This was a Keynesian idea, and it did not manifest, nor will it manifest.

People will only work for leisure if they value leisure. What's changed over the past century is that we have more choice in what that leisure is should we choose to do it.

Output is essential. Automation will increase our output and free more people from manual work. Will the transition be smooth? not likely. But it will be better. None of these jobs would automate if the automation wasn't worth it overall.