Billions of workers will need to reskill to keep up with AI, new study finds

The widespread adoption of AI programmes will necessitate the re-skilling of 40 per cent of the worldwide labour force within the upcoming three years. 

This revelation comes in the wake of an extensive study conducted by the IBM Institute for Business Value (IBV), shedding light on the ramifications of AI proliferation across industries.

The study, released this month, delves into the profound impact of AI growth, framing it as a "pivotal point in the world of work, with a substantial opportunity ahead for HR leaders". However, the swift advancement of AI technology has left a trail of inquiries regarding its effect on existing workforce dynamics.

In March, a comprehensive report by Goldman Sachs unveiled the potential displacement of approximately 300 million jobs across the global landscape due to generative AI. Furthermore, a study by Challenger, Gray & Christmas, a firm specialising in outplacement and executive coaching, highlighted that the AI chatbot ChatGPT might supplant no less than 4.8 million jobs in the United States.

These unsettling figures have triggered waves of concern, particularly within sectors deemed most susceptible to AI influence, such as customer service representatives, technical writers and data entry clerks. The IBV study, which engaged 3,000 C-level executives from 28 nations, endeavoured to illuminate persistent workforce queries, revealing that these executives estimated a demanding 40 per cent of their labour pool would necessitate re-skilling to align with the integration of AI platforms into daily job roles.

Approximately 1.4 billion out of the world's 3.4 billion labour force are forecasted to require additional training, according to World Bank statistics cited in the study. "AI's implications will diverge across employee strata. While generative AI's impact will reverberate across all tiers of the workforce, the most discernible transformation is projected for entry-level personnel," IBM asserted in its blog post elaborating on the study.

Echoing these findings, a staggering 77 per cent of surveyed executives disclosed that entry-level employees were already experiencing skill changes catalysed by AI. In contrast, only 22 per cent of these executives anticipated a comparable shift for individuals in executive or senior management positions. The research also predicted that AI's influence wouldn't equate to job eradication; instead, it would cultivate "expanded prospects for employees by amplifying their proficiencies." Remarkably, an overwhelming 87 per cent of surveyed executives affirmed that AI would serve to augment jobs, not replace them outright.