While firms’ adoption of AI is still relatively low, rapid technological progress, falling costs and the increasing availability of workers with AI skills suggest OECD countries may be on the cusp of an AI revolution. AI can bring many benefits to the workplace such as higher productivity, improved job quality and stronger occupational safety and health. However, there are risks too, such as automation, loss of agency, bias and discrimination, breaches of privacy and a lack of transparency. The OECD's research on the impact of AI on the labour market show the urgent need to act now, with policies that allow countries, firms and individuals to benefit from AI, while addressing risks.
AI and work
Rapid developments in artificial intelligence (AI) are beginning to have an impact on the world of work, with potentially far-reaching consequences for countries, firms and businesses. There is an urgent need for policies that allow everyone to benefit from these changes, while also addressing potential risks.
Key messages
New OECD surveys of employers and workers in the manufacturing and finance sectors of seven countries shed new light on the impact that Artificial Intelligence has on the workplace - an under-researched area to date due to lack of data. The findings suggest that both workers and their employers are generally very positive about the impact of AI on performance and working conditions. However, there are also concerns, including about job loss, an issue that should be closely monitored. The surveys also indicate that, while many workers trust their employers when it comes to the implementation of AI in the workplace, more can be done to improve trust. In particular, the surveys show that both training and worker consultation are associated with better outcomes for workers.
While still in its infancy, AI is increasingly used in labour market matching, whether by private recruiters, public and private employment services, or online jobs boards and platforms. Applications range from writing job descriptions, applicant sourcing, analysing CVs, chat bots, interview schedulers, shortlisting tools, all the way to facial and voice analysis during interviews. While many tools promise to bring efficiencies and cost savings, they could also improve the quality of matching and jobseeker experience, and even identify and mitigate human bias. There are nonetheless some barriers to a greater adoption of these tools, such as bias, privacy, transparency.
Context
Risk of automation
Recent advances in AI have broadened the set of skills and abilities that can be replicated by automation technologies. In the past, computers and robots could only follow rules specified by programmers. However, machine learning algorithms, the branch of AI that has experienced the most important advances recently, can now make decisions without following pre-specified rules. Furthermore, AI technologies are able to work with unstructured environments and data. As a result, AI can help automate non-routine activities, contrary to computers that need codified environments and could only replace workers in routine tasks.
On average across OECD countries, occupations at highest risk of automation account for about 28% of jobs. Workers in occupations with the highest shares of automatable skills and abilities continue to be low-skilled, young, and male.
AI, job quality and inclusiveness
Workers in the manufacturing and finance sectors who work with AI tend to be positive about its impact on performance and working conditions. 4 in 5 workers say AI improved their performance and 3 in 5 said it increased their enjoyment in work. Workers are generally very positive also about the impact of AI on physical and mental health.
Employers also said that older workers and the low-skilled are considered at greater risk from AI, while people with disability were considered a group that could benefit most. In particular, AI has the potential to create more inclusive and accommodating environments and might help remove some of the barriers faced by people with disability in the labour market, although there are plenty of obstacles hindering the development and use of such technologies.
AI privacy and data collection in the workplace
Most workers who reported AI-related data collection expressed worries about data collection. In the finance and manufacturing sectors, 62% and 56% said that they felt increased pressure to perform at work due to data collection, while 62% and 51% expressed worries regarding their privacy. A majority also said that they worried too much of their data was being collected (58% and 54%) and that data collection would lead to decisions biased against them (58% and 51%).
