Previous to this era - humans and animals did everything.
Can you imagine how many buggies the steam engines put out?
But the factories employed a lot of people who would have been doing other things.
Since then, we've constantly been going through this process.
Moreover - the biggest impact on labour today is not automat ion - it's cheaper labour in the rest of the world.
As factories become a little more automated, it will start at the bottom - with the simplest tasks. Those jobs are already mostly outsourced. 'Automation' is going to hit China harder than it hits the US.
As for 'basic income' - even applied in a normal context without the treat of disastrous unemployment ... 'means tested welfare' is one option. If we adjusted it a little so that people could possibly find work while still on welfare without losing benefits, this would take away some of the limitations.