- PwC report reveals a fivefold increase in productivity in AI-driven sectors compared to less exposed sectors.
- UK job postings requiring AI skills grow 3.6 times faster than all job listings, with a 14% wage premium for AI roles.
- Notable productivity uptick observed in financial services, IT, and professional services, exceeding the global average.
- AI’s influence on the job market has been ongoing for over a decade, with specialized AI job postings increasing sevenfold since 2012.
- Companies leverage AI to address workforce shortages, challenging predictions of widespread job losses.
Main AI News:
The latest report highlights a significant surge in productivity across sectors deeply entrenched in artificial intelligence (AI), paving the way for substantial economic growth opportunities.
In a groundbreaking revelation, the PwC study showcases a nearly fivefold acceleration in productivity growth within sectors embracing AI compared to those less exposed. This surge sparks optimism, suggesting AI’s potential to elevate the global economy from a prolonged period of low growth spanning 15 years.
Notably, in the UK, a focal point of the study covering 15 nations, job postings mandating AI skills exhibit a remarkable growth rate, outpacing all job listings by 3.6 times. Furthermore, employers in the UK demonstrate a readiness to offer a 14% wage premium for AI-centric roles, with the legal and information technology sectors leading the pack.
The report underscores a notable uptick in productivity within AI-exposed sectors, particularly in financial services, information technology, and professional services, with the UK surpassing the global average.
Since the emergence of ChatGPT in late 2022, deliberations on the ramifications for employment in the era of intelligent machines have been rife. However, PwC’s findings suggest AI’s impact on the job market has been ongoing for over a decade. Specialized AI job postings, albeit from a modest base, have surged sevenfold since 2012, contrasting with a twofold increase in other job categories.
The 2024 global AI jobs barometer by PwC unveils a prevalent trend where companies leverage AI to address workforce shortages. This trend bears positive implications, particularly for nations grappling with shrinking labor pools and burgeoning labor demands across sectors.
Contrary to fears of a job crisis, the report contends that the proliferation of generative AI does not foreshadow widespread job losses. It challenges predictions, such as the one by the Institute for Public Policy Research, forecasting up to 8 million job losses in the UK within a few years.
Barret Kupelian, PwC UK’s Chief Economist, underscores the transformative potential of AI, asserting its capacity to spawn new industries, reshape the job landscape, and catalyze productivity growth. While current AI adoption remains concentrated in select sectors, Kupelian foresees a transformative future as AI technology matures and permeates diverse sectors, unlocking unprecedented economic prospects.
Conclusion:
The surge in productivity and wage premiums in AI-exposed sectors, coupled with ongoing AI adoption trends, signals a transformative shift in the market landscape. Companies stand to gain by strategically leveraging AI technologies to drive innovation, reshape job roles, and enhance productivity, thereby positioning themselves for sustained growth and competitiveness in the evolving economic landscape.
