U.S. tech firms attempting to get ahead of surprise legislative decisions
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By Gina Chon
WASHINGTON (Reuters Breakingviews) – Silicon Valley is trying to out-Trump Donald Trump on jobs.
Amazon wants to add tens of thousands of employees to its ranks while Google is donating millions of dollars to training. Touting such plans is partly a response to fears that tech will, like trade, be blamed for killing jobs as automation and artificial intelligence take hold.
Trade became a surprise target during the 2016 U.S. presidential campaign, symbolizing globalization run amok for both political parties.
Trump backed out of the Trans-Pacific Partnership shortly after taking office and has threatened to pull out of NAFTA. Republicans and centrist Democrats who traditionally support trade were caught off guard.
Tech firms are trying to get ahead of potentially similar repercussions. Amazon held a job fair on Wednesday to hire 50,000 workers – and hopes to sign up double that amount by next summer. It also pays for hourly associates to obtain a two-year degree in an in-demand field like medical lab technology or aircraft mechanics.
Last week, Alphabet's philanthropy arm, Google.org, announced a $50 million grant for organizations that help people prepare “for the changing nature of work.”
In June, Facebook’s Sheryl Sandberg visited Detroit to announce a free social-media marketing training program. Also that month, Microsoft Philanthropies donated $26 million to expand the Skillful job-training program in Colorado for people without college degrees.
The companies are also major players in automation and artificial intelligence. Nearly 40 per cent of U.S. positions could be lost over the next 15 years because of robots, according to PricewaterhouseCoopers.
AI that controls driverless cars and software that can replace humans will accelerate those losses.
Online firms don’t have too high a bar to beat to show they’re taking a smarter approach to shifting job trends than Uncle Sam.
Government programs for workers displaced by trade were largely ineffective. For example, some women who lost factory jobs were retrained as hair dressers instead of for positions that were in demand.
Silicon Valley’s initiatives are more targeted: Google is funding programs that utilize technology to help workers.
Tech firms are also considering public-relations campaigns that highlight how they help the economy, like platforms for small businesses.
It’s more credible than Trump touting employment deals started under his predecessor. But aping the president’s braggadocio to reduce any sting makes sense.
