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After months of standstill, technology can bring our flailing economy back to life

The pandemic has greatly damaged the economy we had. But we can build back better

Chi Onwurah
Friday 26 June 2020 14:24 BST
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Coronavirus: Big high street names close stores to stop virus spread

As Covid-19 has driven us apart physically, technology has brought us together. One of the lessons we can draw from this terrible pandemic is the power of tech to help us in our working, learning, family and community lives – provided people have what they need, such as devices, skills or high-speed broadband.

We need to apply that lesson to the fourth industrial revolution – that technological transformation of work and manufacturing which is already underway, threatening some sectors and jobs. As we emerge from lockdown, we cannot return to business as usual. Instead we should take the opportunity to restart this revolution so that it works for people and communities.

The government's job protection scheme has kept people in work. But nearly two million people have applied for Universal Credit, many have lost their jobs and there is a real risk of a massive rise in unemployment unless we take action. The longer people are out of the workforce the harder they find it to get back in – unless they are in education.

New Zealand is offering free retraining as part of its Covid-19 recovery plan and Sweden is offering free education to those impacted by the virus. Labour has committed to building an Innovation Nation: we need to look at how those who lose their jobs over Covid-19 can be an active part of our innovative, green future through lifelong learning, retraining and skills support.

Secondly, we need to look at redesigning the workplace. The virus looks to be with us for some time and many workplaces will need to be redesigned for safety purposes on both the factory/shop floor and within the IT systems that many businesses rely on.

The manufacturers’ trade group, Make UK, has called for incentives to encourage employers to invest in new, greener and smarter workplaces. Its recent report, following on from the Made Smarter initiative led by former Siemens CEO Jurgen Maier, set out policies to maximise benefits from increasing adoption of digital technology through a strong industry and government partnership. The Made Smarter initiative is currently one year into its pilot in the North West, and has successfully enabled businesses of all sizes to share in the opportunities that digital technologies and the future of manufacturing will provide. Now is the time to roll it out nationally, transforming businesses large and small to lead in the fourth industrial revolution.

Finally, we need to integrate technology into the sectors most affected by Covid-19. The UK’s retail, entertainment and sporting sectors have been at a standstill for three months now. The unequal relationship between global corporations that utilise technology and local retailers has been exposed. Amazon has swept up business that would usually be found in our local markets and high streets, and Netflix has absorbed the audiences from our local independent cinemas and theatres.

Labour has a plan to protect and grow our local institutions. We need to foster coalitions of high street businesses that use can use tech to their advantage. Innovative technology can help develop new business models for the face-to-face services that populate UK high streets.

The pandemic has greatly damaged the economy we had. But we can build back better. Science and technology are the engines of the fourth industrial revolution and we can put in place the policies that put people in the driving seat.

Chi Onwurah is the Labour MP for Newcastle Central and shadow minister for digital, science and tech

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