Artificial intelligence is expected to impact nearly 40% of all jobs, according to a new analysis from the International Monetary Fund (IMF).
“In most scenarios, AI is likely to worsen overall inequality,” said Kristalina Georgieva, IMF managing director.
Ms. Georgieva added that policymakers must address “troubling trends” to “prevent technology from fueling further social tensions.”
The proliferation of AI is putting its benefits and risks into the spotlight.
The IMF said AI is likely to impact a larger proportion of jobs in developed countries, around 60%. In half of these cases, workers can expect to benefit from AI integration and increase their productivity.
In other cases, AI will have the ability to perform key tasks currently performed by humans. This could reduce demand for labor, impacting wages and even eradicating jobs.
Meanwhile, the IMF estimates that the technology will only impact 26% of jobs in low-income countries.
This echoes a 2023 Goldman Sachs report that estimated AI could replace 300 million full-time jobs, but said there could also be new jobs along with a boom in productivity.
“Many of these countries do not have the infrastructure or skilled workforce to take advantage of the benefits of AI, raising the risk that the technology could exacerbate inequalities between countries over time,” Ms. Georgieva said.
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More generally, higher-income earners and younger workers could see their wages disproportionately increase following the introduction of AI.
The IMF believes low-income and older workers could be left behind.
“It is important for countries to build comprehensive social safety nets and provide retraining programs for vulnerable workers,” Georgieva said. “By doing so, we can make the AI transition more inclusive, protecting livelihoods and curbing inequality.”
The IMF analysis came as global business and political leaders gathered at the World Economic Forum in Davos, Switzerland.
AI is a topic of discussion, with applications like ChatGPT surging in popularity.
This technology is becoming increasingly regulated globally. Last month, European Union (EU) officials reached a tentative agreement on the world's first comprehensive law regulating the use of AI.
China has introduced some of the world's first national regulations for AI, including rules on how algorithms are developed and deployed.
Last October, President Biden signed an executive order forcing developers to share safety findings related to AI with the U.S. government.
The following month, the UK hosted the AI Safety Summit, where several countries signed a declaration on the safe development of the technology.
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