[Text: Yossakorn Kaewwannarat/Getty Images]
When ChatGPT first emerged nearly a year ago, generative AI quickly gained widespread adoption, moving from a curiosity to an integral tool in the workplace. Many employers and workers immediately embraced these artificial intelligence tools. Now, as generative AI transitions from the highest expectations to a phase of disappointment, real changes are evident in the job landscape.
Headlines have highlighted cases where AI has contributed to job losses. Companies such as IBM and BT Group have cited AI as they announced job cuts. In May 2023, almost 4,000 jobs were lost due to AI, as reported by the outplacement firm Challenger, Gray & Christmas. Although this trend is currently relatively small, accounting for about 5% of total job losses, it is expected to grow.
Looking ahead, a Goldman Sachs report has stated that generative AI could potentially replace up to a quarter of current work tasks. Fortunately, it’s projected that the impact of AI on the labor market will largely involve complementing rather than substituting jobs in most industries.
According to the Goldman Sachs report, younger generations are more likely to embrace AI as a way to enhance work efficiency. Individuals like Luke Lintz, a Gen-Z founder of a social media agency, view AI as a helpful tool for boosting productivity.
Dr. Michael Everest, founder of edYOU, an AI platform designed to support continuous study, reiterates the positive impact of AI. Everest argues that their platform aims to support humans in doing more without taking away jobs from teachers or writers.
While AI is certainly revolutionizing the workplace and generating efficiencies, it’s becoming apparent that it’s a tool that complements, rather than replaces, human workers. For example, Stefan Lederer, CEO and founder of Bitmovin, acknowledges the contribution of AI tools like GitHub Copilot to enhance team efficiency but emphasizes the necessity to still have human involvement to ensure accuracy and innovation.
AI has been influential in revolutionizing industries like insurance and data services, leading to improved operational efficiency and enhancing customer satisfaction. However, caution is advised to avoid over-reliance on AI in crucial tasks, as human oversight remains essential to validate AI-generated outputs.
Sociology professor Aaron Benanav points out that while generative AI is likely to affect white-collar jobs, there’s little evidence to suggest that it will ultimately replace the need for human workers in these occupations. Instead, it may potentially lead to increased hiring in certain fields.
Despite these considerations, CIOs see AI as a valuable tool for enhancing productivity and efficiency in the workforce. Rather than replacing staff, AI assists and complements existing workers, often by taking on repetitive and routine tasks so employees can focus on more critical work.
AI merits consideration not only in white-collar jobs but also in other areas such as construction, where it can contribute to efficiency and profitability while reducing unemployment. However, the need for human involvement alongside AI remains vital to ensure optimal results.
