The rapid growth of artificial intelligence is already changing the jobs market. We already witness the different ways in which AI creates art or performs tasks for different professional categories, like architects. But now, we witness an entire man-machine shift. Tasks that only humans could do a few years ago can now be partially or fully automated by simple web tools that anyone can access.
This compilation of data puts all the AI replacing jobs chatter into worrying perspective.
AI Replacing Jobs Statistics: Most Shocking Findings
While there are a few positive predictions among the doom and gloom, the following stats suggest there will be a great and painful upheaval in the jobs market:
- AI could replace 300 million full-time jobs.
- 80% of the US workforce will have at least 10% of their tasks affected by AI.
- 77% of businesses are already using or exploring AI.
- 75% of Chinese citizens would replace politicians with AI.
- CEOs of AI firms like OpenAI have signed an open letter warning about the risk of extinction from AI.
AI already in the workplace statistics
These tools replacing human jobs statistics look at how AI is already being used in the workplace.
1. 77% of businesses are already using or exploring AI.
(Source: IBM)
Fears of AI replacing jobs are warranted when 35% of businesses are already using it and 42% are exploring how to use it in the near future. While this doesn’t mean workers are being sacked, this becomes more likely as AI technology advances and is less reliant on human collaboration.
2. Large businesses are twice as likely to use AI than small businesses.
(Source: IBM)
Larger organizations spend more on research and development and have the capital to adopt new technology like AI. However, 41% of small businesses are developing an AI strategy for the future.
3. IT professionals use AI the most in the workplace.
(Source: IBM)
It should come as no surprise that IT professionals are the largest AI user group in the workplace (54%). They are followed by 35% of Data Engineers, 29% of Developers and Data Scientists, 26% of Security Professionals, and 25% of Customer Service staff.
4. There is a 37% rate of adoption of Generative AI in Marketing and Advertising.
(Source: Statista – AI Adoption)
When looking at specific industries, marketing & advertising show the highest rate of adoption of Generative AI (37%). This is followed by Technology (35%), Consulting (30%), Teaching (19%), Accounting (16%), and Healthcare (15%).
5. 81% of office workers think AI improves their job performance.
(Source: SnapLogic)
Of 400 surveyed office workers using AI, the majority felt it was improving their overall performance at work. This includes 61% who say it makes them more efficient and productive, while 49% felt it improved their decision-making.
Meanwhile, 51% say they believe AI enables them to achieve a better work/life balance.
AI replacing jobs statistics: Now and the future
These stats and facts reveal the current landscape of job losses and some shocking predictions for the years ahead.
6. 14% of workers claim to have already lost a job to ‘robots’.
(Source: Socius)
Research at Brigham Young University in Utah, suggests fears outweigh current reality, but 14% of workers have already had a role replaced by automation. Those who had, suspected the number to be as high as 47%, while those that hadn’t predicted 29%. However, it’s potential job losses in the future that’s drumming up the most fear.
7. In May 2023, 3,900 US job losses were linked directly to AI.
(Source: Challenger Report)
This made up 5% of all job losses in May and was the seventh-highest contributor. In tech, there have been 136,831 job losses this year, the biggest round of layoffs since 2001.
8. British Telecom aims to replace 10,000 staff with AI within 7 years.
(Source: Daily Mail)
As part of a broader program of layoffs, telecom giant BT has announced plans to cut 10,000 staff over the next 7 years with help from AI and other automation strategies. Part of this is due to expanding AI-based customer service technology like help chat bots.
9. Early AI and automation have already driven down wages by up to 70% since 1980.
(Sources: Business Insider, Forbes)
It’s argued that before AI replaces jobs it levels the playing field. Creatives in writing, graphic design, and music, now face less talented competitors who can use AI to improve the quality of their work. In turn, this drives down wages.
This experiment has already been played out since 1980. Between 50% and 70% of decreased wages have been among blue-collar workers who were replaced or degraded by automation and primitive AI.
10. Now it’s Educated, white-collar workers that will be impacted by automation.
(Source: Business Insider)
If it was blue-collar workers that bore the brunt of technology before, it’s educated, white-collar workers making up to $80,000 a year that will be impacted by generative AI.
This is because jobs that use programming and writing skills fall under this bracket and are being automated by the likes of ChatGPT.
11. Overall, AI could replace 300 million full-time jobs.
(Source: Goldman Sachs)
Due to its ability to produce content indistinguishable from human-output, generative AI systems could degrade or completely replace 300 million jobs with automation. This is the equivalent of a quarter of all work tasks in the US and Europe.
However, due to increased productivity, it could also increase global GDP by 7%. Bots are simply more efficient than humans.
12. 80% of the US workforce will have at least 10% of their tasks affected by AI.
(Source: OpenAI)
Research by ChatGPT creators OpenAI and the University of Pennsylvania reveals that the majority of the US labor market will be affected, even if it’s just 10% of day-to-day tasks. A smaller percentage of workers (19%) may see at least 50% of their tasks impacted.
13. Administrative jobs will be hit the hardest, while manual labor is safe.
(Source: Goldman Sachs)
Some jobs are more easily automated than others, with administrative tasks to be hit the hardest (46%), and monotonous tasks in the legal profession (44%), as an example. On the other hand, manual labor such as construction (6%) and maintenance (4%), are relatively safe from data-based generative AI.
