According to the IMF, AI is expected to impact a larger percentage of jobs, approximately 60%, in advanced economies. In half of these cases, workers are anticipated to benefit from AI integration, enhancing their productivity. However, AI's ability to perform tasks currently executed by humans may lower demand for labor, affecting wages and potentially eliminating jobs.
The IMF projects that AI will influence only 26% of jobs in low-income countries. This echoes a 2023 report from Goldman Sachs, estimating that AI could replace the equivalent of 300 million full-time jobs, while potentially creating new jobs and boosting productivity.
Ms. Georgieva highlights that many low-income countries lack the infrastructure and skilled workforces to harness AI's benefits, posing a risk of exacerbating inequality among nations over time.
Overall, the IMF analysis suggests that higher-income and younger workers may experience a disproportionate increase in wages with AI adoption, while lower-income and older workers could face challenges and potential wage disparities.
"It is crucial for countries to establish comprehensive social safety nets and offer retraining programs for vulnerable workers," says Ms. Georgieva. "In doing so, we can make the AI transition more inclusive, protecting livelihoods and curbing inequality."
This analysis comes as global business and political leaders gather at the World Economic Forum in Davos, Switzerland, where discussions around AI regulations and its impact on the workforce are prominent. The surge in popularity of applications like ChatGPT has led to increased global scrutiny, with the European Union and China introducing regulations to govern AI development and deployment.
President Biden signed an executive order in October compelling developers to share safety results related to AI with the US government. In November, the UK hosted an AI Safety Summit, resulting in a declaration on the safe development of the technology, signed by multiple countries.
