AI Job Displacement Begins to Impact Workers Around The World
It's not "around the corner" any more. One look at the global employment situation shows that AI's "job-stealing" era is truly here.
The rise of generative AI (gen-AI) has finally started to hit home. Its capabilities, once confined to the realms of science fiction, are now becoming a tangible reality across various sectors, across the world. As you continue to read this newsletter and the various news reports curated here, it will become clear that in a whole range of activities - from automating customer service to revolutionizing teaching and research, AI has started to clearly demonstrate its rather remarkable capacity to replace human labor.
One striking example of this ground-level shift is the growing trend of AI-powered call centers. In the Philippines, for instance, companies are increasingly opting for AI-driven systems to handle customer inquiries, leading to significant job losses for human agents. (Scroll down to read that report.) The efficiency and cost-effectiveness of AI-powered call centers have made them an attractive proposition for businesses worldwide.
Beyond customer service, AI has started to make inroads into fields like education and law enforcement in Europe and in the United States (US). For example, police departments in the US are said to be using AI tools to generate police reports, automating a task that has traditionally been performed by human officers. While this technology can improve efficiency and accuracy, it raises concerns about the potential for job displacement and the loss of human judgment. But that’s another topic for another newsletter.
Perhaps the most profound impact of AI is being felt in the realm of research. As AI continues to advance, it becomes increasingly capable of conducting complex research tasks independently. From analyzing vast datasets to generating novel hypotheses, AI has the potential to revolutionize the scientific process. While this could lead to significant breakthroughs, it also raises questions about the role of human researchers in the future.
There’s a story down in this newsletter in the “Research” segment that talks of the creation of an AI model that will do research all on its own - from zero to end - without any human intervention whatsoever.
The rapid advancement of AI is undoubtedly a cause for excitement, but it also necessitates a careful examination of the potential consequences. As AI becomes more sophisticated, there is a growing risk that it could displace human workers in a wide range of industries. This could lead to economic instability and social unrest if not addressed proactively.
I reiterate: to mitigate the negative impacts of AI-driven job displacement, it is essential to invest in education and training programs that equip workers with the skills needed to thrive in the AI era. Additionally, policymakers should actively consider implementing social safety nets and other measures to support those who may be affected by job losses.
-Sorab Ghaswalla
In Today’s Newsletter:
93% of Large Companies See AI as Key to Success
Apple Cuts Jobs in Digital Services
Philippines Embraces AI as Outsourcing Industry Adapts to New Realities
AI Coaches for Career Development Becoming A Trend
Faculty Burnout Soars, with Technology Adding to the Strain, Report Finds
Americans Growing More Pessimistic About Job Market
“Klarna” Cuts Over 1,000 Jobs
UK Unions to Demand Financial Sector Funds AI Reskilling Amid Job Displacement Concerns
Here are some of the best AI jobs for 2024
ChatGPT Aims to Boost Productivity, But Women Are Using It Less Than Men, Studies Show
Prevent Job Losses Amid the Rise of Artificial Intelligence: Ghana President
AI Revolutionizes IT HR: Streamlining Recruitment and Enhancing Efficiency
ChatGPT Becomes Arizona State University’s Most Active Faculty Member
Are You An IT Professional? Here's What You Need To Do Pronto To Stay Relevant In The Age Of AI
UK Govt Funds £3M Content Bank to Enhance AI Tools for Teachers’ Workloads
Contentious AI Bill Passed in California
AI's Early Days Bring Surge in Legal Battles as Tech Giants Clash Over IP and Privacy
China's AI Safety Focus Grows Amid Rising Concerns Over Catastrophic Risks
Many US Police Departments Use AI Chatbots to Draft Police Reports
FTC Finalizes Rule on Combatting Fake Reviews and Testimonials
Microsoft Tackles AI "Hallucinations" with New Testing Methods to Enhance Model Accuracy
AI's High Test Scores Fuel the Hype — But the Tests Have Flaws
Introducing "The AI Scientist". Fully Automated Research is Here
Where the AI Robotic Market is Headed
Nearly Half of Americans Believe in Being Polite to AI — Here Are the Common Courtesies They Use with Bots
Global Data Breach Costs Keep Climbing as Companies Underuse Key Tech Like AI and Automation
Towards More Photo-Realistic Humans in 2D and 3D…
….plus, “Top Picks” and more.
