Part of the debate – in the Senedd at 6:00 pm on 17 January 2018.
The Member's absolutely right. We're likely to see change take place over the next 10 years that is greater than the change that has taken place over the past 200 years. Indeed, many changes will come so fast that we won't see them by the time they've already passed. I think it is essential that we look at emerging technological changes and trends. Certainly, that's a role that has been occupied in recent years by the digital team. When I was in the position now held by the leader of the house, where I was responsible for technology, we had an intelligence unit that was able to provide us with that sort of horizon scanning over a period of a single decade, two decades, right out to 2050, analysing the challenges and the opportunities for Wales. Also, there are units within higher education that do just that. There's also the Public Policy Institute for Wales, which has a responsibility and a role for ensuring that we are horizon scanning in a way that can equip our economy and our workers with the skills that are required to adapt to the fourth industrial revolution. I don't think it's just for the First Minister's office to do that. It's for the First Minister's office to ensure that it has the intelligence that is gathered from a number of bodies, organisations and from across Government to, in turn, guarantee that policy is well informed and is based on the future rather than just on today's challenges and opportunities.
I think it's sometimes easy to despair that automation and digitalisation and artificial intelligence will have a devastating impact on employment. What they do is show us the need to prepare today in a way that David Melding highlights is absolutely crucial. I don't think that we should overlook the potential impact of automation on productivity, which is exactly what Lee mentioned. Increased productivity could result in businesses being more competitive, in winning more business and in growing, therefore potentially displacing some of the jobs that could be lost to automation. In developed countries such as ours, increasing healthcare for ageing societies and investment in infrastructure and also in energy will create demand for work that we should use to again partly offset the displaced jobs.
I think, in terms of adapting to change and preparing ourselves for what is certainly down the tracks, the key will be working proactively with business and, indeed, others to ensure that there are sufficient opportunities emerging in the new economy to replace those jobs and businesses that will be lost in the old economy. A key element will be in ensuring that people right across the country, as I've said, are equipped with the skills to exploit them. That's very much the intention of our action plan, and the dignity of skilled employment is critical to this plan. We held a round-table event back in June of last year and I'd like to thank Lee Waters again for arranging that. In that session, we discussed the concern of jobs at risk from automation in Wales over the next two decades. That work has certainly helped to shape the thinking behind the economic action plan, because Wales needs to be at the forefront of the adoption of new technologies. That's why we've developed the Tech Valleys initiative—