14. Women may be affected more than men.
(Source: Kenan Institute)
As high as 80% of women’s jobs could be at risk due to 70% of women’s jobs being white-collar and administrative – the main target of AI technology.
Fears about AI replacing jobs statistics
These stats look closer at people’s fears of job losses at the hands of AI.
15. 30% of workers fear their job will soon be replaced by technology.
(Source: PwC)
In a survey of 52,000 people across 44 countries and territories, almost a third of respondents were concerned that their job could be replaced by tech such as AI within the next 3 years.
39% are worried that their employer is not giving sufficient training in emerging digital and technology skills.
16. In India alone, the fear of AI job losses jumps to more than 70%.
(Source: Microsoft)
Microsoft’s India results for its 2023 Work Trend Index finds that 74 % of Indian workers fear AI will replace their jobs. Nonetheless, as AI continues to roll out, 83% say they will delegate as much work as possible to AI to lessen their workloads.
17. More than half of 18 to 24-year-olds are concerned about AI taking jobs.
(Source: BMG Research)
Young people are more concerned than older people, with 52% of 18 to 24-year-olds worried about how AI will impact their future careers. Older workers may reach retirement before it affects them.
18. 81.6% of digital marketers believe content writers will lose jobs because of AI.
(Source: Authority Hacker)
With the highest AI adoption rate, fears about job replacement are especially high in the marketing industry. Content writers, in particular, now face competition from AI chatbots that can create passable content from simple topic prompts.
19. CEOs of AI firms like OpenAI have signed an open letter warning about the risk of extinction from AI.
(Source: Safe.AI)
It’s not just job losses we should be concerned about according to AI scientists and other notable figures. Bill Gates, Sam Alman, the CEO of OpenAI, Google DeepMind CEO Demis Hassabis, Stability AI’s Emad Mostaque, and many others have all signed an open letter and ‘statement of risk’.
It states: Mitigating the risk of extinction from AI should be a global priority alongside other societal-scale risks such as pandemics and nuclear war.
AI creating jobs statistics
Although it might not counter the worst predictions of job losses, the explosion of AI will create millions of new jobs too.
20. 72% of companies using AI think it will make their jobs easier.
(Source: PwC)
There is some positivity within companies that have already adopted AI. The vast majority believe it will make work easier rather than taking over roles entirely.
21. AI could create 97 million new jobs by 2025.
(Source: World Economic Forum)
These new jobs will require training and collaborative AI skills as we begin working alongside the technology.
22. Four UK industries are expected to see net job gains due to AI.
(Source: GOV.uk – AI Jobs)
Research in the UK forecasts that the health and social care industry will benefit the most from AI jobs, with approximately 800,000 extra positions created over the next 20 years. Professional & Scientific, Education, and Information & Comms are also expected to see net job gains from AI.
23. 64% of managers and executives plan to hire more professionals to fill AI roles.
(Source: UpWork)
A survey of 1,400 US senior managers through C-suite executives by Freelancer platform UpWork, found that two-thirds will be increasing hiring as a result of generative AI.
AI jobs and government statistics
The role of governments in developing and implementing AI cannot be ignored. Nor can the role of AI within governments themselves.
24. Governments are spending billions on AI research.
(Sources: FedScoop, GOV.UK – AI Spending)
Despite fears from citizens, governments in the US, UK, and other nations are spending heavily on artificial intelligence. US federal spending on AI contracts hit $3.3 billion in 2022, a 250% increase from 2017.
In March 2023, the UK government pledged £1 billion for supercomputing and AI research, as part of a broader £3.5 billion science and tech budget.
25. The United States ranks highest in the Global AI Index.
(Source: Tortoise Media)
The Global AI Index is a ranking of 62 countries that have invested in AI, based on analysis, investment, innovation, and implementation.
The United States is ranked number 1, followed by China, Singapore, the United Kingdom, and Canada. Kenya ranks at the bottom of the 62-country list.
26. The US government is best equipped to deploy AI within government itself.
(Source: Statista – Government AI)
The US also ranks number 1 on the Government AI Readiness Index, which measures the countries best equipped to deploy AI within public services. Singapore comes in second, followed by the UK, and Finland.
China ranks 17th on the index for readiness, but that’s because it is already ahead of most countries in implementation.
27. 75% of Chinese citizens would replace politicians with AI.
(Source: CNBC)
Politicians may be usurped by AI too. Of 2,769 people surveyed from 11 countries, 75% of Chinese citizens would happily reduce the number of parliamentarians in their country and replace them with AI.
51% of Europeans said they would support such a move, while only 40% of Americans would hand over the government to AI.
28. US and EU legislation aims to regulate AI-based job hiring.
(Source: Computer World)
While there isn’t much legal pressure against AI replacing jobs themselves, the US and EU are in the early stages of regulating AI being used in the hiring process. This includes the federal Algorithmic Accountability Act and the EU AI Act.
Ironically, this may save the jobs of recruiters.
Conclusion
Artificial intelligence isn’t going anywhere and will only get more sophisticated as time goes on.
As with any disruptive technology, job losses cannot be avoided. However, the transition will still require human collaboration and there are opportunities for those that learn the AI landscape early.
