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2024.06.03 13:10 GMT+8

AI to substantially transform global labor markets by 2030: report

Updated 2024.06.03 13:10 GMT+8
CGTN

A man reads artificial intelligence-generated documents through virtual reality equipment. /CFP

A new report released by the McKinsey Global Institute predicts significant changes to labor markets worldwide due to the rapid advancement of artificial intelligence (AI). 

Titled "A new future of work: The race to deploy AI and raise skills in Europe and beyond," the report highlights the potential for AI to transform the global workforce by 2030, China Media Group reported on Sunday.

The report suggests that generative AI could automate nearly one-third of working hours in the U.S. and Europe, leading to a polarization of the labor market. High-skilled, high-wage jobs may face talent shortages, while low-wage industries could experience a surplus of labor. The proportion of high-wage jobs is expected to rise by 1.8 percent, while low-wage jobs may decrease by 1.4 percent.

Germany, according to the report, is projected to have around 3 million jobs affected by AI by 2030, representing 7 percent of its total employment. Office jobs in administrative sectors of companies and public institutions are expected to be hit the hardest, accounting for 54 percent of all AI-impacted positions.

An illustration shows AI robot arms in operation. /CFP

In addition, the report emphasizes the importance of upskilling and reskilling the workforce to meet the challenges and opportunities presented by AI, suggesting that individuals can adapt by actively participating in training programs.

McKinsey researchers call on managers to invest heavily in employee education and training, saying that without a significant improvement in the skill levels of the workforce, AI cannot fully unleash its potential. 

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