1483 Copyright © 2013, IGI Global. Copying or distributing in print or electronic forms without written permission of IGI Global is prohibited. Chapter 74 DOI: 10.4018/978-1-4666-3886-0.ch074 INTRODUCTION New technologies are causing critical changes in established institutional arrangements within companies, including changes in the division of labor, organizational structures, and skill require- ments at all levels of the occupational hierarchy. Through their impact on markets and production processes, new technologies are changing the roles of companies, industries, and regions from a socio- economic point of view, and also the interactions and social relations between them. Although they are leading to new and more flexible institutional arrangements that meet the demands of the new era of flexible production and consumption, they totally alter current labor relations. The aim of this chapter is to investigate how technological developments occurring in the pro- duction processes and organizational structures of Small and Medium Sized Enterprises (SMEs) Emek Barış Kepenek Science and Technology Policies Research Center (TEKPOL), Turkey Socio-Technical Issues in Youth Employment in SMEs: The Case of the Furniture Sector in Turkey ABSTRACT This chapter investigates how technological developments implemented in the production processes and organizational structures of small and medium sized enterprises afect the skills and therefore the employment of young workers in these businesses. The furniture sector in the greater region of Ankara in Turkey is explored in this chapter because it is one of the fastest growing sectors in the new millen- nium, and the rate of youth employment is very high. Young workers face severe problems due to the technological developments and organizational changes occurring in these enterprises. Many of them are either removed from production processes or dismissed from the company. To have a decent job, the young generation working in this sector should not be alienated from the production process. It is claimed that this major problem of bias towards young workers can be solved by a proper education, which will greatly increase their technical skills.