LA EIC - Disadvantagedobseekers Inquiry J Submission no ...€¦ · the management of social...

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Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO) [email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA Registered Office: c/- HLB Mann Judd, Level 1, 169 Fullarton Rd, Dulwich, 5065 South Australia, AUSTRALIA 20 February 2018 Mr Stephen Palenthorpe Committee Secretary Select Committee on the Future of Work and Workers Department of the Senate Re: Submission to the Inquiry into the Future of Work and Workers Dear Mr Palenthorpe, We welcome the opportunity to share some of the findings of the Gooroo Human Thinking Research that has been conducted since our application for a patent that presents a new approach to the study of work and worker profiles referred to as the Gooroo ColourGrid™. Gooroo Ventures Limited (“Gooroo”) is a strategic thought leader in the emerging fields of innovation, creativity and entrepreneurism. It is these factors that are the main drivers of change in the economy and our research indicates a technological thinking divide that links the digital divide to a growing concern about the rate of disruptive change. Considerations of the future of work and workers must therefore distinguish between feelings of anxiety associated with industrial transformations, and the reality that there is a constant source of uncertainty that is inherent in entering new fields with new technologies. Since 2016, Gooroo has invested in research and development into two streams of analysis that may be of value to the work of your Committee: i. The potential of linking neuroscience and artificial intelligence (machine learning and data sciences) to facilitate a more meaningful match between individuals and employees, who face increasing requirements for higher levels of technological thinking ii. The need to balance the more efficient placement of individuals in the workforce, with the challenges faced by those who are left behind and require a “high touch” intervention to transition into the new economy We look forward to the opportunity to work further with the Committee to share further insights into the potential pathways through this economic and technological transition. Kind regards Greg Muller Founder & CEO, Gooroo Ventures LA EIC - Disadvantaged Jobseekers Inquiry Submission no. 68 - Attachment 1 Received: 31 July 2019

Transcript of LA EIC - Disadvantagedobseekers Inquiry J Submission no ...€¦ · the management of social...

Page 1: LA EIC - Disadvantagedobseekers Inquiry J Submission no ...€¦ · the management of social inclusion by providing people with a position in the labour market. Gooroo technology

Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO) [email protected] | www.goorooventures.com

Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA Registered Office: c/- HLB Mann Judd, Level 1, 169 Fullarton Rd, Dulwich, 5065 South Australia, AUSTRALIA

20 February 2018

Mr Stephen Palenthorpe

Committee Secretary

Select Committee on the Future of Work and Workers

Department of the Senate

Re: Submission to the Inquiry into the Future of Work and Workers

Dear Mr Palenthorpe,

We welcome the opportunity to share some of the findings of the Gooroo Human Thinking Research

that has been conducted since our application for a patent that presents a new approach to the study

of work and worker profiles referred to as the Gooroo ColourGrid™.

Gooroo Ventures Limited (“Gooroo”) is a strategic thought leader in the emerging fields of innovation,

creativity and entrepreneurism. It is these factors that are the main drivers of change in the economy

and our research indicates a technological thinking divide that links the digital divide to a growing

concern about the rate of disruptive change.

Considerations of the future of work and workers must therefore distinguish between feelings of

anxiety associated with industrial transformations, and the reality that there is a constant source of

uncertainty that is inherent in entering new fields with new technologies.

Since 2016, Gooroo has invested in research and development into two streams of analysis that may

be of value to the work of your Committee:

i. The potential of linking neuroscience and artificial intelligence (machine learning and data

sciences) to facilitate a more meaningful match between individuals and employees, who face

increasing requirements for higher levels of technological thinking

ii. The need to balance the more efficient placement of individuals in the workforce, with the

challenges faced by those who are left behind and require a “high touch” intervention to

transition into the new economy

We look forward to the opportunity to work further with the Committee to share further insights into the

potential pathways through this economic and technological transition.

Kind regards

Greg Muller

Founder & CEO, Gooroo Ventures

LA EIC - Disadvantaged Jobseekers Inquiry Submission no. 68 - Attachment 1Received: 31 July 2019

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Page 2 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Submission

Submission 2Executive summary 3Recommendations 6

Analysis 8Analysis summary 8Stages of technological change 9Socio-economic status 12Pro-tech / Anti-tech mindsets 13Impact of education on job seeking 15Health impacts on those at risk of being left behind 17

Appendices 20Appendix 1: Reading the Gooroo ColourGrid™ 20Appendix 2: Comparing Grids 22

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Page 3 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Executive summary

On 19 October 2017, the Senate established the Select Committee to inquire and report on the

impact of technological and other change on the future of work and workers.

