Alert-Technological Disruption||Artificial Intelligence (AI) Mass Job Cuts in the US

Alert-Technological Disruption||Artificial Intelligence (AI) Mass Job Cuts in the US

 

A recent report from Challenger, Dark& Christmas found
that Artificial Intelligence (AI) was a factor in 3,900 job cuts in the United
States in May. This represents 4.9% of all job cuts in May.

This is the first time that Artificial Intelligence (AI)has been cited as a reason
for job cuts by the Chicago-based outplacement and career change firm.

Overall, US employers announced more than 80,000 job cuts in
May. This brings the total number of job cuts announced by US employers since
the beginning of 2023 to 417,500.

The most common reason for job cuts in May was business
restructuring. However, economic conditions also played a role, leading to the
most job cuts in the January-May period since 2020.

As Artificial Intelligence (AI) technology continues to develop and more AI-powered
tools become available, there is growing concern about the impact of Artificial Intelligence (AI) on
jobs.

A Goldman Sachs report released earlier this year found that Artificial Intelligence (AI) automation could be used in 66% of US jobs, with most jobs and industries
being somewhat exposed to it.

However, the report also found that Artificial Intelligence (AI) can complement
existing jobs and create new ones as it becomes more widespread.

Separately, the World Economic Forum recently found that
half of businesses expect Artificial Intelligence (AI) to create new jobs, while 25% expect it to lead to
job losses.

Overall, the impact of Artificial Intelligence (AI) on jobs is still uncertain.
However, it is clear that Artificial Intelligence (AI) is already having a significant impact on the US
job market.

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