What happened:IBM CEO Arvind Krishna says the company will
halt recruitment
for particular positions that could potentially be replaced by artificial intelligence (AI) within the next few years, specifically focusing on back-office functions, such as certain HR
roles.
Details:Krishna predicts that approximately 30% of these roles, which employ around 26,000 individuals at IBM, could be replaced by AI and automation within five years.
Why it matters:This move by IBM is significant, as it highlights concerns about job losses due to the rapidly advancing technology of AI and automation in the world's
labor markets.
What the numbers say:According to a
recent reportby
Goldman Sachs analysts, generative AI technologies could potentially automate 300 million full-time jobs, with two-thirds of jobs in the U.S. and Europe likely to be affected by AI automation
in some form. However, the authors of the report also estimate that generative AI could lead to a "productivity boom," ultimately raising the annual worldwide GDP by an estimated 7% over a
period of 10 years.