This submission shows how Gooroo Ventures is addressing the key areas of (a) job security, (b)

impact of technological change on Australians, and (c) the effects this has on inequality, the economy,

government and society, by looking at causation rather than the problem initially presented.

The future of work is continuing, and will continue to change. The issue is the future of access to meaningful work. The nature of work is changing and we must introduce innovation, creativity, and

entrepreneurship to address the risk to those left behind during the transition.

The Australian Government is committed to a “Jobs

and Growth Strategy” which is demonstrably achieving

record levels of participation, declining numbers on

short term unemployment benefit, and greater diversity

of employment opportunity.

Research made available to Gooroo by Roy Morgan

Research indicates however, that official

unemployment rates remain above 5% and the number

of job seekers exceed 1 million people looking for work

(on a full-time or part-time basis).

This paradox appears to arise from the changing

nature of labour supply and wage levels as employers

become increasingly cost conscious and focus on

technological substitution and artificial intelligence that distort previous supply and demand models.

Gooroo Ventures has established a human thinking research unit to examine the nature of this

change which is discernibly creating social dysfunction and long-term health costs amongst those

who are unsuccessful in making the transition into this new world of work. Machine learning and

advanced analytics confirm a growing divide between those with higher education and higher

incomes, and those who are being displaced or disrupted by emerging technology.

Research findings indicate that technological change, disruptive enterprises, increasing turbulence,

and uncertainty are creating a sense of anxiety amongst half the total range of occupations that we

have identified. These social costs do not appear to be a function of either the mental attitude of those

receiving benefits or looking for more work, or for that matter a function of the unavailability of

transition opportunities for those who are ready, able and willing to work. They do however create

feelings of alienation and isolation which are associated with the inability to gain a respected position

in the emerging world of work.

“More than half a million fewer people with a job, with some

200,000 jobs lost in the construction industry alone,

and more than a quarter of the jobs in mining lost.”

Deloitte – “What’s over the horizon” report

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Page 4 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

This Submission proposes three very simple remedies for the consideration of the Committee:

1. The development of a national JobStream matching system (page 6) that applies the patent

technology1

to matching hirer and talent potential for the top 3 quintiles (“AB”, “C”, & “D” SES)

to increase the information flow and access to those who feel left behind or resistant to

technological change

2. Employers and particularly small and medium enterprises (SMEs), are constantly searching

for talented and experienced contributors to the growth of their business but feel hampered by

the absence of effective matching of available talent, especially when seeking access to

overseas skills (457 visas etc.), while accepting the objective of giving every Aussie who

wants a job, a “fair go”.

A national JobStream, similar to the national health databases which maintain and monitor

health service provision, could be readily introduced to speed the matching process and

identification of skills shortages, technology transitions, and the management of social

inclusion through a position in the labour market.

3. As many of the submissions to the Committee indicate, there remains the problem of

transition and transformation of an economy that is moving from agriculture and mining, to a

service and experience economy. Pilot programs (page 6) supported by Gooroo through Life.

Be in it™ in association with business and community organisations, have identified the

necessary and sufficient conditions to get a large proportion of those most at risk and those

displaced by industry changes into full-time work with the support of community-based work

counselling support. These programs provide the model for an effective intervention which

unlocks the potential for those seeking work, and those seeking to get more and better jobs.

Combining the three elements above, it is proposed that the Committee recommend to the

government the establishment of a ministerial inter-departmental executive, similar to the cross-

department budget committees, to bring together an integrated intervention to address better matches

to achieve jobs and growth in the most disadvantaged regions.

It is not enough for Australia to ride our luck in a scenario that sees more than a million people looking

for work, and more than half a million fewer people with a job.

Gooroo is working with major audit, economic development, and technology companies (e.g. Life. Be

in it™, KPMG, Microsoft and Randstad) to disseminate its research findings that enable effective

computer matching based on a combination of experience, expertise, and engagement of all job

seekers – from high-tech data scientists to job creation for indigenous workers (Figure 1).

