Artificial intelligence is both a source of fascination and concern. And if AI worries, it is, in part, because some models have become so efficient that they threaten to compete with human intelligence. In any case, job losses due to AI are already a reality, as shown by an American study carried out by Challenger, Gray & Christmas, a company specializing in human resources.
Specifically, the study looked at the job cuts announced in the United States in May. According to published data, 80,089 job cuts were announced during this month, an increase of 20% compared to April, and an increase of 287% year-on-year. An increase which is largely due to the macroeconomic context.
Macroeconomics and AI
“Consumer confidence is at its lowest level in six months and job vacancies are stagnating. Companies seem to be holding back on hiring in anticipation of a downturn,” said Andrew Challenger, labor expert and senior vice president of Challenger, Gray & Christmas, Inc. But that’s not all, since 'some of these job cuts were also caused by AI.
Specifically, according to a Fortune article, of more than 80,000 May terminations in the United States, 3,900 were layoffs related to artificial intelligence. And almost all of those layoffs have been in the tech industry. Andrew Challenger, quoted by Fortune, explains that he expects the arrival of AI to lead to job losses. However, he is surprised by the speed at which things are changing. "It's amazing how quickly technology evolves and adapts," he said.
Big changes for the labor market
And that's just the beginning. According to a study by Goldman Sachs, which analyzed the tasks of more than 900 positions, nearly two-thirds of jobs in the United States will be exposed to "some degree of automation" by artificial intelligence. But the bank also clarified in its report that all these automations will not lead to layoffs.
“While the impact of AI on the job market is likely to be significant, most jobs and industries are only partially exposed to automation and are therefore more likely to be supplemented than replaced by AI”, also indicated Goldman Sachs in this report published in April.
Winners and losers?
In any case, if the emergence of AI threatens jobs, it also creates new ones. Companies, which smelled the potential of this technology, after the buzz generated by ChatGPT, are now recruiting with a vengeance. This is the case, for example, in the banking sector. In a previous article, we relayed, for example, a study according to which JP Morgan published more than 3,500 job offers related to AI between February and April. Citigroup, meanwhile, reportedly posted 2,100 job openings.
Otherwise, the emergence of chatbots like ChatGPT has also created a new type of position, that of prompt engineer. And on online course platforms, specialists have turned into professors of artificial intelligence. Indeed, more and more recruiters consider that mastering ChatGPT and similar AIs can be an advantage for a candidate.