• 14 June 2024

Fact-Checking: The Real Impact of AI and Innovation on Jobs

Jan 13, 2024

In today’s fast-changing world, people are curious about how new technologies like Artificial Intelligence (AI) affect jobs. Many stories circulate, and it’s essential to check the facts to understand the real impact of AI and innovation on employment. This exploration aims to separate what’s true from what’s not, helping us grasp how these technologies truly influence the job market.

How automation could eliminate 73 million US Jobs by 2030

Pic Credit-Statista

By 2030, about 73 million jobs in the United States might be lost due to automation. This means that machines and technology, like robots and artificial intelligence, could take over many tasks that people currently do at work. Jobs in areas such as manufacturing, customer service, and data entry are at risk because machines can do these tasks faster and without making mistakes. While automation can make things more efficient, it also means that many people might lose their jobs. It’s important for us to find ways to learn new skills and adapt to these changes in the workplace.

Pic Credit-Skynettoday

Key Statistics and Numbers

  • Up to 375 million people might need to switch job categories due to displacement.
  • Nearly half of CEOs believe AI could replace most or all of their roles.
  • 47% of CEOs view the potential replacement of their roles by AI as a positive development
  • Only 20% of jobs are “highly” exposed to GenAI, indicating that AI is unlikely to fully replace most occupations.
  • Driving jobs, such as truck and taxi drivers, have the lowest potential exposure, with GenAI proficient in only 29% of skills.
  • AI was responsible for 3,900 job cuts, while other instances of workforce reduction may be attributed to economic conditions, cost-cutting measures, corporate restructuring, or mergers and acquisitions.
  • From January to May 2023, around 4 lakh people lost their jobs.
  • By 2030, 45 million Americans could lose their jobs to AI automation, representing about one-quarter of the workforce.
  • On a positive note, artificial intelligence has the potential to generate $15.7 trillion for the economy and create 97 million jobs by 2030, simultaneously eliminating routine tasks and fostering increased creativity among workers.
  • Amazon utilizes AI in the form of 750,000 collaborative robots to automate manual tasks.
  • Coca-Cola’s “Create Real Magic” contest in early 2023, powered by OpenAI’s GPT-4 and DALL-E, resulted in over 120,000 AI-generated images within eight days, showcasing innovative use of AI in digital art creation and later extended to holiday card design.
  • Jobs that can be done remotely are more likely to be impacted by AI. Jobs requiring in-person presence have lower potential exposure to AI.
  • Johnson & Johnson’s Neutrogena partners with Nourished, utilizing AI-powered Skin360 technology to 3D-print personalized skincare gummies, offering customers a digital skincare assessment and tailored product recommendations based on face scans.
  • McKinsey estimates that personal computers (PCs) have created 15.8 million net new jobs in the U.S. since the 1980s, constituting about 10% of the workforce.
  • About 18% of jobs in the U.S. today did not exist in 1980, and the demand for these new jobs is projected to rise to 8-9% by 2030.
  • Tech jobs are expected to grow from 20 to 50 million by 2030.
  • Gartner predicts that by 2020, AI will create 2.3 million jobs and displace 1.8 million, resulting in a net positive
  • By 2030, AI is expected to create 2.3 million jobs and displace 1.8 million, resulting in a net positive, according to Gartner.
  • Healthcare jobs are difficult to automate due to the necessity of human-to-human interactions, and they are projected to grow by 80 to 130 million by 2030 worldwide.
  • Rising income and consumption, especially in developing countries, are expected to lead to global consumption growth by $23 trillion from 2015 to 2030, fostering overall job and economic growth.
  • By 2030, 60% of jobs will have tasks at least 30% automatable, but less than 5% will be fully automatable.
  • NCCI projects a potential 1.6 million job losses in U.S. manufacturing by 2024, with automation replacing 6.9% of manufacturing jobs. Information, agriculture, and retail sectors are also expected to employ 200,000 fewer workers.

Jobs AI Will Likely Replace

  • Customer Service Representative: Automation, including chatbots, reduces the need for human intervention.
  • Car and Truck Driver: Autonomous vehicles impact jobs in taxi and rideshare industries.
  • Computer Programmer: Entry-level programming jobs may succumb to automation.
  • Research Analyst: AI’s data processing abilities challenge research-centric roles.
  • Paralegal: Administrative tasks handled by paralegals are within AI’s capabilities.
  • Factory or Warehouse Worker: AI-powered machines perform tasks with greater speed and consistency.
  • Financial Trader: AI predicts market trends faster and more accurately than humans.
  • Travel Advisor: AI-powered platforms provide personalized recommendations, diminishing reliance on travel agents.
  • Content Writer (In Some Cases): AI assists with brainstorming and can produce certain types of content.
  • Graphic Designer: AI-generated art competes with human designers, impacting the need for graphic design services.

Conclusion

To sum it up, AI and innovation affect jobs in different ways. People worry about losing jobs, but research shows it’s more complex. AI can create and change jobs, making work more efficient. It’s important to see both sides and focus on education and learning new skills. This helps us adapt to the changing connection between people and AI. By working together and realizing how innovation can change things, we can create a future where AI supports human skills instead of taking over jobs.

Leave a Reply

Your email address will not be published. Required fields are marked *