A New Economic Report Found Within the Next 5 Years, as Economic Conditions Change, and the Adaptation of AI Skyrockets Your Job Could Be on The Line.
The new report found that 69 million new jobs are expected to be created while 83 million positions are to be eliminated. The findings are based on surveys conducted with over 800 companies: a net loss of 14 million jobs, or 2% of current employment by 2027.
Morgan Stanley ($MS) plans to lay off more than 3,000 employees and they already laid off 1500 employees recently in December. Now, thanks to AI, IMB now states they would be able to lay off a segment of their staff:
IBM SAYS IT CAN REPLACE OVER 7500 CURRENT EMPLOYEES WITH AI
IBM IS REPLACING SOME HR ROLES WITH AI
IBM IS ALSO PAUSING HIRING FOR ROLES THAT AI CAN DO$IBM
— GURGAVIN (@gurgavin) May 1, 2023
Numerous factors will contribute to job market fluctuations, including the impact of slower economic growth and high inflation, leading to job losses. Additionally, the rapid integration of artificial intelligence (AI) will have both positive and negative effects on the job market.
While the demand for data analysts, scientists, machine learning specialists, and cybersecurity experts is projected to increase by 30% on average by 2027, the widespread adoption of AI will also threaten certain job roles. It was found that 26 million record-keeping and administrative jobs may disappear by 2027, with data entry clerks and executive secretaries being the most affected. Employers now expect 42% of tasks to be automated by 2027, compared to their previous 2020 estimate of 47% by 2025 thanks to programs like ChatGPT.
Companies within specific sectors may see their stocks impacted the most as a result of the anticipated changes in the job market and the increasing adoption of artificial intelligence and renewable energy technologies:
Alphabet Inc. (parent company of Google) and Microsoft Corporation are both heavily involved in AI research, development, and implementation. These companies may see an impact on their stocks as AI adoption continues to grow and reshape the job market.
Renewable Energy Sector:
Companies like Tesla, Inc. and NextEra Energy, Inc. are focused on renewable energy systems and technology. As the shift towards renewable energy is expected to be a significant driver of job creation, their stocks could also be affected by the changes in the job market and energy landscape.
In light of these changes, companies are reassessing the skills required for their workforce as efficient use of AI tools is now considered more valuable than computer programming. Is AI changing lives for the better or is artificial intelligence taking over the world and we’re headed for a dystopian nightmare?
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