The latest advancements in artificial intelligence could be coming for your job.
According to a new report released by Goldman Sachs economists on Sunday, “the labor market could face significant disruption.” Economists predict that 18% of work can be computerized and white-collar workers could be the first to be replaced.
According to the report, administrative workers and lawyers are most at risk of losing work to automation. However, jobs that require manual labor and outdoor tasks will feel “little effect” from the AI boom.
About two-thirds of current jobs in the United States and Europe “are exposed to some degree of AI automation,” and AI could potentially substitute a quarter of current work, the report said.
Although the advancements in AI will likely cut administrative jobs in the short term, the report notes that it could also aid in current jobs and can free up the workload of US workers by 25% to 50% and allow people to be more productive in other areas.
A study by the McKinsey Research Institute, which was published in 2018, predicted that 400 million people worldwide could be displaced as a result of AI before 2030. It also found that AI could account for $3.5 trillion to $5.8 trillion in annual value.
Within the next 10 years, Goldman Sachs economists predicted that labor productivity will increase, and they estimate AI could increase annual global GDP by 7%.
With the potential for AI to cut labor costs, increase productivity and create new jobs, economists predict a “productivity boom” that could raise “economic growth substantially.” However, “the timing of such a boom is hard to predict.”