How will Covid-19 affect the labor market?

Covid-19 pandemic has already shown great repercussions in the labor market and at the same time pushed for an adjustment at an ever faster pace. For example, many companies have ended up in a situation where they have been challenged to re-think how to make use of different skills within the organization following the new circumstances. Novare’s initiative Beredskapslyftet is an example that shows that it is possible to transform quickly, and that there are great efficiency gains to be made if we all can share skills that exist within our society. For those who are not familiar with Beredskapslyftet, it’s about mobilizing temporarily available personnel resources to support Swedish workplaces that are under strong pressure during the Covid-19 crisis. One of the best examples are the laid-off SAS cabin crew who were retrained as healthcare staff.

– There is plenty of expertise in Sweden, and our society could become much more efficient if we became better at taking advantage of all different skills, says Sohaila Bagger-Sjöbäck, CEO and founder of GigAssembly. I think that until now we have been somewhat comfortable in existing routines and processes. Eventhough the sharing economy is emerging, we could be better at sharing skills as well.

The rapid technical development is also an important driving factor for the adjustment that is taking place in the labor market. The technology that enables working from home has been in place for a long time, but it is not until now that many companies have been dared to test the technology fully and seen that it is actually possible to work remotely without reducing productivity.

– The digital technology enables a more flexible working life, which has proven to be appreciated by many. This, combined with the fact that many people have lost their jobs due to the pandemic, it may trigger a new wave of people who choose to gig in the future, says Sohaila.

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