AI Adoption Leads to Job Losses Among Entry-Level Workers in the US

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Goldman Sachs reports that the adoption of AI systems like ChatGPT has reduced monthly job growth in the US by about 16,000 positions and increased unemployment by 0.1 percentage points, with the greatest impact on entry-level and less experienced workers. Sectors such as call centers and claims processing are most affected.[AI generated]

Why's our monitor labelling this an incident or hazard?

The article explicitly involves AI systems affecting employment through their use, leading to measurable harms such as job losses and increased unemployment, especially among entry-level workers. These effects constitute harm to people (harm to groups of workers) due to AI's use in substituting human labor. Since the harm is realized and directly linked to AI system use, this qualifies as an AI Incident under the OECD framework.[AI generated]
AI principles
Human wellbeingRespect of human rights

Industries
Financial and insurance servicesBusiness processes and support services

Affected stakeholders
Workers

Harm types
Economic/Property

Severity
AI incident

Business function:
Citizen/customer service

AI system task:
Interaction support/chatbotsContent generation


Articles about this incident or hazard

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Why's our monitor labelling this an incident or hazard?
The article explicitly involves AI systems affecting employment through their use, leading to measurable harms such as job losses and increased unemployment, especially among entry-level workers. These effects constitute harm to people (harm to groups of workers) due to AI's use in substituting human labor. Since the harm is realized and directly linked to AI system use, this qualifies as an AI Incident under the OECD framework.
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Why's our monitor labelling this an incident or hazard?
The event involves the use of AI systems (e.g., ChatGPT and related AI tools) impacting the labor market by reducing job growth and increasing unemployment, which is a form of harm to communities and individuals' economic rights. The harm is realized and measurable, not just potential. Therefore, this qualifies as an AI Incident because the AI system's use has directly or indirectly led to harm (employment reduction and increased unemployment).
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Why's our monitor labelling this an incident or hazard?
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Why's our monitor labelling this an incident or hazard?
The event involves the use of AI systems (e.g., ChatGPT and related AI technologies) impacting employment outcomes, which is a form of harm to people (economic harm, job loss, increased unemployment). The AI system's use has directly or indirectly led to realized harm (job displacement and increased unemployment) as documented by the study. Therefore, this qualifies as an AI Incident because the AI system's use has caused measurable harm to workers, particularly young professionals and less experienced workers, as described in the article.
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Why's our monitor labelling this an incident or hazard?
The article explicitly states that AI systems are being used to automate tasks previously done by humans, leading to a measurable reduction in job vacancies and a rise in unemployment, especially among early-career professionals. This is a direct harm to people (economic and social harm), fitting the definition of an AI Incident. The AI systems involved include natural language processing chatbots and machine learning platforms, clearly qualifying as AI systems. The harm is realized, not just potential, so this is not a hazard or complementary information. Hence, the classification is AI Incident.
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Why's our monitor labelling this an incident or hazard?
The article involves AI systems in the context of their economic impact on employment, which is a recognized area of AI influence. However, it does not report any realized harm such as injury, rights violations, or disruption caused by AI, nor does it describe a plausible future harm event or a response to an incident. It is a general analysis and forecast, which fits the category of complementary information about AI's societal impact rather than an AI Incident or AI Hazard.