ABSTRACT
In developing countries, the diffusion of micro-electronics has been more limited; thus an assessment of their employment impact is even more precarious. The production of microchips itself automated and there are the first signs of it being relocated to the advanced countries. In the advanced countries, most of the debate on technology and employment is about the impact of micro-electronics. The microprocessor, or computer on a chip, has become the symbol of new technology. More importantly, the new technology also has an employment creating effect. First, there is employment creation in the sector which produces the new technologies, particularly the electronic capital goods and components industry. Secondly, new jobs are created through the sales, installation and operation of new equipment. Thirdly, the advent of micro-electronics has not only brought about changes in capital goods and thus production processes, but also made possible a range of new consumer goods which require labour to produce them.
