Heaptalk, Jakarta — The International Institute for Management Development (IMD), a Swiss business school for corporate executives, revealed the potential impact of artificial intelligence (AI) on several job sectors. While AI promises increased efficiency and productivity, it also threatens specific jobs, particularly in industries that rely on repetitive tasks that can be automated. This automation is more likely to affect female workers than male workers.
Data from the International Labour Organization (ILO) shows that AI will change or replace 5.5% of jobs in high-income countries, compared to less than 0.4% in low-income countries. Low-income nations are less affected due to limited access to technology.
The ILO also finds that gender differences result in varying impacts from AI-driven job automation. Female workers in developed countries (7.9%) are more affected by job automation through AI compared to male workers (2.9%). Similarly, in developing countries, women (2.7%) are more affected by AI than men (1.3%).
Providing workforce retraining programs
According to Arturo Bris, Director of the IMD World Competitiveness Center (WCC), the use of AI in recruitment, promotion, and performance evaluation needs to be re-examined to avoid algorithmic bias that could lead to discrimination. “AI will eliminate certain existing jobs, pushing governments to think about how to create new jobs,” he said in the IMD World Talent Ranking (WTR) 2024.
Bris urged governments and policymakers to take immediate action by providing workforce retraining programs and creating plans to address unemployment for those affected by AI and marginalized groups.
“Preventive measures are necessary to avoid social unrest, which could impact a country’s ability to attract foreign talent. Foreign experts are less likely to move to countries with social issues, and they may choose to relocate elsewhere. This lack of appeal could eventually affect economic growth,” Bris concluded.
