AI Development Impact on Workforce: Major Statistics and Predictions

AI is transforming the workforce at an incredible pace. By 2025, automated tools will replace 2 million workers in manufacturing. This change comes from a report by MIT and Boston University. Most of these tools will be robots, not just AI. By 2030, AI will force 14% of global employees, or 375 million workers, to change their careers. This is according to a study by McKinsey.

One in four CEOs expects generative AI to cause job cuts of 5% or more in 2024. This finding comes from a PwC survey of 472 CEOs across 105 countries. Most of these CEOs believe AI will cause job losses, but only a small number expect significant cuts. Even so, this could mean tens of thousands of jobs across many industries.

Seventy-five percent of CEOs think generative AI will change their businesses in the next three years. Business leaders foresee a need for new skills and improved cybersecurity protocols. Eighty percent of the US workforce could see at least 10% of their tasks impacted by AI, especially large language models (LLMs). This impact could be positive or negative, meaning tasks will change somehow.

Data entry jobs face the highest risk. By 2027, over 7.5 million data entry jobs will be lost. Other jobs at high risk include administrative secretaries and accounting. AI tools like ChatGPT are already effective in these areas. However, certain tasks, especially those needing human judgment, will still require people.

Forty-four percent of companies using AI plan for possible layoffs in 2024. Only 21% are sure that AI will cause layoffs next year. Another 23% are unsure. Nearly half of US workers could lose their jobs to automation over the next decade. This includes non-AI tools like robots. It might take 20 years to automate half of current tasks globally due to legal, political, and technological barriers.

Interestingly, workers in jobs most exposed to AI earn more than those in jobs least exposed. Employers think 42% of tasks will be automated by 2027, a decrease from their 2020 prediction. This more conservative estimate could reflect doubts about AI's continuous improvement. Sixty-five percent of tasks related to data processing could be automated by 2027.

The need for retraining is a significant barrier to AI adoption. Over the next three years, 120 million workers will need retraining due to AI. Only 34% of organizations are reskilling their employees for AI, despite the skills gap being a major barrier. Larger organizations are more likely to adopt AI, absorbing the costs that smaller ones cannot.

Seventy-five percent of organizations are likely to adopt AI by 2027. For those who think AI might not come to their workplace, there is a high chance it will. As AI continues to grow, it will bring both challenges and opportunities to the workforce.