Mediaboss Marketing

At the speed, at which the advancement of artificial intelligence (AI) is being witnessed, it has the potential to significantly disrupt labour markets globally. And this is certified in the research done by Goldman Sachs.

As per that research, roughly two-thirds of current jobs are exposed to some degree of AI automation in the US and the European Union.

Administrative and legal are those sectors which can see the maximum impact. Goldman Sachs says 46 percent of administrative jobs and 44 percent of legal jobs can be substituted by AI. The ones with low exposures are physically-intensive professions such as construction at six percent and maintenance at four percent.

While AI and automation can augment the productivity of some workers, they can replace the work done by others and will likely transform almost all occupations at least to some degree. Rising automation is happening in a period of growing economic inequality, raising fears of mass technological unemployment and a renewed call for policy efforts to address the consequences of technological change. But at the same time, its being seen as one of the tools to enhance economic growth.

As per Goldman Sachs research, AI could eventually increase annual global GDP by seven percent over a 10-year period. A combination of significant labour cost savings, new job creation and higher productivity for non-displaced workers raises are seen as the areas that will boost the growth.

For the US, generative AI is seen raising annual US labour productivity growth by just under 1.5 percentage points over a 10-year period.

McKinsey Research too has done a survey of more than 2,000 work activities across more than 800 occupations. It shows that certain categories of activities are more easily automatable than others. They include physical activities in highly predictable and structured environments, as well as data collection and data processing.

These account for roughly half of the activities that people do across all sectors. And, it believes, nearly all occupations will be affected by automation, but only about five percent of occupations could be fully automated by currently demonstrated technologies.

Although the size of AIs impact will ultimately depend on its capability and adoption timeline, both remain uncertain at this point.

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Artificial Intelligence automation may impact two-thirds of jobs, says Goldman Sachs - CNBCTV18