AI has potential to replace equivalent of 300 million full-time jobs

According to a report by investment bank Goldman Sachs, artificial intelligence (AI) has the potential to replace the equivalent of 300 million full-time jobs.

It could eliminate 25% of work in the United States and Europe, creating new jobs and increasing productivity.

Additionally, it has the potential to eventually result in an increase of 7% in the global annual value of goods and services.

According to the report, generational AI, which can produce content that is comparable to that produced by humans, is “a major advancement.”
Prospects for employment The government of the United Kingdom is eager to encourage investment in AI, which it claims will “ultimately drive productivity across the economy,” and it has attempted to reassure the public regarding its impact.

According to a statement made by Technology Secretary Michelle Donelan to the Sun, “We want to make sure that AI is complementing the way we work in the UK, not disrupting it – making our jobs better, rather than taking them away.”

The report says that AI will have different effects on different industries. It says that 44% of legal and 46% of administrative tasks could be automated, but only 6% of construction and 4% of maintenance tasks could be automated.

Some artists’ concerns that AI image generators could harm their employment prospects have previously been reported by BBC News.
“Lower wages” Carl Benedikt Frey, future of-work director at Oxford University’s Oxford Martin School, told BBC News, “The only thing I am sure of is that there is no way to know how many jobs will be replaced by generative AI.”

“For instance, ChatGPT lets more people with average writing skills write essays and articles.

“Unless we see a very significant increase in the demand for such work, journalists will therefore face more competition, which would drive down wages.

“Think about introducing platforms like Uber and GPS technology. All of London’s streets suddenly became much less valuable, and as a result, incumbent drivers saw significant pay cuts of approximately 10%, according to our research.

“The outcome was not fewer drivers but rather lower wages.

“Generative AI is likely to have similar effects on a wider range of creative tasks over the next few years.”
“Pinch of salt” According to the report, sixty percent of workers are employed in fields that did not exist in 1940.

However, other research indicates that technological advancements since the 1980s have resulted in a greater number of job losses than gains.

Computer based intelligence could supplant likeness 300 million positions – report
Also, assuming generative man-made intelligence resembles past data innovation progresses, the report closes, it could lessen work in the close to term.

However, according to Torsten Bell, CEO of the Resolution Foundation think tank, “so all firm predictions should be taken with a very large pinch of salt,” the impact of AI in the long run was highly uncertain.

He stated, “We do not know how the technology will evolve or how businesses will integrate it into how they work.”

“That’s not to say that AI won’t disrupt the way we work; rather, we should also focus on the risk of falling behind if other businesses and economies better adapt to technological change and higher-productivity work and services that are cheaper to run.”

source

image source: https://www.deanlong.io/blog/future-of-work
1319204