Part II of the report Digitalisation (Artificial Intelligence and Robotics) and its Impact on the World of Work explores the extensive and complex impacts of artificial intelligence (AI) and robotics on the global labour market. As AI systems advance rapidly, they introduce both opportunities for productivity and risks of job displacement. The report identifies generative AI as a general-purpose technology (GPT), capable of transforming various industries akin to the steam engine or the internet by increasing efficiency, automating content creation and fostering innovation in automated services and business models.
The impact of automation across sectors reveals that routine tasks and roles are most vulnerable. Significant shifts are expected in office work, customer service and production, while sectors such as IT, healthcare and engineering may experience job growth driven by new technological demands. Future AI advancements, including large action models (LAMs), are poised to enhance AI’s capacity to automate complex tasks, pushing industries like transportation and customer care toward greater autonomy.
From a regulatory standpoint, there is a pressing need for adaptive, international legal frameworks to address labour and employment issues arising from rapid technological change. Key policy recommendations include the development of guidelines for employee data protection, fair monitoring practices, and the modernisation of social security systems to accommodate workers in non-traditional roles, such as gig and platform workers.
Economic inequalities are likely to be exacerbated by AI adoption, with advanced economies benefiting more due to substantial investments in AI, thereby widening the gap with emerging markets. To mitigate this, prioritising digital literacy, lifelong learning and both public and private investments in workforce adaptability are essential. Furthermore, the need for flexibility in labour policies, coupled with a societal shift toward greater acceptance of AI, is crucial to facilitate the effective adaptation of workers and industries to ongoing and future digital transformations.
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