Mar 17, 2025
steve
As the President and CEO of an artificial intelligence (AI) technology firm, I am frequently asked for my opinion about how AI is going to affect the job market. I admit, there are no easy answers. However, as I told Caroline Woods, a business reporter with the Schwab Network, "I have a particular view that AI is a net job creator."[1] I reiterated that sentiment during an interview with Amanda Razani, Managing Editor at Techstrong Media. I told her, "With any transformative technology, some jobs are created and some jobs are lost. ... I'm actually very encouraged by AI's, and particularly generative AI's, ability to act as a net job creator."[2] There is a long historical pattern of how technology affects jobs. Sana Odeh, a clinical professor of Computer Science at the Courant Institute of Mathematical Sciences at NYU, explains, "The rise of technologies such as artificial intelligence has caused much anxiety around its potential impact on the global workforce. ... However, history tells a different story. While new technologies did alter and take certain jobs, they ultimately created new opportunities and whole industries that were unimaginable at the time."[3]
There are, of course, legitimate concerns about AI. Half-a-dozen years ago, Kai-Fu Lee, CEO of 01.AI and Chairman/CEO of Sinovation Ventures, observed, "I believe [AI is] going to change the world more than anything in the history of mankind. More than electricity. ... AI will increasingly replace repetitive jobs. Not just for blue-collar work but a lot of white-collar work. ... All together in 15 years, [AI is] going to displace about 40 percent of the jobs in the world."[4] Although that sounds distressing, Lee noted, "Human wisdom always overcomes these technology revolutions. The invention of the steam engine, the sewing machine, electricity, have all displaced jobs. And we've gotten over it. The challenge of AI is this 40 percent, whether it is 15 or 25 years, is coming faster than the previous revolutions." He was correct. Generative AI, which was in its early stages of development in 2019, now dominates conversations the AI sector.
Remembering the Luddites
Nobody likes to lose their job. Recent longshoremen negotiations focused on slowing dock automation in the United States. Longshoremen concerns bear strong similarities to earlier worker concerns. Odeh explains, "This is not a new fear and there are several examples in history that point to similar concerns. In the early 19th century, for example, during the time of mechanization of weaving looms, textile workers strongly opposed the change as they believed that it would eliminate their livelihood." The textile workers were allegedly inspired by "Ned Ludd," whose existence cannot be verified. Nevertheless, as Wikipedia explains, "The Luddites were members of a 19th-century movement of English textile workers who opposed the use of certain types of automated machinery due to concerns relating to worker pay and output quality. They often destroyed the machines in organized raids. Members of the group referred to themselves as Luddites, self-described followers of "Ned Ludd", a legendary weaver whose name was used as a pseudonym in threatening letters to mill owners and government officials. The Luddite movement began in Nottingham, England, and spread to the North West and Yorkshire between 1811 and 1816. ... Over time, the term has been used to refer to those opposed to the introduction of new technologies." The Luddite movement inspired others to resist the introduction of technology. For example, the Swing Riots which took place in southern England a decade later. Those riots resisted the introduction of threshing machines and "represented the anger of the poor laborers in rural England who wanted a return to the pre-machine days when human labor was used."[5]
During the midst of the recent longshoremen negotiations, journalists Paul Berger, Chip Cutter, and Chao Deng wrote, "The long march of technological advancement has transformed manufacturing and countless industries over the decades — and brought attempts to defy change. Workers in a range of industries today fear being displaced by ever-more sophisticated machines, particularly with the rapid rise of artificial intelligence."[6] For all the world, it sounds like a modern-day Luddite movement. Like previous anti-technology movements, any modern movement is probably fruitless — even though the concerns are real and change can be painful.