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93% of Large Companies See AI as Key to Success, But Face Shortage of Skilled Workers
A new report from UST, a digital transformation solutions company, reveals that 93% of large companies view AI as crucial for their success, yet over three-quarters are grappling with a severe shortage of AI-skilled personnel. The “2024 AI in the Enterprise” report also notes that 70% of organizations are worried that a lack of diversity in their AI teams could result in biased outcomes. The findings are based on a survey of 600 senior IT decision-makers from major companies in the USA, UK, India, and Spain, representing a combined revenue of over $10 trillion.
Source: financialexpress.com
Apple Cuts Jobs in Digital Services
Apple Inc. has reportedly cut around 100 jobs within its digital services group, with the most significant reductions hitting the teams behind the Apple Books app and Apple Bookstore, according to Bloomberg News. The layoffs also affected engineering roles and other service teams, including those managing Apple News, sources familiar with the situation told Bloomberg.
Source: reuters.com
Philippines Embraces AI as Outsourcing Industry Adapts to New Realities
While much of the world debates the impact of artificial intelligence on jobs, the Philippines is already experiencing this shift firsthand. In a bid to cut labor costs, many back-office roles in the country's booming outsourcing industry — expected to surpass US $38 billion in revenue this year — are being handed over to AI. Major industry players are rapidly adopting AI tools to remain competitive and protect their business models.
Source: bloomberg.com
AI Coaches for Career Development Becoming A Trend
AI coaching programs are becoming popular due to their accessibility and affordability, especially during a time of economic uncertainty.
Despite concerns about privacy and the quality of AI coaching, companies and workers are increasingly embracing these programs for career development.
AI coaching tools offer potential benefits in expanding access to coaching for employees, but they still face challenges in providing nuanced, personalized advice.
Source: forbes.com.au
Faculty Burnout Soars, with Technology Adding to the Strain, Report Finds
Nearly half of faculty members across the US are experiencing burnout, with 39% feeling emotionally drained, according to a report from WGU Labs.
While burnout among professors is not a new phenomenon, Omid Fotuhi, director of learning innovation at WGU Labs, suggests that technology is playing a significant role in exacerbating the issue. The report reveals that approximately 80% of faculty feel constantly "on the job" due to technology, and 64% say that technology makes it challenging to take breaks from their work and students.
Source: insidehighered.com
Americans Growing More Pessimistic About Job Market, But Majority Unworried About AI Impact on Personal Jobs
A new “YouGov” poll reveals that Americans are increasingly negative about the US job market, with 41% now describing it as bad, up from 27% in July 2023. Nearly half of employed Americans believe advancements in AI will reduce job opportunities in their industry. However, most employed individuals remain unconcerned about AI directly impacting their own jobs, wages, or hours. Only 31% of Americans view the current job market as good.
Source: today.yougov.com
“Klarna” Cuts Over 1,000 Jobs, Plans to Halve Workforce as AI Takes Over
Swedish fintech company “Klarna” has reduced its workforce by more than 1,000 employees in the past year, with artificial intelligence playing a significant role in the cuts. The “buy now, pay later” company, which had around 5,000 employees last year, now employs 3,800 and plans to further reduce that number to about 2,000 as it gears up for a potential stock market listing. According to Klarna, its chatbot alone handles the work of 700 human employees.
Source: surreycomet.co.uk
UK Unions to Demand Financial Sector Funds AI Reskilling Amid Job Displacement Concerns
UK unions are set to urge banks, insurers, and accounting firms to fund the retraining of millions of employees whose jobs could be displaced by artificial intelligence.
At the upcoming Trades Union Congress, Accord, a union representing banking workers, will push for a significant reskilling program for nearly 2.5 million UK financial services staff. A June report from Citigroup highlighted that up to 54% of banking jobs and 48% of insurance roles could be at risk due to automation.
Source: ft.com
Here are some of the best AI jobs for 2024
Source: simplilearn.com
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ChatGPT Aims to Boost Productivity, But Women Are Using It Less Than Men, Studies Show
ChatGPT, OpenAI's generative AI tool, markets itself as a way for workers to be more productive. However, despite industry expectations that the technology will enhance productivity across the workforce, recent studies show that women are using ChatGPT 16 to 20 percentage points less than their male counterparts, even when employed in the same roles or studying the same subjects.
Source: economist.com
Prevent Job Losses Amid the Rise of Artificial Intelligence: Ghana President
Ghana President Nana Addo Dankwa Akufo-Addo has urged organized labor to advocate for policies that prevent job losses due to technological advancements like AI and to promote upskilling and reskilling of the workforce.
He called on trade unions to champion gender equality by advocating for equal pay, anti-discrimination policies, and support for working mothers.
