New research has claim to show how artificial intelligence could be responsible for significant job losses across major organizations globally, based off today’s estimates.
Already by today’s early standards of automation and AI tools rollout, half of the global execs surveyed in a new BearingPoint study say their workforce is 10-19% over capacity, indicating an imminent need to reduce headcount.
Back-office operations, customer service and entry-level finance and HR roles are among the most likely to be affected, BearingPoint found, with AI capable of autonomously handling routine and administrative workloads.
AI could be responsible for widespread job losses
Looking ahead, AI-driven productivity gains could create even more overcapacity, reducing demand for many job types. Within three years, all of the companies surveyed anticipate being at least 10% over capacity, and nearly half (45%) suggest they could be between 30-50% over capacity.
In the meantime, organizations are busy rethinking what jobs look like, shifting from traditional human roles to human-AI collaborative models where AI improves human output but freeing up more creative and productive time.
At the same time, companies must be at the forefront of balancing these declining legacy roles with the rising demand for AI skills, putting in place upskilling programs to support today’s workforce.
Already, Amazon CEO Andy Jassy declared AI agents will mean that “fewer people [will be] doing some of the jobs that are being done today.”
Despite acknowledging that “more people [will be] doing other types of jobs,” Jassy predicts a total corporate workforce reduction in the next few years.
Although projections differ due to the large number of variables, this report lands at a similar time to a MIT study, suggesting that around 12% of US jobs could be at risk of displacement.