1 Provisional patent application submitted in October 2017

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Page 5 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Figure 1: Sample of the gradient across technology roles and their associated mindspaces

Source: Dr Colin Benjamin OAM and Gooroo Ventures

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Page 6 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Recommendations

Programs must broaden the scope of systems to empower individuals and organisations to move

towards a shared vision, “and invest resources in building foundational components: a shared awareness and language, methods for shared learning and a culture of experimentation, new peer-to-peer governance models, new financial instruments for system-wide investment, peer-validated and data-drive impact evaluation mechanisms, organisational capacity, a sense of agency and plausibility, and the convivial spaces for the participation of citizens and professionals alike.”2

There is a fundamental necessity for greater transparency of job opportunities. Sufficient attention

must be given to the fact that these opportunities require better information on the transition paths

supported by career counselling to support a society undergoing the shift from a goods and services

economy to an experience and technological infrastructure economy. This opens the door to flows of

risk capital on one side, and a guaranteed access to informed choice for those at risk of being left

behind.

Making the market Develop a national vacancy advertisement system

(JobStream) which creates a talent pool of those

ready, willing, and able to move within or into the

workforce, and improves skills access to organisations

needing to increase their ability to capitalise on

technological change. When coupled with Gooroo’s

technology, the system enables better collaboration

and ability to match the right levels of experience,

expertise, and engagement in order to achieve higher

returns. Furthermore, it does so at speed and identifies

skills shortages, technology transitions, and supports

the management of social inclusion by providing

people with a position in the labour market.

Gooroo technology has already been successfully

applied to numerous organisations from consulting, recruitment, and creative industries to support

their own growing understanding of the thinking processes their teams, staff, and markets are

experiences. Runway Geelong3

for example, is using Gooroo ColourGrid™ technology to support

local entrepreneurs to take their ideas to market.

Such a platform, run by private industry in partnership with the Government, puts the economy to

work against the forces of rising technological requirements. As it can identify the nature of the gaps

in the labour market, it provides opportunities for those at risk of being left behind to re-engage in

meaningful employment which matches their mental approach to dealing with change and choice.

Results of the pilot programs As this submission shows, it is the “sense of being left behind” which needs to be dealt with. This can

be addressed by supporting people through a transition which strengthens their personal agency,

provides them with a sense of social meaning, and a pathway towards a better future. Gooroo has

partnered with Life. Be in it™ to support programs such as GROW and Northern Futures4

to prove out

the model.

2 Building Impact Movements, The Winch, North Camden, London, 2017 3 Runway Geelong, http://www.runwaygeelong.com.au 4 Northern Futures, Geelong, http://northernfuturesgeelong.net/

“Rising uncertainty has left us increasingly choosing caution over courage. Yet that means we’re missing opportunities:

even ‘bad’ futures aren’t nearly as bad as you might think, and

there are a bunch of ‘good’ futures out there, too.”

Deloitte – “What’s over the horizon” report

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Page 7 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Companies and government bodies such as Commonwealth Bank, GHMBA Limited, Avalon Airport,

Barwon Health, Bendigo Bank, Built, Business Technology Specialists, City of Greater Geelong,

Costa Property Group, Deakin University, Fagg’s Mitre 10, Geelong Region Alliance, Geelong

Chamber of Commerce, Geelong Manufacturing Council. Karingal, TAC and WorkSafe are all ready

and committed (through GROW5

) to doing something about this challenge.

As part of the pilot program, Northern Futures partners with local businesses, education providers,

and government institutions to form a collaborative enterprise to develop “supportive pathways to sustainable jobs that match the skills and aspirations of those not currently engaged in meaningful employment.”6

By working with the whole person in the context of the whole picture, they are able to

increase the confidence and sense of self-worth of jobseekers, provide them with the skills based

training and stimulus required to lead them to changing their world view, and ultimately engage with

and enter the workforce in a meaningful and sustainable way.

Data from this program has shown they can move long term unemployed into paid work “for a one-off cost of approximately $13,993. This compares favourably with the cost of New Start Allowance at $13 746 per annum for a single person which does not include additional benefits paid for children or rent subsidies.”7

Rolling out this program Australia wide will support the country’s transition into the high-tech

economy. Obviously, this is an ambitious agenda, but it is one that is immediately accessible with the

combined thinking of Government and partners.