President Akufo-Addo emphasizes the need for trade unions to proactively engage with technological changes, advocate for inclusive hiring practices, and ensure that automation and AI do not lead to increased inequality or job losses.
President Akufo-Addo was addressing the 12th Quadrennial Delegates Congress of the TUC when he made these points.
Source: ghanaweb.com
AI Revolutionizes IT HR: Streamlining Recruitment and Enhancing Efficiency
Artificial Intelligence and advanced analytics are revolutionizing human resources (HR) in the IT sector by automating tasks such as candidate screening and performance prediction.
According to this write-up, AI's strength lies in its ability to quickly analyze vast amounts of data, enabling it to identify top candidates based on skills and location. This efficiency boosts productivity among new hires and improves the overall hiring process. With AI managing these functions, HR professionals can devote more time to building relationships with top talent, negotiating offers, and ensuring smooth onboarding experiences.
Source: cxotoday.com
ChatGPT Becomes Arizona State University’s Most Active Faculty Member
Arizona State University (ASU) has integrated ChatGPT into a wide array of academic functions, making it the busiest faculty member of the year. The AI chatbot assists with tasks such as academic writing, simulating patients for healthcare students, and recruiting participants for research studies. In collaboration with OpenAI, ASU deployed a specialized version of ChatGPT, known as ChatGPT Edu, to enhance teaching, research, and academic support. ChatGPT Edu is now a central component of ASU's initiative to leverage AI for more personalized and accessible learning and research experiences.
Source: techradar.com
Are You An IT Professional? Here's What You Need To Do Pronto To Stay Relevant In The Age Of AI
Jobs involving data entry, basic coding, and routine system maintenance are at risk of being phased out, which might concern new IT professionals.
Simultaneously, artificial intelligence (AI) also opens up new opportunities, like developing and maintaining advanced systems, data analysis, and cybersecurity.
According to this expert, if IT professionals want to remain relevant in the AI era, here's what they need to do ASAP.
One key area to master is machine learning algorithms.
Source: spectrum.ieee.org
UK Govt Funds £3M Content Bank to Enhance AI Tools for Teachers’ Workloads
Tech companies in the United Kingdom are being encouraged to develop improved AI tools to help ease teachers' workloads, following an announcement that AI models will gain special access to the Department for Education’s (DfE) new £3 million "content bank." Education Minister Stephen Morgan has hailed the initiative as a major advancement for AI in the classroom.
The content bank will include official assessments, curriculum guidance, and teaching materials, allowing developers to create AI tools that generate accurate and high-quality educational content, such as workbooks and lesson plans, tailored for England’s classrooms.
Source: the guardian.com
Contentious AI Bill Passed in California
On Wednesday, California lawmakers passed a contentious artificial intelligence safety bill, known as “SB 1047”. The bill now requires one final vote before it reaches State Governor Gavin Newsom, who has until September 30 to either sign it into law or veto it.
Tech companies involved in developing generative AI—capable of producing text, images, or audio from prompts and performing repetitive tasks with minimal oversight—have largely opposed the legislation. They argue that it could drive AI companies out of the state and stifle innovation.
Other experts feel that the new bill marks a significant step toward addressing the emerging risks associated with artificial intelligence. By setting stringent guidelines and oversight mechanisms, the legislation aims to ensure that AI systems are developed and deployed responsibly, prioritizing transparency and accountability. As other states and countries look to California’s framework, this bill could serve as a model for balancing innovation with safety. It underscores the importance of regulatory measures in guiding the evolution of AI while safeguarding public interest.
Meanwhile, OpenAI, Adobe, and Microsoft are supporting the bill that requires labeling of AI-generated content, aiming to ensure authenticity and provenance.
Source: economictimes.com techcrunch.com
AI's Early Days Bring Surge in Legal Battles as Tech Giants Clash Over IP and Privacy
The rapid development of artificial intelligence is facing significant legal challenges, with companies like OpenAI, Alphabet, and Meta embroiled in a flurry of lawsuits. Content providers are accusing these tech giants of misappropriating intellectual property to train their large language models, while privacy concerns and allegations of mission abandonment by figures like Elon Musk add to the legal tumult.
This article gives an overview of the current state of affairs in this rapidly evolving landscape.
Source: fastcompany.com
China's AI Safety Focus Grows Amid Rising Concerns Over Catastrophic Risks
Over the past two years, China's approach to artificial intelligence safety has markedly evolved. While Western AI scientists have long warned about the potential catastrophic risks of advanced AI systems, it was uncertain if Chinese scientists and policymakers shared these concerns. Recent evidence, including research papers, public statements, and government documents, indicates that China is now prioritizing AI safety, with increased technical investment and potential regulatory measures reflecting its growing urgency.
