Impact of digitalisation and the on-demand economy on labour markets and the consequences for employment and industrial relations

Digitalisation is transforming business landscapes and the world of work, and redefining the boundaries of production, consumption and distribution. This has created tremendous opportunities, as new products, processes and techniques have emerged, but has also created threats, as new ways of employment pose new challenges to employers and employees. The overall consequences on labour markets are, however, still highly uncertain, which is reflected in the wide variation in the outcomes of the existing research. The initial government responses appear to be reactive rather than proactive, and targeted towards mitigating the side effects of digitalisation instead of aiming to reap its potential benefits. This study focuses on the impact of digitalisation and the on-demand economy on employment and industrial relations. Traditional businesses and industries as well as new forms of work in the ondemand economy are assessed. For both, job creation and destruction, interaction with customers and workers/employees, labour relations in terms of both the organisation of work and industrial relations as well as government responses, with a specific focus on labour conditions, taxation and social security, are discussed. The study emphasises in particular aspects relevant to employers.