Like it or not, it will soon be the end of the road for the internal combustion engine.
By 2025, UBS predicts 20% of all new cars sold globally will be electric. That number is expected to jump to about 50% by 2030, and some experts predict 100% of all new cars will be electric by 2040.
This seismic shift to electric vehicles means an uncertain future for tens of thousands of auto workers.
“This is probably the biggest change in the 100-plus-year history of the industry,” Harley Shaiken, auto expert and professor at the University of California, Berkeley, told Yahoo Finance Live.
Haiken predicts tens of thousands of jobs could vanish across the car industry as automakers transition to EV, and he says the shift will impact everyone from engineers to factory workers.
“It takes fewer workers to manufacture an electric vehicle versus an internal combustion car---30% to 40% less,” Shaiken said.
GM has vowed to make only electric vehicles by 2035, Ford said it will only sell electric vehicles in Europe by 2030, adn Volkswagen recently doubled its plans for its VW brand, saying by 2030, 70% of its total European vehicle sales will be battery electric.
GM and Ford said they’re already retraining employees to work on EVs as they prepare for an all-electric future. While some current auto jobs will evolve, Shaiken said the fact is EV’s require less parts, which will ultimately mean lost jobs.
He said it will even redefine car service centers. Since electric vehicles have 10 times fewer moving parts than a gas-powered car, gone will be the need for oil changes, spark plugs, mufflers and catalytic converters.
It isn't just auto workers impacted by the switch to electric. Shaiken said...