Source: carnegieendowment.org
Many US Police Departments Use AI Chatbots to Draft Police Reports
Artificial intelligence is making its way into law enforcement, with several police departments across the nation experimenting with AI chatbots to draft police reports. These departments are exploring how modern technology can streamline report-writing processes by using AI to generate initial drafts of their reports.
Source: washingtonexaminer.com
FTC Finalizes Rule on Combatting Fake Reviews and Testimonials
The US Federal Trade Commission (FTC) has introduced a new rule to address the issue of fake reviews and testimonials that have been prevalent on social media and other platforms. The focus is on businesses that create or buy false testimonials, solicit negative reviews of competitors, suppress bad reviews, or intimidate consumers to remove negative reviews.
The rule prohibits activities such as fake consumer reviews, buying positive or negative reviews, insider reviews, misrepresenting review websites, review suppression, and misuse of fake social media indicators. Violators could face civil penalties of over $50,000 per violation.
Source: jdsupra.com
Microsoft Tackles AI "Hallucinations" with New Testing Methods to Enhance Model Accuracy
While GPT-4 was making waves for its performance on standardized tests, Microsoft researchers were addressing a different challenge: reducing AI "hallucinations," or instances where models generate inaccurate information. They developed a complex text-retrieval task to identify and improve these inaccuracies, demonstrating a new approach to mitigating deviations in large language models (LLMs).
This effort is part of Microsoft’s broader mission to ensure AI systems are safe, trustworthy, and ethical. Microsoft aims to build AI systems that users can trust and use effectively, according to Sarah Bird, Chief Product Officer for Responsible AI at the company.
Source: news.microsoft.com
AI's High Test Scores Fuel the Hype — But the Tests Have Flaws
When Taylor Webb, a psychologist at the University of California, US experimented with GPT-3 in early 2022, he was astonished by the capabilities of OpenAI's large language model. Although it was simply a neural network designed to predict the next word in a sequence — a sophisticated autocomplete — it consistently provided accurate answers to abstract problems similar to those found in IQ tests. The move caught Taylor completely by surprise.
Last month, Taylor and colleagues published a study in “Nature” showcasing GPT-3’s ability to excel in tests designed to assess analogical reasoning — a key aspect of problem-solving. Remarkably, GPT-3 outperformed a group of undergraduates on some of these tests. According to Taylor, analogy is central to human reasoning, and is one of the critical capabilities any machine intelligence must demonstrate.
Taylor’s research is just the latest in a series of impressive feats by large language models. For instance, when OpenAI introduced GPT-4 in March, it highlighted an extensive list of professional and academic exams that GPT-4 had successfully passed, including several high school tests and the bar exam. OpenAI later collaborated with Microsoft to demonstrate GPT-4's ability to pass sections of the United States Medical Licensing Examination.
Multiple researchers have claimed that large language models can pass tests designed to assess human cognitive abilities, such as chain-of-thought reasoning (solving problems step by step) and theory of mind (understanding what others might be thinking).
These findings are fueling predictions that AI could soon replace white-collar jobs like teaching, journalism, and law. Even Geoffrey Hinton, a pioneer in AI, has expressed concern over GPT-4's apparent ability to form coherent thoughts, calling it a reason to be wary of the technology he helped create.
However, there is considerable debate about the significance of these results. Some see them as signs of emerging human-like intelligence, while others remain skeptical.
Source: technologyreview.com
Introducing "The AI Scientist". Fully Automated Research is Here
One of the big goals of artificial intelligence is to create systems that can independently conduct scientific research and discover new knowledge. While AI models have assisted human scientists in tasks like brainstorming and coding, they have only played a small part in the scientific process so far.
This research paper introduces "The AI Scientist," the first comprehensive framework for fully automated scientific discovery. It allows advanced AI models to generate research ideas, run experiments, analyze results, write scientific papers, and even review them. This innovation represents a major step toward affordable, endless creativity in solving the world's toughest problems.
Where the AI Robotic Market is Headed
The Artificial Intelligence robots market is projected to grow from an estimated value of $15.71 billion in 2024 to $111.65 billion by 2031, with a compound annual growth rate (CAGR) of 32.3% over this period.
