Artificial intelligence and automated systems are no longer futuristic concepts; they are actively transforming operations in factories, hospitals, banks, and offices worldwide. While Africa has not yet reached the same level of integration, change is steadily taking root. I recently witnessed this firsthand when visiting a new-generation Nigerian bank to renew my expired debit card. To my surprise, I completed the entire process without any assistance from a bank employee. A machine verified my Know Your Customer (KYC) details and issued a new card immediately on the premises. The experience was fast and convenient, but it also highlighted the significant employment implications of automation. Tasks that once required a customer-service representative can now be handled by a machine. While this does not automatically mean every affected worker will lose their job, it suggests that banks may need fewer employees for routine services. The challenge lies in retraining banking staff for roles requiring financial advice, problem-solving, cybersecurity, data analysis, and stronger customer relationships—areas where human judgment remains invaluable.
Nigeria and other African nations must prepare themselves, as the continent is entering the age of automation from a disadvantaged position. Advanced economies generally benefit from reliable electricity, stronger education systems, higher worker productivity, and income support for those who lose their jobs. In contrast, Africa faces automation and technological disruption while simultaneously grappling with high unemployment, poor electricity supply, significant skills gaps, and millions of young people searching for livelihoods. We must stop viewing AI solely as an exciting tool for social media content creation; it is now an economic and future-of-work issue.
The greatest danger is not that robots will suddenly arrive and seize every job, but that many new jobs which should have been created may never emerge. Consider a simple example from Lagos State. In the past, opening new supermarkets, warehouses, or factories would have created numerous jobs for cashiers, loaders, clerks, security guards, and supervisors. Today, a company expanding from Ikeja to Lekki, Epe, or the Lagos-Ibadan industrial corridor may increase its business output without employing as many people. Payments, customer service, bookkeeping, stocktaking, and some security duties can now be managed by machines, automation, and computer programs.
This shift could also impact transportation and logistics. Anyone familiar with Apapa knows that Nigeria’s ports and logistics systems still rely heavily on human labor. However, other countries are already utilizing automated terminals, smart warehouses, and AI systems to manage goods and plan deliveries. These technologies could make Nigerian ports faster and more efficient, but they could also reduce the number of workers needed. This is critical because economic growth must improve people’s lives. The future of work should not be viewed as a simple battle between humans and machines. The real distinction will be between people who can use technology and those whose work can easily be performed by it. For instance, a cashier who only receives payments may face greater risk than a shop employee who can manage digital stock records, study customer needs, and operate automated systems. An accountant who only enters figures may be at higher risk than one who can explain financial information, advise business owners, and use AI tools. A graphic designer or photographer whose main skill is preparing routine designs or portraits may find that AI can complete the same work in minutes. This is already becoming apparent and may create a long-term problem for those without AI literacy.
Therefore, Nigeria must avoid two critical mistakes. The first is believing that automation will not affect the country simply because labor is relatively cheap. Technology is becoming more affordable and capable, and soon businesses will naturally compare the cost and reliability of machines against the cost of employing people. The second mistake is attempting to stop technology to protect jobs. Nigerian businesses must adopt modern technology to remain competitive; refusing to change could eventually cause business failures and lead to even more job losses. Technical and vocational education now deserves greater attention. As businesses become more automated, Nigeria will need technicians who can install, repair, program, and manage machines. Not everyone needs a university degree to participate in the future economy; practical and technical skills can provide valuable and rewarding careers.
Small businesses must also be part of this transformation. The discussion should not focus exclusively on banks, factories, and large technology companies. The fashion designer in Surulere, the furniture maker in Mushin, the delivery operator in Oshodi, and the food processor in Agege can all use AI for advertising, customer communication, and production planning. Nigeria also needs better plans for workers whose jobs may change or disappear, so that losing a job because technology has transformed an industry does not mean permanent unemployment.
AI and automated machines are neither enemies nor miracle workers; they are tools. They can make workplaces safer, reduce waste, improve healthcare, lower production costs, and help businesses grow. However, without proper planning, they can also increase inequality and create an economy where businesses produce more while employing fewer people. For Nigeria, the future of work is already a present concern. Africa should welcome innovation, but it must prepare its people to benefit from it. The continent’s greatest mistake would be to wait until jobs begin to disappear before asking what went wrong.
Dr Olubiyi is an entrepreneurship and business management expert