5 GROW (G21 Region Opportunities for Work), http://grow.g21.com.au 6 Benjamin, J., 2017, The Heart of the Matter, http://northernfuturesgeelong.net/wp-content/uploads/2017/11/TheHeartoftheMatterJoanBenjamin2017.pdf 7 Johnson, C. J., 2016, Northern Futures 2008 – 2016, Retrospect & Prospect http://northernfuturesgeelong.net/wp-content/uploads/2017/11/NFevaluationLouiseJohnson2016.pdf

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Page 8 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Analysis

Analysis summary

Gooroo has applied its technology to the issue being examined by the Committee. Our modelling

allows us to look at the sorts of jobs that are changing. This can be done for any dataset of jobs (e.g.

Centrelink, jobactive, job boards). It provides a mechanism to contrast and compare different datasets

through a common analytical base, allowing us to see the totality of what is occurring through

economic changes.

We begin by looking at how the economy is changing and the impact this has on the various roles and

opportunities available for the labour market (page 9). We examine briefly, the relationship between

socio-economic status and associated anxiety of fast-paced technological change (page 9). By using

a Gooroo ColourGrid™ model, we then investigate the mindsets of those who are early adopters and

technophobes (page 13) to better understand the varying patterns of decision making undertaken

when faced with issues of change and choice. Finally, the impact of education on job seeking

behaviour (page 15), and the health impacts (page 17) facing those being left behind are addressed.

From this data, we find that it is not the availability of jobs, the technology adoption comfort of

individuals, education levels, socio-economic status, nor technological change itself which drives the

risk of large scale future disengagement in the labour market.

Rather, it is the future access to meaningful work which drives the anxiety of people feeling at risk of

being left behind. Policy must consider the totality of what is happening, and not simply focus on jobs

growth and training as the solution to future economic turbulence.

1. Economic value is moving from a process of mining what is beneath our feet, to minding what

is between our ears. Having access to understand the complexity of human thought and

using that to develop more and better options, is key to success in the new world of work.

2. Over 50% of the population who are looking for work feel that technology is moving too fast to

keep up.

3. The sense of being left behind occurs across all segments of the population.

4. Those with access to higher education, and higher degrees of comfort with technological

change are more able to adapt to the changing situation. Whilst those in labour intensive

roles are at higher risk of substitution by technology.

5. There are opportunities for all people to move into and engage with the labour market, if we

look at it from a perspective of their thinking patterns and not solely as a function of

competencies and skills.

6. There are significant health impacts for those falling out of the labour market which has

potential to drive up the Government’s health support costs.

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Page 9 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Stages of technological change

The future of work in Australia will continue to demonstrate the transformation from an agricultural,

mining and manufacturing economy which is heavily reliant upon traditional industrial practices,

through the health and education services stage, into a globally oriented experience and emergent

technology environment (Figure 2).

Doubts about the impact of emerging technology have always been raised at each stage of business

and enterprise development, as society moves up another notch in the design, storage and

transmission of energy and information.

Figure 2: The progression of economic value.

Source: Pine II & Gilmore, The Experience Economy

Policy that addresses the future of work and workers in Australia, must build on insights into the

transitions and transformations that are associated with automation, globalisation and media

imperatives. There will be a continued substitution of capital and intellectual capital for labour and

manual processing, arising from the combination of data sciences and machine learning.

In this context, it is important to distinguish between “artificial intelligence” (AI), machine learning, and

robotics (labour-capital substitution) aimed at gaining efficiencies and productivity, and “artificial

consciousness” (AC) that enables and enhances human collaboration to facilitate innovation,

creativity and entrepreneurism. It is the former that creates the risk of future unemployment, and the

later which provides the opportunity for continued growth and advancement.

Frey & Osborne (2007)8

examine the susceptibility of computerisation across 702 jobs. A Gooroo

ColourGrid™(“Grid”) matrix analysis places a subset of these roles into grids (Figure 3 & Figure 4)

which we use as the analytical base for comparison in this submission (see Appendix 1 for

information on how to read the Grid).

