AI has positive impact on jobs market, report finds

Artificial intelligence will have a positive impact on the UK jobs market, according to a research report from the Institute for the Future of Work (IFOW), Imperial College London and Warwick Business School.

The researchers asked more than 1,000 UK employers about their adoption of AI in the workplace, and the majority said this had led to the creation of new jobs.

More than two-thirds of respondents to the briefing paper – What drives UK firms to adopt AI and robotics, and what are the consequences for jobs? – felt AI improved job quality, but 83% felt there was a need for new skills to adjust.

However, its authors insisted that governments, employers and employees would have to be proactive in dealing with the pace of technological change.

Just under half (47%) of respondents said AI and automation had eliminated positions, and 67% said it had created new ones.

“This report not only highlights that the adoption of AI is well underway across UK firms, but that it is possible for this tech transformation to lead to both net job creation, and more ‘good work’ – great news as we look to solve the UK’s productivity puzzle,” said Anna Thomas, co-founder and director of the IFOW.

A number of bodies have already come out with recommendations around the ethical use of AI at work, including the CIPD, which launched a guide in July.

The paper highlights that employers’ readiness for AI adoption and growth varies widely in different UK regions, despite the fact that high levels of readiness are associated with more positive outcomes. This could exacerbate regional inequalities, the authors found.

In organisations where AI had been adopted, there were equal rates of uptake between physical and non-physical tasks, it found.

One of the key recommendations of the report was that policymakers and employers should invest in HR practices that augment workers’ capabilities, rather than seeking to replace them.

“For employers and employees, the adoption of, and engagement in, a human resource management philosophy with high-involvement practices will unlock a positive attitude to technology adoption and the perceived benefits of AI, opening the way to better range of work outcomes including the creation of new jobs, augmentation of human skills and improvement in work quality,” it advised.

“Realising the benefits of technologies like AI for all will mean getting the right foundations in place across areas like digital infrastructure and skills provision in every part of the UK to enable and create high-quality digital jobs,” said Matt Robinson, head of nations and regions at digital business body techUK.

“Access to good digital infrastructure, as well as skills and talent, is a priority for techUK members, and the [report] provides welcome insights into their importance for creating good work throughout the country.”

The research forms part of the Pissarides Review into the Future of Work and Wellbeing, which is funded by the Nuffield Foundation.

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