UK companies are making quick strides in using artificial intelligence (AI). This transition is fundamentally changing the marketplace of jobs and creating real worries about where the next generation will find work. According to a recent Accenture survey, almost two-fifths of business executives have reduced or eliminated entry-level positions. They credit these shifts largely to the efficiencies they’re able to reap through AI tools. This trend should give pause to job seekers. Generation Z is entering the workforce as these shifts are occurring.
The survey revealed that 39% of leaders acknowledged a decrease in entry-level positions as organizations increasingly rely on AI to perform tasks such as research, administrative duties, and briefings. The trend toward automation is clear, and perhaps no change is happening faster than the adoption of AI across business functions. In fact, three-quarters of respondents, 76%, are optimistic that new AI technologies will produce real-world benefits in the next 12 months.
AI’s expansion is not without its drawbacks. Four out of ten executives said the technology will enable them to cut their current staff. The potential of AI is already being recognized as one-third (31%) of surveyed leaders said their organizations are focusing on AI solutions instead of hiring additional staff. Furthermore, about two-fifths of Americans expect performance evaluations and hiring to be determined, at least in part, by AI in five years. This points to a major change in hiring practices around the corner.
As the field continues to develop, fears for job security are increasing both in the academic and non-academic workplace settings. As many as 49% of UK adults report feeling worried about what AI could mean for their jobs. The nation’s labor market is showing signs of cooling. The official unemployment rate is at a four-year high of 4.7%. To make matters worse, wage growth has stagnated, making it harder for lower-wage job seekers to thrive.
Even with these hurdles, the vast majority, 53% of business executives remain optimistic. They feel confident that the AI contribution benefits to be gained will outweigh the potential disruptions AI could cause to our workforce. Yet workers across industries are looking back at this hopeful time with fear and concern. Over half of respondents believe themselves to be lucky. Each of them started their careers prior to the current development and deployment of AI technologies, at scale.
Susan Taylor Martin, chief executive of BSI, stated that as innovation and technology continues to improve our lives, we must keep a people-focused mission at heart.
“AI represents an enormous opportunity for businesses globally, but as they chase greater productivity and efficiency, we must not lose sight of the fact that it is ultimately people who power progress.” – Susan Taylor Martin
The current discussion surrounding AI focuses on the overwhelming potential harms. It highlights the dire need for strategies that put the well-being of our workforce first. As organizations continue to embrace these innovations, striking a balance between technological advancements and employment opportunities will be crucial for fostering a sustainable work environment.