8 Frey, C. B. & Osborne, M. A., 2017, Oxford Martin School, University of Oxford,

http://dx.doi.org/10.1016/j.techfore.2016.08.019

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Page 10 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

The Gooroo ColourGrid™ monitors and identifies the gradient of technological impact of a large

variety of occupations. It aims to identify the social, cultural, economic and behavioural factors

(referred to as “mindset”) that influence people’s choices. Simply put, this is a tool that understands

how we make up our minds. The insight can be used to construct meaning between our decision-

making patterns, personal motivations, our habits of mind, preferred career pathways, and levels of

innovation, creativity, and entrepreneurism.

Occupations in the bottom left of the Grid are focused on efficiency, and meeting customer needs in a

way that is repetitive, predictable, and delivers consistency. In contrast, as we move to the top right of

the Grid, we find occupations which are driven by expectations for what could be possible, and look to

produce more valued outcomes for their markets.

The consequence of this digital divide becomes apparent when the positions that are emerging as

new opportunities for work (Figure 4) are compared with currently available and increasingly

vulnerable jobs that are impacted by technology (Figure 3).

We also find that whilst some professions will continue to exist (e.g. management consultants and

information technology managers), the thinking required for those roles changes. IT Managers for

example are moving from a more routine and rules based approach (left side of the Grid) to one that

seeks to improve situations by offering something better than current practices, whilst keeping in mind

the implications for others who might be impacted along the way.

As seen in Figure 3, there is vulnerability across all patterns of thinking. Likewise, there are

opportunities for all to transition into the new economy when viewed from a perspective of

mindspaces, and risks for all people to fall into a trap of being left behind.

As Professor Greg Martin, head of UQ’s School of Social Science has pointed out, “We live in a time when slogans like “the best form of welfare is paid work”, roll too easily off the tongue, conveniently ignoring the fact that the labour market isn’t what it used to be.”

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Page 11 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Figure 3: Roles most vulnerable to substitution due to technological change

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

Figure 4: Emergent new opportunities

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

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Page 12 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Socio-economic status According to ABS statistics9, 33,000 new opportunities for work are being created each month. Data from a quarter of a million household surveys conducted on a national probability sample by Roy Morgan Research, indicate that there are still more than a million Australians actively looking for more work (Table 1).

Our research indicates that the bottom quintile (the lowest 20% on the national SEIFA index) feel alienated, isolated, and left behind by the rate of global technological change (Table 1). Across all socio-economic segments, over half of those seeking work feel that technology is moving faster than their ability to keep up.

The digital divide masks the reality that national growth does not “raise all boats”. The concentration of job creation is in the Q1, Q2, and Q3 quintiles (top right corner of the Grids in Figure 3 & Figure 4) with higher incomes, higher education and greater social mobility.

Table 1: Percentage of SES Segments looking for work

SOCIO-ECONOMIC STATUS

“AB” Q1

“C” Q2

“D” Q3

“E” Q4

“FG” Q5

Looking for work (%) 2.7% 5.1% 6.8% 9.0% 10.2%

Looking for work (‘000) 104 200 267 351 397

Feel that technology is moving too fast to keep up

54.8% 60.3% 63.2% 68.3% 72.6%

n = 251,368 Source: Roy Morgan Research 2014 - 2017

9 ABS, 6202.0 Labour Force, Australia, December 2017

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Page 13 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Pro-tech / Anti-tech mindsets Responses to the Roy Morgan Survey shows that comfort with technological change is distributed across a range of categories from “Technology Early Adopters” to “Technophobes”.

A Gooroo ColourGrid™ matrix analysis of the Technophobes (Figure 5) and Technology Early Adopters (Figure 6), provides an indication that attitudes and opinions generally play a significant role in understanding Australian responses to technology (see Appendix 2 for information on how to compare Grids).

Early adopters think in terms of future possibilities, are open to the uncertainty of that future, and are said to be more aware of the potential implications that technological change can inflict. Hofstede (2010) 10 would categorise this thinking as having a low power distance11 and are therefore more likely to feel a stronger sense of personal agency over their decisions and future.

Technophobic thinking is focused on meeting basic needs and relies on past behaviour and knowledge to inform decisions. As such, this population actively avoids situations where uncertainty is high. Furthermore, their power distance is high which has them expecting the problem to be solved by someone else (e.g. the government, economy, their employer).

