Science & Tech · AI · 2 hrs ago

IMF and World Bank warn AI could disrupt jobs, especially for young workers

IMF and World Bank warn AI could disrupt jobs, especially for young workers

The IMF warned that AI could disrupt job markets worldwide, describing its effect as a slow-moving shock.

Young people entering the workforce may be hit first, as routine jobs that often provide a first step into a career become harder to find.

The IMF estimates that about 40% of jobs worldwide could be changed or eliminated, with risk exposure at 60% in advanced economies and 23% in low-income countries.

The World Bank says 1.2 billion young people will turn 18 in the next 15 years, and the private sector will need to provide many of their jobs.

The private sector already creates 75% to 85% of jobs, while governments can help by building infrastructure, setting policies and reducing investment risks.

World Bank leaders urged lasting support for young jobseekers, including incentives for companies to hire new graduates.

Policymakers are now focusing on how to limit AI’s effects, as population aging, especially in Asia, also threatens the size of the workforce.

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What people are saying

Kristalina GeorgievaIMF managing director
What needs to be worried about, first and foremost, is young people starting to enter the labour market.
via Detik
Ajay BangaWorld Bank president
Private capital is what creates jobs.
via Detik
Tharman ShanmugaratnamWorld Bank Jobs Council chair
Now that policy should be thought of not as a crisis measure, but as part of structural policy, a set of structural policies.
via Detik