OECD Warns Over 25% of Jobs at Risk from AI Automation, Urges Policy Action

The Organisation for Economic Co-operation and Development (OECD) has issued a warning that over 25% of jobs within its member countries are at risk of automation as a result of the advancing artificial intelligence (AI) revolution.

The OECD, consisting of 38 nations including both wealthy and emerging economies, stated that while there is currently limited evidence of significant job impacts from AI, this may be because the revolution is still in its early stages.

According to the OECD's 2023 Employment Outlook report, jobs with the highest likelihood of being automated account for an average of 27% of the labor force across OECD countries, with eastern European nations being particularly exposed. These jobs are identified as those requiring more than 25 out of the 100 skills and abilities that AI experts consider easily automatable.

In a survey conducted last year, the OECD found that three out of five workers expressed concerns about the possibility of losing their jobs to AI within the next decade. However, it is important to note that the survey was conducted prior to the widespread emergence of generative AI technologies like ChatGPT.

Despite apprehension surrounding the rise of AI, two-thirds of workers who are already engaged with AI technologies stated that automation has made their jobs less monotonous or hazardous. OECD Secretary General Mathias Cormann stressed the significance of policy actions in determining the ultimate impact of AI on workers. He emphasized the need for governments to assist workers in preparing for these changes and ensure they can benefit from the opportunities AI brings.

Cormann stated, "How AI will ultimately impact workers in the workplace and whether the benefits will outweigh the risks will depend on the policy actions we take. Governments must help workers to prepare for the changes and benefit from the opportunities AI will bring about."

The OECD recommended implementing measures such as minimum wages and collective bargaining to alleviate potential wage pressures stemming from AI. Additionally, it emphasized the importance of safeguarding workers' rights through effective government regulation.

As the AI revolution continues to progress, the findings from the OECD highlight the necessity of proactive policies aimed at supporting workers and mitigating any potential adverse effects on employment.

By fLEXI tEAM