AI and Job Creation
Rather than resisting change, Odeh believes we should embrace it. She explains, "The truth is that many of the jobs that are under threat lack creativity and innovation. Instead of lamenting their disappearance, we should view the automation of these tasks as a chance to redefine work as well as the education system that prepares us for this new world. AI can augment human capabilities, leading to the creation of new roles that require a blend of human creativity and AI assistance." As generative AI continues to improve, even creative jobs will be challenged. Nevertheless, humans possess an enormous ability to adapt and we will need to tap that ability in the years to come. Futurist Mark van Rijmenam explains, "As AI, robotics, and other technologies converge with capitalist efficiencies, industries worldwide are being redefined. The [World Economic Forum's Future of Jobs Report 2025] offers a comprehensive roadmap for understanding the trends reshaping employment, skills, and organizational strategies over the next five years. Its findings are not just predictions. They are a call to action for businesses, workers, and policymakers to adapt and thrive in the face of change."[7]
It's easy to talk about change. But change is often difficult, if not brutal. Centuries ago, Niccolò Machiavelli, in his classic The Prince, wrote, “There is nothing more difficult to take in hand, more perilous to conduct, or more uncertain in its success, than to take the lead in the introduction of a new order of things, because the innovator has for enemies all those who have done well under the old conditions, and lukewarm defenders in those who may do well under the new.” Introducing AI, and creating new jobs with it, has already created some enemies. Nevertheless, there are experts who still see a brighter future. Peter Cappelli, the George W. Taylor professor of management at the Wharton School of the University of Pennsylvania, and Valery Yakubovich, Executive Director of the Mack Institute for Innovation Management at Wharton, write, "We have all heard the warnings and promises. AI will transform work completely, and put millions of jobs at risk. The prospect is ominous. But we’ve been studying the world of work for decades, and we believe that there are plenty of reasons to doubt this job upheaval will actually happen — no matter how much the technology improves."[8]
Their optimism is based on their belief that most AI solutions, including large language models (LLMs), will tackle work tasks rather than replace entire jobs. They conclude, "It is a great thing if LLMs can make current jobs more productive. The savings allows employees to do other things; we hope they will be catching up on the overwhelming amount of work many of them have now rather than adding more tasks. Using LLMs also creates new tasks — 'prompt engineers' to learn how to get credible output, experts to judge whether the output is sensible and especially data managers and engineers to corral the incredible amount of unused data we already have." It's too early to know exactly what new jobs will be created as AI becomes more entrenched in the business world; however, I'm convinced they will be created.
Concluding Thoughts
Progress is subjective word. History tells us that progress is never evenly experienced nor the benefits of progress equitably distributed. This fact will undoubtedly create some societal challenges in the years ahead. Van Rijmenam explains, "For those displaced, this isn’t a story of progress; it’s one of exclusion. The labor market is polarizing into high-skill, high-pay roles and low-skill, low-pay positions, leaving the middle increasingly hollow. The economic divide risks deepening as AI rewards those already at the top while marginalizing those without access to advanced education and resources." Odeh agrees. She writes, "It is all too easy to imagine a future where underserved populations do not have access to the innovations that power richer nations forward. This cannot be allowed. As the Covid-19 pandemic revealed, and as climate change will continue to remind us, we are all in the same boat. Our challenges are global, and we need locally sourced solutions from people who understand the nature of these problems and how best to fix them."
The current global political climate won't bring easy solutions. We may all be in the same boat, but the future is likely to be very different for those traveling first class and those traveling in steerage class. Artificial intelligence holds the promise of a much brighter future — but only if the world works together to achieve it. Modern-day Luddite movements won't stop progress, but nationalist sentiments will unfortunately ensure that any progress made will remain unevenly distributed. We can do better.
Footnotes [1] Caroline Woods, "Enterra CEO: 'A.I. is a Net Job Creator'," Schwab Network, 12 August 2024. [2] Amanda Razani, "AI is a Job Creator – Techstrong AI Podcast EP49," Techstron.tv, 2 February 2025. [3] Sana Odeh, "Are you worried about AI taking over jobs? There's a solution," The National, 7 May 2024. [4] Scott Pelley, "Facial and emotional recognition; how one man is advancing artificial intelligence," CBS 60 Minutes, 13 January 2019. [5] Mary Sullivan, "The Swing Riots," University of Kent. [6] Paul Berger, Chip Cutter, and Chao Deng, "The Battle Over Robots at U.S. Ports Is On," The Wall Street Journal, 8 October 2024. [7] Mark van Rijmenam, "The Future of Work: Automation, Inequality, and Resilience," The Digital Speaker, 9 January 2025. [8] Peter Cappelli and Valery Yakubovich, "AI May Not Be a Job Killer, After All," The Wall Street Journal, 9 May 2024.