Almost 40% of global employment is exposed to AI, with about 60% of jobs in advanced economies being more susceptible to AI's impact, revealed a recent International Monetary Fund (IMF) report.
Since the introduction of ChatGPT by OpenAI in December 2022, a series of conversations has emerged about artificial intelligence, particularly the potential impact of generative AI on jobs. While some argue that AI will replace jobs, others believe it will improve productivity and efficiency.
In light of this, a recent report by the IMF reveals that almost 40% of global employment is exposed to AI, with about 60% of jobs in advanced economies being more susceptible to AI's impact.
While half of the available jobs can be improved by using AI to enhance efficiency, the remaining half may witness AI taking over tasks currently performed by humans, potentially reducing the demand for labor, and resulting in lower wages and a dip in hiring. In extreme cases, some of these jobs might disappear, according to the report.
On the other hand, the exposure to AI in emerging markets and low-income countries is expected to be 40% and 26%, respectively. Despite having a lower probability of immediate disruptions from AI, these countries may face hindrances in fully capitalizing on AI due to lacking necessary infrastructure and a skilled workforce, potentially widening global inequalities over time.
The findings further suggest that AI can accelerate productivity for younger and less experienced workers, while older workers may encounter challenges in adapting.
The impact of AI also extends to labor, particularly for high-income earners. If AI proves to be beneficial for high-income workers, it may exacerbate existing inequalities. According to the report, AI is likely to worsen inequality.
This underscores the need for policymakers to focus on establishing comprehensive social safety nets and implementing retraining programs for vulnerable workers, fostering a more inclusive transition to AI, and safeguarding livelihoods while mitigating inequality.