How Artificial Intelligence is Transforming the Job Market

On one side, AI streamlines numerous mundane tasks, potentially diminishing job opportunities in specific fields. Conversely, it paves the way for new professional vistas.

Which jobs face jeopardy?

Primarily, jobs characterized by repetitive tasks following a set algorithm stand on precarious ground.

They include:

1. Call center operators. With chatbots progressively taking over market space, AI systems now handle routine customer inquiries, relegating more complex issues to human operators. The Stonly platform exemplifies such innovation, now employed by numerous companies, enabling a majority of customers to receive quick, automated responses for standard queries.

2. Accountants and financial analysts. AI effortlessly manages accounting, autonomously generates reports, conducts audits, and can even fine-tune tax obligations. An error-free, sleepless accountant processing vast datasets in moments represents an employer's dream, driving the popularity of such initiatives. Apps like Zeni, tailored for financial planning and operations optimization, and Vic.ai, focusing on extensive invoice processing and verification, are gaining traction in the business realm.

3. Manufacturing line workers. Robots have long excelled at monotonous assembly line tasks, overseeing product tracking and logistics at entry and exit points in warehouses. This reduces the physical demands on employees responsible for selecting and distributing goods, allowing AI to shoulder part of the workload. Currently under testing are projects aimed at developing machine vision for product quality control (Cognex and Keyence) and smart automation for manufacturing lines (Omron and Rockwell Automation).

4. Drivers. The foreseeable future suggests that autopilots will incrementally supplant taxi, truck, and bus drivers. Tech startups are fervently developing AI-controlled autonomous vehicles, with companies like Argo AI spearheading collaborations with Ford and Volkswagen, and  Aurora Innovation forging partnerships with Uber, Toyota, and Paccar.

Self-driving vehicles are set to become a familiar presence. Source: economictimes.com

5. Translators. Beyond the buzz around ChatGPT, approximately a dozen other projects have launched neural network-based professional translation tools. Noteworthy offerings by Lilt, Wordtune, and Phrase not only perform machine translations but also adapt them to the cultural subtleties of different countries, maintaining terminology consistency at a professional linguist's level.

6. Programmers. Having digested millions of lines of code, AI now possesses the capability to autonomously generate code. This feature is epitomized by Microsoft's GitHub Copilot and Amazon's CodeWhisperer. Nevertheless, these smart applications are unlikely to render human programmers obsolete. They propose code enhancements, debugging, and optimization alternatives, yet the final judgment rests with humans.

For an elaborate insight into how neural networks stand apart from AI and why recognizing this distinction matters, read our article.

Which companies are already making cuts?

In 2023, a total of 1,150 tech companies laid off over 260,000 employees.

In January 2024, Google went through a significant round of layoffs. CEO Sundar Pichai announced the reduction of over 1,000 employees, primarily affecting sales, advertising, search operations, and recruitment specialists. 

An internal memo to staff stated, “We have ambitious goals for AI this year. However, in order to make these investments worthwhile, we will have to make some tough choices.”

German software development company SAP SE disclosed its $2.2 billion restructuring plans at the end of January 2024, affecting 8,000 people. The company cited a strategic refocus on AI-based projects, necessitating new staffing approaches. The restructuring will be implemented through voluntary staff departures and internal retraining, with developers and analysts offered retraining to meet new requirements. Those who adapt quickly may return to their positions.

Mass layoffs are occurring across almost all Amazon divisions:

• Amazon Audible (an online service for audiobooks and podcasts) cut around 5% of its workforce;
• Amazon Twitch (the streaming platform) laid off about 500 people (nearly 35% of its staff);
• Amazon Prime Video (streaming multimedia and studio division) plans to dismiss several hundred employees involved in information search, video editing, and content processing.

On January 11, 2024, the founders of Discord informed their employees of a 17% staff reduction (around 170 people). The messaging service popular among gamers parted ways with hardware setup engineers and technical support staff.

Not all layoffs in tech companies are tied to AI usage in production and engineering. However, one thing is certain: machine learning and neural network specialists are not being cut. Both Google and Apple, as well as Amazon, are opening positions for such roles.

Google is seeking engineers for its AI-driven Waymo cars and specialists for integrating Google Gemini into mobile devices.

Amazon is looking for developers of intelligent chatbots and specialists ready to enhance the capabilities of the Alexa voice assistant. 

Microsoft is recruiting additional staff for a division working on Azure Cognitive Services (AI recognition of facial expressions, emotions, and speech).

What professions will be in demand?

As AI automates routine tasks, the demand increases for professionals capable of:

1. Designing and integrating smart systems and applications. Machine learning engineers and developers will be highly sought after in the market, as they are the architects of our new reality.

2. Managing AI systems and working with large data sets. Data scientists, data analysts, and business analysts will retain their relevance as they are tasked with improving AI, and devising effective algorithms for its “learning.”

3. Thinking creatively and solving unconventional problems. Communication strategy developers, PR specialists, and entrepreneurs can also breathe easily and not rush to seek new job opportunities for applying their skills. It will be a long while before artificial intelligence learns to think outside the box, especially to understand the nuances of human motivations deeply.

4. Interacting with people, inspiring, assisting, supporting them. Customer service specialists, psychologists, social workers, teachers, doctors, massage therapists, beauticians—anyone who makes us a bit happier and our lives easier will always be needed.

AI cannot replace humans in many areas. Source: hromadske

And, of course, there will long be a need for people who can explain in simple and accessible terms what artificial intelligence is, how it works, and why apocalyptic predictions should not be feared. After all, AI doesn't replace humans; it complements them. It frees us from routine yet energy-intensive tasks, allowing us to focus on more creative, productive work.