From Automation to Innovation: The Global Impact of AI on Jobs and Growth
- Vardui Chtrkyan
- Nov 8
- 3 min read
By: Jaden Park
Globally, artificial intelligence, also known as AI, is radically changing the nature of economies and jobs, sparking significant ethical discussion and innovative productivity within society. The ability of intelligent machines to learn, reason, and automate complex processes is transforming workforces around the globe at a rate never seen before as they integrate into a number of industries. According to recent analysis by the University of St. Thomas, artificial intelligence will directly eliminate a significant number of jobs by 2030. It is predicted that 2.4 million jobs in the United States will be lost, and it will also change the nature of up to 11.08 million jobs through automation and augmentation (Rege, 2024). The scope is even larger globally, with estimates indicating that within the next ten years, AI-driven automation could impact up to 800 million jobs (Krimmelbein, 2024). Low-skilled occupations are not the only ones affected by these changes; however, high-skilled occupations are being impacted by AI as time permits, which indicates that job displacement is a detrimental concern for the whole labor market (Aaker, 2013).
Nonetheless, it should not be forgotten that the emergence of AI in the working world talks not only of loss but of creation as well. With the World Economic Forum offering a complex perspective on the topic of AI in the working world, the forum asserts that it could result in the loss of 75 million jobs by 2025, but also the creation of 133 million jobs as a result of the needs of technology, data analysis, and the management of artificial intelligence itself (Farrel, 2023). The emerging necessity here states that the working world needs to transform by shifting towards the sectors that demand the use of human imagination, human feelings, and human decision-making. In sectors that contain jobs that are considered repetitive and dangerous enough to be made manageable by AI, new avenues emerge for workers to shift towards the world of innovation, services, and management that generate growth. The McKinsey Global Institute’s research estimates that the implementation of various forms of AI could increase the global GDP (Growth Domestic Product) by $13 trillion by 2030 and increase annual growth by 1.2 percent by 2030 itself (Manyika et al., 2017).
Alongside the integration of AI in the workforce, AI brings ethical problems, particularly with regard to accountability and privacy. With the vast amounts of data AI can capture, unauthorized access and privacy violations are serious concerns, especially with large amounts of data (Mossavar-Rahmani & Zohuri, 2024). In addition, another serious concern is accountability. Is society or the programmer at fault when AI makes a decision? While Owolabi et. al (2024) advocate algorithm transparency to lessen bias, scholars like Hosseini (2023) demand unambiguous moral guidelines as a stepping stone for the new development of AI and the vast potential it carries alongside.
As the magnitude of the impacts of AI on jobs as well as the world economy continues to increase, it is important that relevant stakeholders come up with an effective strategy to counter AI. This may include initiatives that tackle reskilling of workers who have been impacted by the adoption of AI as well as initiatives that may ensure digital knowledge as well as accessibility to those who may need it. For those who may seem like roadblocks due to issues such as cost and complexity of guidelines, it’s important that these challenges are able to be tackled beforehand. In that matter, it may be ensured that the world gets the benefits that come with increased levels of productivity by the use of AI and not that of increased levels of unemployment, which can be sparked by the technical development and contrast.
Works Cited
Aaker, J. (2013). Human-Centered Artificial Intelligence and Workforce Displacement. Stanford Graduate School of Business https://www.gsb.stanford.edu/faculty-research/case-studies/human-centered-artificial-intelligence-workforce-displacement
Farrell, R. (2023). The Impact of AI on Job Roles, Workforce, and Employment: What You Need to Know. Innopharma Education. https://www.innopharmaeducation.com/blog/the-impact-of-ai-on-job-roles-workforce-and-employment-what-you-need-to-know
Hossein, Z., et al. (2023). Assessing the Artificially Intelligent Workplace: An Ethical Framework for Evaluating Experimental Technologies in Workplace Settings. AI and Ethics, doi.org/10.1007/s43681-023-00265-w
Ivchyk, V., & Shmatko, N. (2024). Examining the Ethical Considerations of Using Artificial Intelligence in Business Management. Kharkov.ua, Видавничий дім "Гельветика," 2024. repository.kpi.kharkov.ua/entities/publication/7867521e-a20e-491f-88f7-935fbb9cc928
Krimmelbein, F. (2024). The Ethical Implications of AI and Job Displacement. Sogeti Labs. labs.sogeti.com/the-ethical-implications-of-ai-and-job-displacement/
Manyika, J., et al. (2017). A Future That Works: Automation, Employment, and Productivity. McKinsey Global Institute.
Mossavar-Rahmani, F., & Zohuri, B. (2024). Artificial Intelligence at Work: Transforming Industries and Redefining the Workforce Landscape. Journal of Economics & Management Research, 5(2), 2–4.
Owolabi, O. S., et al. (2024). Ethical Implication of Artificial Intelligence (AI) Adoption in Financial Decision Making. Computer and Information Science, 17(1), 1–49.
Rege, M. (2024). Generative AI's Real-World Impact on Job Markets. Newsroom | University of St. Thomas. news.stthomas.edu/generative-ais-real-world-impact-on-job-markets/
Comments