Impact of digital economy development on labor force employment

Abstract

Since the first year of the commercial application of big data, the digital economy has become an important driving force for global economic development and has had a huge impact on the labor employment market. This paper aims to explore how the development of the digital economy reshapes the employment pattern of the labor market. By analyzing the core features of the digital economy, which is highly informative, networked, and intelligent, it reveals the dual effects of the digital economy on the total and structural employment of the workforce and puts forward policy recommendations to address the employment challenges posed by the digital economy. The study finds that, on the one hand, the application of automation technology and artificial intelligence has reduced the demand for traditional low-skilled labor, triggering employment reductions in some industries; on the other hand, emerging digital technologies have created new career opportunities, especially in the fields of data analysis, software development, and digital marketing, which have brought more employment opportunities for high-skilled labor. In addition, the digital economy has given rise to numerous flexible forms of employment.