Job Insecurity Prevails Amongst Workers as 54% Anticipate Potential Layoffs Within the Next Year: Leading Employment Trends Revealed
The latest Ipsos survey, commissioned by the World Economic Forum, sheds light on the evolving landscape of the global labor market, with AI and automation technologies playing a pivotal role.
- Job Displacement and Creation
By 2025, AI is projected to displace around 75 million jobs globally, but it is also expected to create 133 million new jobs, resulting in a net increase of 58 million jobs. These new roles will emerge across various sectors such as healthcare, manufacturing, and finance.
- Impact on Workers
In countries like Malaysia, skilled and semi-skilled employees are anticipated to face moderate to high impacts from AI transitions in the near future. This underscores the need for workforce adaptation and support.
- Retraining and Digital Literacy
The changes demand large-scale retraining initiatives and the enhancement of digital skills to prepare workers for new roles that AI will create. Human-centered jobs, such as in human resources, which require empathy, ethical judgment, and relationship management, remain less replaceable by AI.
- Job Security Concerns
Despite the creation of new jobs, the displacement effects and rapid technological shifts generate anxiety regarding job security. Retraining and continuous upskilling are becoming essential to help workers navigate the evolving job market, reduce unemployment risks, and maximize opportunities in emerging sectors.
- Broader Labor Market Implications
The transition is uneven, with some sectors and geographies more exposed, prompting concerns over social and economic cohesion. Preparing for an "AI-first future" requires policy interventions, reskilling programs, and labor market adjustments to mitigate disruption and leverage the job gains AI promises.
Interestingly, the survey indicates a contrast between the concerns of 54% of workers about losing their jobs and the hopefulness of 67% about their employers' support. However, the survey did not provide specific details about the industries or regions affected by the automation and robotization trends, nor did it mention any alternative sources of employment for the workers who are concerned about losing their jobs.
As governments phase out crisis support mechanisms covering people's wages and maintaining jobs during the pandemic, the survey's findings underscore the importance of employer support and retraining programs in helping workers adapt to the changing job market. The survey did not provide information about the specific retraining programs that employers are offering.
In conclusion, the Ipsos survey, in line with the World Economic Forum’s reports, depicts a labor market in transformation—characterized by automation-driven job turnover counterbalanced by significant job creation. The focus must now be on ensuring job security through retraining and digital capacity building to ensure inclusive economic growth amid technological change.
- The emergence of new roles in various sectors such as healthcare, manufacturing, and finance is a direct result of advancements in technology and AI, highlighting the importance of upgrading employees' skills in these areas for business growth and success.
- As we move towards an AI-driven future, it's crucial for governments, businesses, and educational institutions to collaborate and invest in financing retraining programs that equip workers with technology skills, ensuring a smooth transition and minimizing the potential job losses in the business world.
