Dean Mozrall for RBJ: AI will replace and create jobs but workers will need ‘upskilling’

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Dean Mozrall's Advancing Business column, as seen in the Rochester Business Journal on October 24, 2024

AI will replace and create jobs but workers will need ‘upskilling’ 

The discussion about artificial intelligence is often fraught with dystopian overtones, as if life as we know it is in peril. Of particular concern is the fate of many jobs as AI continues its relentless push into the workplace. As noted in a recent report by Tech.co, “The Companies That Have Already Replaced Workers with AI in 2024,” “For those wondering when artificial intelligence will start replacing human workers, the answer is that it already has.”

The article shows how this trend is well along, listing such organizations as MSN, Google, and IKEA as pioneers in using AI extensively to replace employees. It cites a survey by The Conference Board which found that “[h]alf of CEOs and 51% of C-Suite executives believe AI will displace labor in their organizations.”

However, history shows that any new, disruptive technology creates as many, or more, jobs than it eliminates. A recent  Forbes article, “How Does Artificial Intelligence Create New Jobs?,” is illuminating and on the mark. The author, Marco Iacoviello, points to positive implications of the AI revolution. Some examples:

• By automating repetitive chores that require little thought—for example, those seemingly endless emails—AI can free up workers to focus on more meaningful tasks that require creativity.

• The very introduction of AI systems will create new job opportunities for “machine learning engineers, data scientists and specialized researchers.”

• AI is also redefining entire fields. “For example, in the healthcare sector, AI can enhance medical diagnosis, expedite drug discovery and support telemedicine. This paves the way for professional profiles like ‘health data analysts,’ who interpret and analyze data collected by AI systems to provide more precise and personalized diagnoses.”

• The ethical consequences of AI in organizations calls for ethics experts “to ensure that decisions made by AI systems align with moral and social principles.”

What sets AI’s impact apart from that of previous disruptive technologies is the pace of change. The AI revolution began just two years ago with the introduction of ChatGPT in November of 2022. With breakneck speed, AI is already transforming the world of work.

According to Harvard Business Review’s September/October 2023 issue in the article “Reskilling in the Age of AI,” The average half-life of skills is now less than five years, and in some tech fields it’s as low as two and a half years. While not all knowledge workers will lose their jobs, many of them will find that AI and other new technologies have so significantly altered their roles that in effect they’re working in completely new fields.

Are college graduates prepared for this revolution? The evidence suggests there is work to do. An Inside Higher Ed article,  “Majority of Grads Wish They’d Been Taught AI in College,” cites a survey by Cengage Group of 974 recent graduates. They found that 70 percent believe basic generative AI training should be part of their curriculum, while 55 percent said their degree programs did not adequately prepare them to use the new technology tools in the workforce. Given how recent these changes are, it’s not surprising that university curricula will take some time to adapt. But adapting is critical.

Jacqueline Mozrall is dean of Saunders College of Business at Rochester Institute of Technology.