This working paper aims to deepen the understanding of the new factors associated with the risk of underemployment, unemployment and inactivity, while at the same time investigating the new dimensions of labour market vulnerability. The first part of the paper provides a descriptive analysis of historical vulnerabilities, plotting trends in labour force participation, underemployment, and labour market slack from 2006 to 2023. The second part of the paper examines the potential future vulnerability due to “low digital adaptability,” identifying a high-risk group of workers in high-AI-exposure jobs who currently use few digital skills.
This project has received funding from the EuropeanUnion’s Horizon Europe research and innovationprogramme under Grant Agreement No Project 101094626.