Nearly Half of Americans Believe in Being Polite to AI — Here Are the Common Courtesies They Use with Bots
A recent study reveals that nearly half of Americans believe in using polite manners when interacting with artificial intelligence and technology, such as chatbots and virtual assistants like Alexa and Siri.
Younger generations are more likely to be polite, with 56% of Gen Z and 52% of Millennials claiming to be well-mannered. The study also highlights that using polite language with AI sets a positive tone for responses and generates respectful interactions.
However, a significant portion of respondents, especially older generations, do not feel the need to be polite to AI. Despite this, many believe that past behavior towards AI will somehow be taken into account in the future. Overall, the study emphasizes the importance of using basic etiquette and kindness when interacting with artificial intelligence.
Source: thesun.com
Global Data Breach Costs Keep Climbing as Companies Underuse Key Tech Like AI and Automation
The rising global average cost of data breaches may feel like a recurring theme — and it is. While data protection tools improve, so do the tactics of cybercriminals. Another ongoing issue is the underutilization of technologies like artificial intelligence and automation that could help protect data.
IBM’s 2024 Cost of a Data Breach (CODB) Report, which analyzed breaches across 604 organizations in 17 industries and 16 countries, found that modern technologies can reduce breach costs by an average of $2.2 million. For CISOs, focusing on financial impact, not technical jargon, is crucial when seeking investment in security measures.
The 2024 CODB Report revealed that organizations saw significant savings when AI and automation were extensively integrated into preventive or proactive workflows like attack surface management, red-teaming, and posture management. This highlights an important connection: adopting a "prevention over response" strategy might actually be influenced by the increasing threats and applications of AI.
Source: securityintelligence.com
Towards More Photo-Realistic Humans in 2D and 3D
A team of researchers has introduced “Sapiens”, a set of models designed for four key human-focused vision tasks: 2D pose estimation, body-part segmentation, depth estimation, and surface normal prediction. These models handle high-resolution images (1K) and can be easily customized for specific tasks through fine-tuning over 300 million human images.
Self-supervised pretraining on this dataset enhances performance for diverse human-centric tasks, even with limited or synthetic data. The models are scalable, with performance improving as the number of parameters increases from 0.3 to 2 billion.
According to the research team, Sapiens outperforms existing models on various human-centric benchmarks.“Sapiens” is a major advancement in human-centered vision models, bringing them closer to foundation models.
The AI Conference has announced plans to host its next event on September 10th and 11th. Established in 2023, the conference brings together top AI researchers, innovators, and decision-makers around the world (38 countries) to advance the development and deployment of cutting-edge AI technologies.
…where every week, I shortlist interesting articles, posts, podcasts, and videos on AI.
Will Gen-AI Eventually Kill Itself?
These days, there’s a lot of chatter around AI model collapse. Essentially, it means if LLMs continue to be trained on synthetic or AI generated content or data, there will come a time when their output will be near-rubbish.
The proliferation of AI-generated content on the web makes it difficult to prevent the negative effects of AI inbreeding, impacting the diversity and quality of AI outputs.
This "inbreeding" of AI models can lead to flattening cycles and potential algorithmic bias. The lack of reliable methods to distinguish real from fake content poses a significant challenge for AI.
Read this article to understand what the noise is all about.
Cerebras Systems Launches Cost-Effective AI Tool, Challenging Nvidia's Dominance
If you are into computing chips, or buying Nvidia stock, here’s something that will interest you.
This week, Cerebras Systems introduced a new tool for AI developers, allowing them to use the startup's powerful chips to run applications. The company claims this offers a much cheaper alternative to Nvidia's widely-used processors. Nvidia's GPUs, commonly accessed through Cloud providers for training and deploying large AI models like ChatGPT, are often costly and hard to obtain.
Cerebras CEO Andrew Feldman stated that their solution provides unmatched performance and accuracy at a lower price. With AI adoption growing, the market for such tools is expected to be worth billions.
Source: reuters.com
What About AI Safety?
This in-depth article in “The Atlantic” delves deep into the topic of AI safety, and its progress as gen-AI tech moves ahead. Writer Ross Andersen traces OpenAI’s journey, writing that after about a year, ChatGPT lost its initial novelty and became just another fixture in our digital lives, public fascination waned, and bipartisan support for AI regulation in Congress stalled. Risk experts like Toner gained significant influence within tech companies, but their power diminished when they disagreed with their superiors. Now that the AI-safety movement's peak has passed, Ross, with this article, is checking in with its staunch advocates. Are they reflecting on their setbacks? Do they regret their approach?
The Future Of Work Newsletter
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Really interesting read 👍🏻