AI Threatens 40% of Global Jobs

According to Kristalina Georgieva, the Managing Director of the International Monetary Fund (IMF), up to 40% of jobs may be affected by artificial intelligence (AI), especially in developed countries.

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According to Kristalina Georgieva, the Managing Director of the IMF, nearly 40% of jobs worldwide will be impacted by artificial intelligence.

IMF Director warns, “We are at the peak of a technological revolution that can drive global growth and increase income worldwide. But it can also make many jobs disappear and exacerbate inequality.”

One unique factor making AI distinctive is its ability to impact jobs that require essential skills.

Director Kristalina Georgieva believes that advanced economies must face greater risks caused by AI, but they also have more opportunities to leverage the benefits of artificial intelligence.

According to the IMF report, AI initially has less impact on emerging markets and developing economies, with lower potential benefits for these entities. This could increase the digital gap and income inequality between countries. According to the report, older workers are more likely to be negatively affected by the changes AI brings.

Therefore, up to 60% of jobs may be affected by artificial intelligence in economies of developing countries.

Half of the industries in the economic sector will benefit from increased work productivity, and for the other half, AI will replace humans in performing crucial tasks.

Development comes with risks, increasing the likelihood of job reduction and pushing down wages. Notably, certain industries will disappear.

The IMF Director estimates that 40% of jobs will be affected by the emergence of AI in emerging economies and 26% in less developed countries. The revolution caused by these technologies is being unevenly distributed.

Many countries lacking infrastructure or skilled labor forces to harness the benefits of AI will increase the risk that this technology will ultimately lead to inequality between nations.

Kristalina Georgieva warns that, in most scenarios, AI will exacerbate overall inequality. It is crucial for countries to establish comprehensive social safety nets and provide retraining programs for workers.

In less developed countries, AI will pose less of a threat to jobs; however, it will help increase productivity in developed countries. This brings economic wealth opportunities for these nations compared to the rest of the world.