Global inequalities will worsen unless governments do more to ensure that those most affected by the rapid evolution of technology remain isolated. This was stated by the World Economic Forum (WEF) ahead of the annual Davos Economic Summit.

It is time to change the fact that a significant part of a person’s life is still largely determined by his socio-economic birth status, the forum said. The result is that societies “too often reproduce rather than reduce historical inequality”. The WEF Social Mobility Report states that Europe is performing well, especially in the North, Japan ranked 15th, while the US is down to 27th place.

However, problems are widespread and most countries are performing poorly on three main indicators – low wages, lack of social protection and an inadequate system for continuing education.

These problems, which develop over time, feed a growing sense of injustice, even in places where economic measures imply shrinking inequalities, as well as erosion of trust and frustration by political elites. According to the WEF, enabling everyone to develop their potential not only improves personal well-being but also brings more general benefits by stimulating economic growth.

“Inequality is reinforcing and is likely to worsen in an era of technological change and green transition”, says the report.

It also provides some recommendations for change. These include reforming tax legislation and tackling the issue of concentration, improving the education system and more social protection for those employed in industries with impending change.