The International Monetary Fund (IMF) has made a bold prediction that the global workforce will see a significant impact from the widespread adoption of Artificial Intelligence (AI).
According to the IMF, up to 40 percent of jobs worldwide and 60 percent in advanced economies could be affected by AI in the near future.
During the 2024 IMF-World Bank Spring meeting in Washington DC, Managing Director Kristalina Georgieva emphasized that AI is here to stay and will have both positive and negative effects on employment. While AI has the potential to increase productivity, it also poses a threat to many jobs.
One of the key concerns highlighted by the IMF is the potential impact of AI on income and wealth inequality within countries. The technology could lead to a polarization within income brackets, with high-income workers benefiting from increased productivity and wages, while lower-income workers may struggle to adapt to the changes brought about by AI.
The IMF stressed the importance of investing in digital infrastructure and skills, as well as establishing strong social safety nets to mitigate the negative effects of AI on the workforce. It is crucial for countries to offer retraining programs for vulnerable workers to ensure a more inclusive transition to AI technology.
In conclusion, the IMF warned that without proactive measures from policymakers to address the challenges posed by AI, the technology could exacerbate existing social tensions and widen inequality.
