Empowering the Workforce: Roy Bahat on the Future of Work

In this conversation with Workonomics' Nilesh Kavthekar, Roy Bahat - head of Bloomberg Beta, chair of the Aspen Business Roundtable on Organized Labor, and a pioneering figure in venture capital focused on the future of work - shares his perspectives on the evolving landscape of labor, technology, and innovation. Bahat highlights the importance of collaboration between business and organized labor and emphasizes that empowering workers is not just beneficial for individuals - it is essential for driving demand and economic success. He challenges the traditional trade-offs between supporting workers and achieving business returns, advocating for a collaborative approach that recognizes the vital role of worker power in shaping a prosperous future. His insights reveal the transformative potential of technology, particularly artificial intelligence, in enhancing worker experiences and fostering a more inclusive economy. This conversation encourages us to rethink traditional approaches and embrace new opportunities to create a more equitable work climate.

This interview has been edited for length and clarity. Click here for the full discussion.

Nilesh: As a VC focused on the future of work, do you see a trade-off between returns and supporting workers?

Roy: I do not see it as a trade-off. There are moments where there are trade-offs, like when workers want to get paid more or a company wants to pay them less. But in the aggregate, I think of worker power as a source of demand.

We've invested in companies that try to serve that demand from labor. Business leaders and leaders in organized labor have spent so little time deeply understanding one another. I wish more startup founders would focus on companies serving the needs of workers and organized workers.

VC-backed startups aren't the only way to serve that. For example, the Carpenters Union training center in Las Vegas collaborates with businesses to train people in advanced skills and leadership. If we get creative and structure things correctly, we can create new opportunities for both business and labor. Will there be trade-offs? Yes. Is it a trade-off overall? Absolutely not. There's still so much more we can discover if you understand deeply what workers want and work with it, as opposed to treating them as the enemy.

Nilesh: In your role bridging business and labor, how do you encourage unions to innovate with new technologies and models of worker organizing?

Roy: I don't think everything can be solved through dialogue and building relationships, but a lot more can be done than is. We need more organized worker power, with businesses wanting different approaches and unions wanting more organizing. Both views have merit, but we need integration - combining effective pieces creatively.

I want to hear from nonprofit founders, company founders, and union innovators; that's where the real answers will emerge.

Nilesh: What are your thoughts on expanding employee ownership beyond tech?

Roy: Economic ownership is a good thing and should be spread widely. Workers should benefit from their company's success, especially as wages stagnate while executive pay soars. Sharing the company's economic gains aligns interests; every worker should have some stake in the success, whether through equity, profit sharing, or bonuses. There's a nonprofit in the private equity space called Ownership Works that's been active in this regard.

Beyond economics, non-economic ownership - like autonomy and governance - is important. If we foster participation in workplaces, it can strengthen democratic engagement at the national level.

Nilesh: Are you seeing any instances of AI helping workers or are there any examples that you look to as what AI could become, for worker power?

Roy: Yes, there's potential for AI to benefit workers, but we need to take significant steps first. AI can empower workers in their jobs and assist in organizing, education, and training. However, its impact depends on how it's developed. Involving workers and labor in AI creation can ensure it meets their needs and prepares them for changes.

While it's unclear if automation will lead to more job losses, we should prepare for unpredictability. Strengthening support systems like healthcare and unemployment insurance can act as shock absorbers. When people feel secure, they innovate and lead more fulfilling lives. A guaranteed income can help boost both security and entrepreneurship.

Nilesh: When you're thinking of the ideal future of labor and business working together, what does this look like for you?

Roy: The ideal future includes every person having access to an effective labor organization that represents their interests and fosters dialogue. This could lead to businesses creating better products and happier employees, as seen in the hospitality industry, where unionized workplaces enhance customer service.

I envision a future where work is less central to identity, allowing people to choose its importance in their lives. Additionally, I hope for an economy with less corporate concentration, enabling startups and innovators to thrive.

I imagine a future where we see more experimentation by a larger number of strong labor organizations. I think I could see it playing out differently in different occupations and industries, but ultimately we need stronger labor across the board.

Listen to This Conversation

Explore the full interview here to learn more about Roy Bahat's vision for the future of work, and click here for more information about the Aspen Business Roundtable on Organized Labor.

About the Authors

Roy Bahat

Head of Bloomberg Beta

Roy Bahat is the head of Bloomberg Beta, an early-stage venture capital firm that was the first to focus on the future of work and the first to focus on artificial intelligence. He also serves on the faculty at UC Berkeley's Haas School of Business, where he teaches "Unions and Otherwise: Leading an Organized Workforce." Roy chairs the Aspen Business Roundtable on Organized Labor, convening "labor open" business leaders to explore new ways of relating to organized labor. He serves on the board or as an advisor to several nonprofits, including the Stanford Center on Philanthropy and Civil Society, the Economic Security Project, and the Center for Investigative Reporting.

Nilesh Kavthekar

Writer, Workonomics (A Substack focused on workers, technology, and policy)

Nilesh Kavthekar is the writer of Workonomics, a publication focused on the intersection of workers, technology, and policy. In addition to writing, he is an advisor to municipal labor departments on gig economy regulation and enforcement. He recently completed a Fulbright Schuman Scholarship in the European Union, researching labor regulations and antitrust enforcement in the gig economy. Prior to Fulbright, Nilesh was a Product Manager at Data for Progress, Driver's Seat Cooperative, and Uber.

About this Series

This is part of a series called "Back to the 'Future of Work': Revisiting the Past and Shaping the Future," curated by the Aspen Institute Future of Work Initiative. For this series, we gather insights from labor, business, academia, philanthropy, and think tanks to take stock of the past decade and attempt to divine what the next one has in store. As the future is yet unwritten, let's figure out what it takes to build a better future of work.

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