Many early prognosticators in the past have predicted the demise of many jobs due to the increased use of artificial intelligence (AI.) However, as time has gone by and AI has become more of a reality in the workplace the predictions of widespread job losses have been tempered some. So what are they saying now?
Not all doom and gloom
Jacques Bughin, a senior partner for McKinsey & Co., in their Brussels office, writes that job loss due to the rise of AI is just part of the story. He says that companies that use AI to drive innovation are more likely to increase headcount than reduce it. After a polling 20,000 AI aware C-level executives Bughin and his colleagues concluded that although AI will probably lead to overall full-time equivalent employment by 2030, it will not lead to massive unemployment. We may be working shorter weeks but many will still have jobs.
They also concluded that companies that do not adopt AI may actually lead to greater unemployment because they will not be as competitive and subsequently go out of business, leading total elimination of jobs.
A Key point for companies
The lesson for companies is that they need to look for ways to adopt and adapt the use of AI in order to be competitive and stay in business. Companies closing down lead to more unemployment than companies that change technologies.
Resource: MIT Sloan Management Review, AI Isn’t the Death of Jobs (the actual paper magazine)