AI will replace jobs – but it will create them too

Artificial intelligence has been a growing force for years now, but the launch of OpenAI’s ChatGPT made the technology a household name. Generative AI has already emerged as a disruptive force across industries, enabling businesses to rethink the way they operate and steadily influencing workplace habits.

While there’s some uncertainty regarding the impact AI will have on businesses and livelihoods, many are optimistic about the opportunities afforded – from augmented productivity to new professions. As AI technology marches on in maturity though, greater upskilling plans will be required to keep up the pace.
 

• AI could replace the equivalent of 300 million full-time jobs, according to a recent Goldman Sachs report.
• Our What Workers Want survey revealed that over half (56%) of employers think we should embrace AI in the workplace, with 49% of workers sharing this sentiment.
• Over half (51%) of our surveyed employers say their workforce doesn’t have the right skills to make the best use of AI tools and technology.

AI and job creation

One of the chief concerns is that AI will cause a large number of jobs to become redundant, with its ability to automate repetitive processes and rapidly generate content. Early signs certainly point in this direction: a Goldman Sachs report predicted that AI could replace the equivalent of 300 million full-time jobs, while BT recently announced that over 10,000 jobs would be replaced by new technologies – including AI.

So which jobs is AI likely to replace? Roles that are heavily reliant on repetitive data entry and basic decision-making could be displaced by AI-enhanced automation. In particular, white-collar professions in customer service, marketing, and banking and finance would appear to be the most vulnerable.
 

Human skills will always be needed to enable effective governance and use of AI models.

However, it’s important to note that while AI may displace certain roles, it will also give rise to new and exciting job opportunities, such as AI ethicists or possibly prompt engineers, while also increasing demand for existing roles, from machine learning specialists to data analysts. Crucially, human skills – a report by Microsoft identifies analytical judgement, emotional intelligence, and flexibility as most valued in the new tech era – will always be needed to enable effective governance and use of AI models.

A new period of productivity?

AI-powered tools and algorithms are transforming the way businesses operate, leading to enhanced efficiency and productivity gains. Machine learning algorithms, for example, can analyse vast amounts of data in a fraction of the time it would take a human, leading to improved decision-making processes. And as technology sees greater adoption and maturity, the benefits will only become more pronounced.

This is not the first time a major technical breakthrough has shaken up the world of work though – from the typewriter to the internet, we’ve had to adapt to workplace changes created by our own ingenious inventions. Echoing the “creative destruction” theory of Austrian economist, Joseph Schumpeter, some predict that though AI will disrupt existing industries and processes, it could also create new opportunities for innovation, growth, and economic transformation.

There’s good news for workers, too. AI’s productivity boon allows employees to focus on higher-value tasks that require critical thinking, creativity, and emotional intelligence. By automating mundane tasks, AI can enable individuals to engage in more fulfilling and intellectually stimulating work – potentially leading to increased job satisfaction.

It would seem that many in the workforce are keen to leverage the upsides of AI: according to our 2023 What Workers Want survey, investigating the views of more than 8,800 respondents across the UK, over half (56%) of employers think we should embrace AI in the workplace. Workers share a similar sentiment, with close to half (49%) saying we should embrace AI, and less than a fifth (13%) believing it should be feared.

Reskilling and upskilling is just the beginning

As AI continues to reshape the workforce, it’s becoming increasingly transparent that workers will need to adapt their skill sets to remain relevant in the job market. Even before the launch of ChatGPT, the World Economic Forum estimated that by 2025, 50% of all employees will require reskilling or upskilling due to the adoption of AI and automation. Mirroring this forecast, our What Workers Want survey revealed that over half (51%) of employers say they do not have the right skills in their workforce to make the best use of AI tools and technology. For those employers who said they have skills gaps, 45% said both technical and soft skills are lacking, whereas 38% said it was mainly technical skills needed to use specific AI tools.

Despite these AI skills gaps, just over a quarter (27%) of employers say they are investing in training for staff to upskill in AI tools and technologies. Given the rise of generative AI in the workplace seems inevitable at this stage, more organisations should implement training programs to address any skill shortcomings, while also considering how AI can supplement their worker’s existing abilities.

It’s equally important that workers are made aware of AI models’ shortcomings – both on a technical and ethical front. Despite their sophistication, AI models like ChatGPT are more than capable of fabricating facts – what’s known as “hallucinating” – and rely on information and data that isn’t always verified. Moreover, they’re capable of propagating historic bias and compromising the fairness of decision-making processes. Combined with the potential for data privacy concerns, implementing the right education and guardrails will become a priority when adopting AI at scale.
 

Navigating change together

AI's impact on the workforce is undeniable, with automation, efficiency gains, and skill transformation at the fore. While some jobs may be displaced, emerging AI models present numerous opportunities for exciting roles and new ways of working. However, the successful integration of AI into the workforce requires a proactive approach from both individuals and organisations – one that emphasises reskilling, upskilling, and ethical considerations.

As a leadership partner, we’re committed to guiding businesses and individuals through this transformative era, ensuring a future where AI and human collaboration drive innovation and sustainable growth.

Join our webinar on 5 July to learn about AI in the workplace: our panel of experts will discuss the technology’s impact, adoption strategies, staff upskilling, and share insights from our 2023 What Workers Want Report. Register your interest today, and stay ahead of the AI curve.