Did you follow the link I provided?
Like I said, I'm definitely pro inference, in fact, I don't even mind a dynamic language (depending which one), give me a Lisp or Smalltalk and I don't even need any static type checking. Now, OCaml is actually next on my list, but I've done Rust, Haskell and Elm, used Kotlin, Scala, Fantom, and C#. And I've used core.typed on Clojure, for now, Clojure is my language of choice, but I definitely like a functional language with a fully infered type system compared to the imperative flavours.
But there is a segment of the static checking world which is dedicated to non Hindley-Milner, mostly imperative, mostly OO scene, and I feel denying Java's influence on static typing I think would be reductionary, as it is one of the most widely used statically typed language.
Anyways, I just wanted to bring their voice to the conversation, even if I don't agree, and am a big fan of local type inference that Java 10 added. Which maybe the fact that they finally added it shows they recon being wrong about it.
Now, for cause of error. One of the one they describe is "action at a distance" like this:
var result;
// many lines of code
result = new ArrayList();
Now here because the assignment could be way later in the code, someone might mistake the type of the variable since it isn't obvious what it would be,.since the assignment is so far away from the declaration.
Another issue they talked about was multiple assignment. For example:
var x = "Hello"
// multiple lines later
x = new CustomerName();
Now what should the type of x be? Java could infer that it must be the closest common ancestor, which might be Object in this case. That's most likely not correct though, and the rest of the type checking now will probably lead to weird errors. Like why doesn't x work with String methods or CustomerName methods?
Another issue is with ABI compatibility. If the return type of a method is infered, and compiled. And a dependent class uses it. A programmer could change the implementation and have the inference infer a compatible but different type all of a sudden, like say it now infers ArrayList instead of the interface type List. Now the client code is broken, because it assumed the List type, and this is probably not the intent of the programmer, but a side effect of the inference having changed without their notice.
I think they talk about more stuff here. You got to dig into the mailing lists and JEPs and all to find most of it.