Comparing these mindsets with the prior matrices of vulnerable and emergent roles, highlights the challenge faced in managing the economic transition. The majority of those adverse to technological change are in labour intensive roles with a higher risk of substitution by technology. Attempting to move these people into high technology-based occupations requires a “high touch” approach. We cannot simply transfer knowledge about technology to this group of people to address the issue, and new jobs are not being created in this area to match with their existing thinking patterns and lower educational background.

10 Hofstede, G., Hofstede, G. J., & Minkov, M., 2010, Cultures and organizations, software of the mind (3rd edition), McGaw-Hill Professional 11 Power distance refers to the degree of agency an individual believes they have over their environment. High power distances are found where people conform to a stronger hierarchy and look to institutions to provide guidance, whilst low power distances are found where people take more personal control over their decisions and the factors influencing them.

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Page 14 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Figure 5: Mindspace analysis of Technophobes (n = 17,731) Numbers are indexes (mean = 100) which show the degree to which the specific

mindspace is above or below the population average.

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

Figure 6: Mindspace analysis of Technology Early Adopters (n = 9,984) Numbers are indexes (mean = 100) which show the degree to which the specific

mindspace is above or below the population average.

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

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Page 15 Gooroo Ventures Limited ACN 613 924 744 (ASX:GOO)

[email protected] | www.goorooventures.com Headquarters: Level 1, 80-88 Greville Street, Prahran, Victoria, 3181, AUSTRALIA

Impact of education on job seeking Here, we see significant differences in the mindspaces of those in employment and those looking for work (Table 2) that impact on attitudes to technological change, education and training. They reveal variations in responses to technological change between those that are actively engaged in the workforce, and those that fear that automation and artificial intelligence threatens their prospects of gaining a regular position in the journey from welfare to work.

It is immediately clear that there is a significant difference between those that are looking for work and those that are seeking part time work. Those looking for full-time work are more likely to be anti-tech than those currently employed or seeking part-time work.

This difference is masked in generalised reporting of the number of new jobs created in workforce reports, and the numbers who are feeling left behind by the rate of technological change and global economic advancement.

Table 2: Variation in the responses to technological change and their work activity

TECHNOLOGY EARLY ADOPTERS

n = 9,984

TECHNOPHOBES

n = 17,731

No. % No. %

Employed 7,253 24% 5,522 13.4%

Looking for part time work 266 17% 398 15.6%

Looking for full time work 262 3.1% 426 15.0%

Looking for work 528 2.8% 824 15.3%

Percentages are of the total population across all profiles (n = 75,390) Source: Dr Colin Benjamin OAM based upon Roy Morgan Research Interviews 2012 – 2017

It is also important to examine the differences that make a difference in the mindspaces of those who are gaining job opportunities and those who are highly vulnerable to digital disruption in the coming decades.

Figure 7 shows that people with continuing access to higher education (top right of the Grid), are associated with lower rates of job seeking. Diminishing opportunities for the Q4 and Q5 population, coupled with their generally lower levels of education, exacerbates the impact and increases the risk of them being “left behind”.

Notably, there is mixed concordance between those seeking a job and their pro/anti-tech mindset. These data indicate that whilst those struggling to find work are generally less educated, it is not the comfort of technology and rate of technological adoption which are the contributing factors to those at risk of falling out of the labour market.

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Figure 7: Mindspaces analysis of job seekers

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

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Health impacts on those at risk of being left behind Examining the population who report issues of anxiety, panic attacks, and stress, it would appear that those who report mental health pressures arising from technological change are more likely to regard themselves as early adopters compared to those who are identified as later adopters of new technologies (Table 3). This may be contrary to common thought, however when we consider the thinking patterns of these groups, the distinction becomes far more meaningful.

These community responses are readily identified in references to the anxieties of middle Australia that are reflected in concepts such as the” war for talent”, “hollowing out of the middle”, and “casualisation and mobility of labour” concerns that do not help identify the policy and practice implications being addressed by the Senate Committee.

A matrix analysis however shows that the distribution of those with mental health concerns (Figure 8) are not concordant with technology acceptance profiles. It is clear that increasing rates of technological change, disruptive enterprises, increasing turbulence, and uncertainty are creating a sense of anxiety amongst half the total range of occupations that we have identified.

