1. AI will increase demand for "human" skills1
These include professional judgement, critical thinking and other skills which complement AI generated material.1
2. Efficiency
- AI adoption increases labour productivity by 4%.2
- A key finding of the KPMG European Outlook is that 37% of European firms already use AI - on par with the US.3
3. Job automation
One argument is that automation of specific tasks leads to reallocation of labour, not replacement. This has been observed with the adoption of robots in industry to automate manual labour.4
4. Job losses
26% of Chief economists expect significant job losses within the next decade globally.5 This could be due to automation reducing the number of workers needed for certain jobs.
5. Job creation
On the other hand, there is an expectation of job creation in occupations that did not exist prior to AI becoming publicly available.6 This may offset job losses in industries where automation reduces labour demand.
6. AI can create inequality
Medium and large firms tend to invest more in AI than smaller firms and subsequently exhibit stronger gains from AI implementation than smaller ones.7
