Socioeconomic Implications of New Technology in Banking: Some Australian and New Zealand Evidence
This chapter argues that assumptions about the employment effects of new technology must take into account factors relating both to the capital investment involved, and to the managerial infrastructure that will emerge from such developments. It also argues that confusion of cause with effect has and is occurring, and that the speed with which such changes will be put in place has tended to be exaggerated. The chapter discusses some of the major labour market issues that surround the subject of new technology in the banking industry. Electronic banking may be described in simplistic terms as the application of advanced technological systems to the agency-client relationships that are the primary focus of banking activity. It is less easy to find demand or consumer-driven justifications for two further developments at the customer interface, which are about to be introduced in depth in both Australia and New Zealand, electronic funds transfer at the point of sale and home banking.