14 million jobs set to be lost to labour market churn by 2027 – with AI contributing
Almost 14 million jobs will be lost globally within the next five years as a result of stunted economic growth, advancement in smart technology and the rising cost of living, according to new research from the World Economic Forum (WEF).
83 million jobs will be lost in the next five years, while 69 million jobs will be created, a loss of 2 per cent on current employment levels, the World Economic Forum’s future of jobs report found.
Investment in green transition would be the strongest factor in job creation, the report said, while slow growth, supply shortages and rising cost of living would hamper job creation.
The impact of advanced technology on job creation would be net positive for the next five years, the research found, with more jobs gained than lost, but digitalisation is still set to create significant churn in the labour market.
Advances in technology — including artificial intelligence (AI) — would create some job losses, with secretarial roles with bank tellers, postal clerks, and cashiers particularly affected, the research found.
The new research highlights the capability of smart technology to shake up the global workforce. Economists have argued advanced technology could help reverse a more than decade long trend of slowing productivity growth by helping workers palm off remedial tasks to computers to free up time.
Three quarters of over 800 companies surveyed by the World Economic Forum plan on adopting technologies including cloud computing and AI within this time frame.
42 per cent of business tasks would be automated by 2027, respondents said.