Artificial Intelligence is rapidly transforming the global labor market, with experts warning that up to 300 million jobs could be affected worldwide. While AI may increase productivity and create new industries, it could also reduce wages and intensify competition in creative and administrative professions.
AI could replace up to 300 million jobs but also boost global productivity
A new report by investment bank Goldman Sachs states that Artificial Intelligence could replace the equivalent of 300 million full-time jobs and automate nearly a quarter of work tasks in the United States and Europe. However, the same report highlights that AI could also generate new professions, increase productivity, and eventually boost the global economy by 7% annually.
According to the report, generative AI — technology capable of producing text, images, videos, and other content similar to human work — represents a “major advancement” in the digital era.
Employment Prospects: Transformation Rather Than Elimination?
“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,” said UK Technology Secretary Michelle Donelan in an interview with the British newspaper The Sun.
The impact of AI is expected to vary significantly depending on the industry.
Sectors Most Exposed to Automation
- Administrative tasks: 46% could be automated
- Legal professions: 44%
- Construction: only 6%
- Maintenance services: just 4%
Creative professionals are also increasingly concerned. Previous investigations by BBC News revealed fears among artists and designers that AI image generators could negatively affect employment opportunities and income stability.
Lower Wages and Increased Competition
While AI may improve efficiency and productivity, experts warn that it could also lead to lower wages, especially in creative and administrative sectors.
According to Carl Benedikt Frey, director of the Future of Work program at the Oxford Martin School at the University of Oxford, predicting the exact number of jobs that AI will replace remains impossible.
“What ChatGPT does, for example, is allow more people with average writing skills to produce essays and articles,” Frey told BBC News.
This could create a new reality for journalists, writers, marketers, and other content professionals, increasing competition and potentially driving wages downward unless demand grows substantially.
While AI may enhance efficiency, it could also lead to lower wages in creative and administrative sectors
The Uber Effect: A Real-World Example
Experts compare AI’s potential impact to the arrival of GPS technology and ride-sharing apps such as Uber Technologies and Lyft in the United States.
Before GPS apps became mainstream, experienced drivers in cities like Los Angeles and New York City had a competitive advantage because of their street knowledge. Once navigation technology became widely available, that expertise lost value, contributing to wage reductions of around 10% for many drivers.
Economists believe generative AI may produce a similar effect across a broader range of professions over the coming years.
A “Pinch of Salt”: Why Experts Urge Caution
Researchers emphasize that the long-term effects of AI remain highly uncertain.
Studies cited in the Goldman Sachs report reveal that 60% of workers today are employed in occupations that did not exist in 1940, demonstrating how technological revolutions historically create entirely new industries and career paths.
However, other research suggests that technological changes since the 1980s have displaced workers faster than new jobs have been created.
According to Torsten Bell, chief executive of the Resolution Foundation think tank, predictions about AI should be treated carefully.
“We do not know how the technology will evolve or how firms will integrate it into how they work,” Bell told BBC News.
Productivity Gains vs. Workforce Disruption
Although AI may disrupt traditional employment models, many economists argue that society should also focus on the potential benefits:
- Higher productivity
- Lower operational costs
- Faster services
- Economic growth
- New industries and careers
Experts warn that countries and companies that fail to adapt to AI advancements could risk falling behind in the global economy.
Experts caution that the long-term impact of generative AI remains unpredictable
FAQ – Frequently Asked Questions
1. How many jobs could AI replace globally?
According to Goldman Sachs, generative AI could replace the equivalent of 300 million full-time jobs worldwide, particularly affecting administrative and legal sectors.
2. Will AI completely eliminate human employment?
Experts say that while AI will automate some tasks, it will also create new roles and industries. Around 60% of workers today are in jobs that didn’t exist in 1940, showing that technology often transforms rather than destroys employment.
3. Which professions are most at risk from AI automation?
Administrative (46%) and legal (44%) tasks are most exposed to automation, while jobs in construction (6%) and maintenance (4%) are less likely to be affected.
4. What is the long-term impact of AI on wages and productivity?
AI may increase global productivity by up to 7%, but also pressure wages in creative and administrative fields. Experts caution that predictions should be taken “with a pinch of salt,” as the long-term effects remain uncertain.