Table 3: Anxiety and stress responses related to technological change

ANXIETY PANIC ATTACKS STRESS TOTAL

Technology Early Adopters 18.8% 6.0% 29.0% n = 9,984

Professional Technology 14.5% 3.2% 25.0% n = 13,937

Digital Life 19.0% 5.9% 26.4% n = 2,815

Older Tech Explorers 13.8% 3.5% 19.0% n = 8,603

Technology Traditionalists 20.1% 6.4% 28.5% n = 22,320

Technophobes 13.7% 4.6% 19.0% n = 3,413

Percentages are from the total population across all profiles (n = 251,366) Source: Dr Colin Benjamin OAM based upon Roy Morgan Research Interviews 2012 – 2017

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Figure 8: Mindspace analysis of those with mental health concerns

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

Responses to technological change are more likely indicators of attitudes to change and choice generally, than to the nature and rate of technological change or socio-economic status in isolation.

The Gooroo ColourGrid™ provides a framework that helps identify the high level of concordance between mindspaces and “whealth”12 generation. Comparing job seekers (Figure 7) with incidents of chronic health (Figure 9 & Figure 10), we see the relationship between those looking for work, visits to health practitioners for heart condition concerns, and self-identified levels of being overweight and obese. While there is some impact from job seeking on the prevalence of chronic disease, it is postulated that the greatest impact is found amongst those that are looking for work without immediate success. There is a high degree of concordance between the anti-tech population and those suffering from serious chronic diseases of obesity and heart related issues.

Health can be impacted by behavioural factors (exercise levels) and social, technological, economic, environmental and political factors (STEEP). Three quarters of the population are now obese or overweight13 and the digital divide is driving more people into risk of chronic disease. One of the most critical sources of inequality is associated with the level of labour market participation. This reinforces the digital divide between those at risk of being left behind and those more confident in engaging in the new economy.

12 The fusion of health and wealth describing the kind of lifestyle that has been attained by someone who is limited by neither lack of health nor wealth. 13 A Picture of overweight and obesity in Australia, AIHW, 2017

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Figure 9: Mindspace analysis of those with obesity

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

Figure 10: Mindspace analysis of those with heart issues

Source: Dr Colin Benjamin OAM and Gooroo Ventures Ltd

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Appendices

Appendix 1: Reading the Gooroo ColourGrid™ The Gooroo ColourGrid™ can be interpreted through a number of different layers of meaning. Below are four examples. Colours in the squares are indicative of individual mindspaces. This provides a consistent basis for comparison that avoids unconscious bias. Gooroo would welcome the opportunity to discuss the potential implications of this with the Senate Committee members at any time.

With increasing turbulence, comes a need to move from purely experience-based thinking, through to acquiring specific expertise, engaging in constantly changing environments, through to thinking

which empowers the transformation of the environment around you.

The cultural dimensions of Hofstede (2010) provide insights into how the factors of power distance, individualism, orientation, and uncertainty

avoidance can be interpreted through a ColourGrid™ profile.

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The following two figures highlight the core quadrants of the Gooroo ColourGrid™

A reframing of Maslow’s Hierarchy of Needs which provides a frame of reference through which our decision making takes place.

The four powers provide a context for our mind’s effort to provide direction whilst maintaining sufficient control over the outcomes that we seek.

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Appendix 2: Comparing Grids Numbers in these Grids indicate the under or over-representations of that mindspace across the Australian population (where a score of 100 is the mean). We have highlighted the mindspaces where there is a dominant population represented. Comparing the two Grids below, we can see that there is concordance between the two populations. This indicates that when dealing with the problem of obesity, we may want to consider the technophobic mindset and the patterns of thinking that it encompasses (e.g. high power-distance, reliance on past behaviour, low comfort with change and turbulence).

The population of those who identify that they are anti/phobic of technology, is situated in the mindspaces towards the left of the grid. When compared with the

previous Grids of turbulence, we can see that this thinking is predominantly suitable to low turbulence and low change environments.

The presence of obesity amongst the population is situated in mindspaces across the left and top of the Grid. There is a high degree of concordance

with the technophobic population, although obesity is also present amongst those who are able to function in higher change environments.