Anatomy of automation: CNC machines and industrial robots in UK manufacturing, 2005-2023
Using a novel proprietary survey of UK manufacturing sites, we study the impact on employment of arguably the two most important industrial automation technologies of the past fifty years: computer numerical control (CNC) machine tools and industrial robots. First, we document the growing prevalence of both technologies across a wide range of industries between 2005 and 2023. Second, we use a local-projection difference-in-difference design to show that plants that adopt these technologies for the first time increase their employment by 6% to 9% compared to non-adopting plants in the same industry. Third, we find that for both technologies, automation is associated with an increase in employment among industry-competitor sites, and a positive overall impact on industry-level employment.
Authors
- Peter J. Lambert (ORCID: https://orcid.org/0000-0001-7006-5326)
- Daniel Chandler
- Aniket Baksy
Publication Details
- Journal
- London School of Economics and Political Science Research Online (London School of Economics and Political Science)
- Published
- 2026-10-27
- DOI
- https://doi.org/10.21953/researchonline.lse.ac.uk.00130003
- Primary Topic
- Labor market dynamics and wage inequality
- Type
- article
- Field-Weighted Citation Impact
- 0.00