New Labor Laws in the Era of Digitalization

New Labor Laws in the Era of Digitalization

Everything on the Earth is subject to persistent evolution to achieve a sustainable progression. The age of digitalization has compelled international organizations to alter and amend the labor laws to accommodate the provision of work-from-home.

Interestingly, due to huge changes in the structure of manufacturing and service sectors, the World Trade Organization (WTO) is about to introduce new kinds of trade regimes for effectual trade among various countries. As Preferential Trade Areas (PTAs)) are losing their significance and effectiveness, hence, Deep Trade Areas (DTAs) are being introduced for the post-COVID era. It goes for the labor market as well and suggests the new labor laws are about to change.

Workplace dynamics are changing fast. COVID-19 has pushed workplaces to remote style largely. Labor and employee relations are transforming significantly. The new workplace environment demands a new framework for the sustainable survival of businesses. However, it is too early to say how deeply the pandemic is going to change the workplaces. International Labor Organization (ILO) is in the phase of revising the labor laws for coping with the needs and rights of remote workers. What kind of expected framework would be is in the years to come?

Notably, the framework that would address the following questions stages the requirements.

  1. How labour law can protect the rights of workers who work in the online environment?
  2. How much Artificial intelligence is reevaluated in terms of protecting existing workers’ rights?
  3. In the existing framework, how can management and workers bargain for their rights?
  4. What are the weaknesses of the current system that curtail the acceptance of new labor laws?

In the current era, the global labor organization for protecting labor rights is hugely important. As the internet has made the world a global village and with digital workforces and the increasing size of the gig economy the workforce has gone global in nature. This global force is coming up with newer demands due to change in their lifestyle patterns, such as:

  • Greater autonomy and significantly higher flexibility in the working hours
  • Handsome salary package with greater protection of job
  • Retention of their rights and benefits along with transparency in work

However, the reality is significantly different in nature. There is a shred of huge evidence that the impacts are not completely positive with the increasing digitalization of human capital. In addition, there is a rising issue of rising inequity and inequality – an issue already hitting hard on several economies. Therefore, if analyzed deeply, it is clear that with increased digitalization, there is:

  • Increased fragmentation of workforce and lower labor protection
  • Lack in the level of productivity and efficiency of employees
  • Fall in the level of innovation and discoveries
  • Unbalanced employee-management relations

These structural labor market problems need to be addressed. There are budget constraints due to the economic crunch but as soon as economies get a little space, the new labor laws would be into action.

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