3. What assessment has the Minister made of the impact of innovative technology on the workforce? OQ56729

Thank you for the question. Our economic and reconstruction mission builds on the 2019 findings from Professor Phillip Brown’s review, with a focus on accelerating industrial transformation by embracing new and disruptive technologies, such as artificial intelligence.

Thank you, Minister. According to the TUC, one in four workers in Wales say that monitoring and surveillance at work has increased since the COVID-19 crisis began. This includes tracking and logging workers as they move via wristbands, including when they're on toilet breaks; forcing drivers to have to urinate in bottles because an algorithm has set them an impossible number of deliveries in a day, so they cannot afford to take a break; and people working from home having facial recognition technology used on them via their laptop without their consent. 

Whilst conducting my own research with Professor Lina Dencik at the data justice lab at Cardiff University, we interviewed over 10 different trade unions and found that this oppressive and widespread surveillance is resulting in workers feeling stressed, demotivated, unappreciated and distrusted, breaking down the necessary respect between workers and employers. How can Welsh Government ensure that as new technology is introduced into the workplace it improves workers' lives and does not rob them of their dignity?

I think that's the important point that the Member makes at the end, because, when deployed responsibly, technology can provide workers with greater flexibility and enable them to be more productive, as many businesses have found during the pandemic. That innovative use of technology has given people that freedom and ability to work remotely in a way that they value.

Now, that doesn't work for every single employee or every business, but it's the inappropriate use of technology that the Member is highlighting, with unscrupulous employers, that can create an environment of fear and distrust. This Welsh Government does not want to see and won't endorse emerging tech and COVID-related working practices being used to create an oppressive or controlling environment for workers.

I can say that, as we continue to have our discussions in the social partnership approach that we have built, which has been of significant benefit to Wales through the pandemic, we'll continue to set out our expectations for a fair work economy, where we balance the needs of businesses to turn a profit, but also their responsibilities to look after their own workers. That's why we continue to work with businesses themselves and with trade unions that represent the interests of the workforce, and I'll be sure to pay this particular area more attention, and I'm grateful to the Member for highlighting the research she's already done on this issue.

Minister, the conversation concerning artificial intelligence has often focused on its impact on the workforce and how it can cost jobs. However, the reality is that over 96 per cent of all manufacturing in Wales comes from small business enterprises, and we, as a country, are very much behind the curve in terms of productivity when compared to competitors across the United Kingdom and Europe.

Innovative technology provides a perfect opportunity to reduce the investment costs that companies need in order to make them competitive, and Wales has some fantastic businesses that are well positioned to be able to do this, such as Nightingale HQ, based in Pontypridd. Can the Minister highlight what proposals the Welsh Government are considering to help small businesses integrate artificial intelligence into their businesses and help them increase their productivity?

We're actually looking at digital innovation in manufacturing. We've already created a hub in Wales that we're supporting as well, so we're looking at how this works for different businesses in different sectors. It's also part of the work that we're looking to develop on a properly regional approach to understand what will work in different parts of Wales, and that's about empowering different regions in Wales to make choices together. So, the work that Julie James did in her previous ministerial role in creating joint committees—how that work is overlaid with the work that we've been doing with the Organisation for Economic Co-operation and Development on regional economic development as well.

The challenge is to make sure that our ability to invest in those choices being made at the most appropriate level isn't undercut by changes in the way that funding structures work as well. So, there are challenges both for the Welsh Government in what we can do, but also levers that are outside our control and the differences of view we have with the UK Government on how those funding sources to replace European funds are actually used—that will be of crucial importance to make a practical difference to support more businesses and more jobs here in Wales.