Artificial Intelligence (AI) is really coming for our jobs. That is, according to an analysis published by the International Monetary Fund (IMF) over the weekend.
Many studies have predicted the likelihood that jobs will be replaced by AI. Yet we know that, in many cases, AI is likely to complement human work. The new analysis completed by IMF staff, which examines the potential impact of AI on the global labor market, captures both these forces.
The findings are striking: Almost 40% of global employment is exposed to AI. Historically, automation and information technology have tended to affect routine tasks, but one of the things that sets AI apart is its ability to impact high-skilled jobs. As a result, advanced economies face greater risks from AI — but also more opportunities to leverage its benefits — compared with emerging markets and developing economies.
The analysis found that in advanced economies, about 60% of jobs may be impacted by AI. Roughly half the exposed jobs may benefit from AI integration, enhancing productivity. For the other half, AI applications may execute key tasks currently performed by humans, which could lower labor demand, leading to lower wages and reduced hiring. In the most extreme cases, some of these jobs may disappear.
Whereas in emerging markers and low-income countries, AI exposure is expected to be 40% and 26%, respectively. These findings from the IMF suggest emerging markets and developing economies face fewer immediate disruptions from AI. At the same time, many of these countries don’t have the infrastructure or skilled workforces to harness the benefits of AI, raising the risk that over time the technology could worsen inequality among nations.
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