Is AI Killing Jobs? Job Vacancy Data Tells a Different Story

Investing.com — Despite growing concerns that automation may replace workers, a new report from ING indicates that artificial intelligence has not yet had a measurable impact on employment markets in major economies.

Upgrade to InvestingPro for premium news and in-depth insights.

ING states that job vacancy data from the US, UK, France, and Germany show “no clear signs” that job postings in sectors most susceptible to AI influence are declining faster than others.

ING analyzed hiring data from about 50 sectors on Indeed and compared changes in job vacancies since early 2024 with AI exposure rankings generated by chatbots. The results show: there is almost no correlation between AI exposure and weaker hiring trends.

ING notes that data from Challenger, a company tracking layoff announcements, indicates that layoffs attributed to AI account for less than one-tenth since April last year. Meanwhile, data from the St. Louis Fed shows that as of November, only 12% of American workers use generative AI daily, slightly above levels from a year earlier.

ING believes that traditional economic forces remain the main drivers of employment trends. Most sectors in the US and UK have cooled their hiring intentions, even though companies are still reluctant to lay off workers. This environment disproportionately affects young workers, pushing up youth unemployment rates.

The bank adds that the surge in US employment in January may have been skewed toward construction and private healthcare services, raising questions about the breadth and sustainability of job growth.

ING states, “For now, the drivers of the labor market appear to be more traditional,” and warns that while AI may eventually reshape employment, the data has not yet shown widespread disruptive effects.

This article was translated with the assistance of artificial intelligence. For more information, please see our Terms of Use.