advanced automated systems requires advanced skill sets, and the workers need to be compensated fairly. Savings to the bottom line, made possible through automation, should be wielded to improve the job satisfaction of real people by providing necessary upskilling for workers that comes with deserved pay raises.
A balanced approach that incorporates automation while ensuring fair wages and retraining opportunities for workers is an essential outcome of these negotiations.