AI replacing human jobs is always a topic open to debate. Someone being optimistic may argue that AI cannot replace human jobs, while others may contend that it will inevitably diminish the human element in the workplace.
Now, the current volatile job market is unfolding the obvious answer to that question. In January, despite the S&P 500 and Nasdaq hitting record highs, there was a surge in tech layoffs. 85 companies, including big names like SAP, Microsoft, and eBay, cut 23,670 jobs.
So, it is happening. Companies are preparing themselves to embrace AI. So, the question of the day is whether your line of industry is safe or not! Let’s find out!
5 Traditional Job Sectors Facing the AI Revolution
It is not like all the jobs will be taken over by AI. There are too many factors behind it. It varies on how effectively AI can perform the job. If a job can be performed without human involvement and the investment in AI isn’t significant, there’s a strong likelihood that the job will become obsolete for humans.
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Customer Service: From Humans to Bots
Customer service providers perform a variety of tasks including responding to incoming inquiries, resolving complaints, providing technical support, providing information, recommendations, and guidance, handling billing inquiries, managing feedback, and many other tasks.
As you can see, the field of customer service comprises a diverse range of roles and responsibilities. While not all customer service roles will be replaced by AI, certain aspects of customer service have the potential to be improved and automated by AI technology. Moreover, there’s a likelihood that AI will entirely take over some functions.
For example, if your job involves answering repetitive customer questions, AI is likely to replace you. Customized chatbots can efficiently handle these standardized inquiries.
Gartner, an American technology research and consulting firm, predicted that by 2026, conversational AI is anticipated to reduce contact center labor costs by a significant $80 billion. Last year, Summit Shah, the founder and CEO of Dukaan, a Bangalore-based e-commerce company, replaced 90% of the support staff with an AI chatbot.
Data Entry Jobs: The End of Manual Entry?
In data entry jobs, high accuracy is essential, and creativity is generally not required. Therefore, a program with a well-written codebase can outperform humans in tasks involving inputting, processing, or managing data.
Moreover, to accomplish data entry tasks, organizations do not necessarily require highly sophisticated and costly AI. Thus, AI may become the preferred choice to reduce costs that would otherwise be incurred by human involvement.
Over the decades, automation has significantly reduced human involvement in the banking industry’s operational processes. Technological advancements like check imaging and remote deposit capture have made check processing simpler. It requires fewer people for manual data entry.
Optical character recognition (OCR) technology extracts data from check images, while automated systems verify authenticity and check funds which further minimizes the need for human intervention.
Another clear instance of AI replacing traditional data entry roles is intelligent document processing (IDP) technology in mortgage lending. How does it reduce the need for data entry clerks?
Well, IDP makes mortgage processing easier and better for customers by using advanced technology like OCR and NLP. It simplifies the application process, improves accuracy, and enhances the overall experience.
Using AI, the solution automatically extracts and verifies data from various mortgage documents, such as income statements and tax returns. It eventually removes the requirement for manual data entry clerks.
Creative Works: The Algorithmic Artist
There are mixed reactions about whether AI can replace creative jobs such as writing, and graphic designing.
Imagine a future where AI-generated high-quality customized graphic design becomes available to your customers. Suppose, an AI graphic design tool could create an advertisement for the business owner simply by providing it with some prompts. It could potentially cost less than hiring a graphic designer.
While these advancements might not completely replace jobs, they do raise questions about wages. Companies like Uizard, Designs.ai, Adobe Sensei, Midjourney, and DALL-E are revolutionizing previously unimaginable tasks.
Between May 2 and September 27, 2023, the Writers Guild of America, which speaks for 11,500 screenwriters, went on strike because of a disagreement with the Alliance of Motion Picture and Television Producers. One of the aspects was related to AI. WGA asked for restrictions on AI in writing and training, fearing it could replace writers. WGA eventually won against AI.
Now the concern persists about what would happen to the content creators who are involved in technical writing, blogging, or advertising. Clients might question the need to pay a high salary for content creation when they have access to ChatGPT, which can produce quality content with proper prompts.
AI may not entirely replace jobs, but it could impact wage structures in creative fields. However, the long-term effects of AI on the creative process remain to be seen.
Tech Industry: Code Crunchers vs. Algorithms
In the case of the tech world, jobs are not likely to be replaced by AI entirely. However, it is also possible that some positions in the job may be affected by the initiation of AI. For instance, entry-level programmers can be affected.
The fact that in the tech world, you always have to adapt to a new change. If you cannot cope with change, AI may take your job. We have become aware that ChatGpt is getting faster with coding. The extent to which it evolves in programming skills determines its influence in the tech job market.
There has already been a surge of tech layoffs happening in the big tech companies. Despite the S&P 500 and Nasdaq reaching all-time highs in January, there was a notable increase in tech layoffs. A total of 85 companies, among them industry giants like SAP, Microsoft, and eBay, collectively reduced their workforce by 23,670 positions.
However, even AI is required to be maintained by humans. So new jobs will created for those who can adapt and learn how to utilize AI. At the same time, another concern is how far AI can delve into learning and automate itself. Well, we have to wait to see.
Transportation Sectors: Driverless Revolution
Aurora, a self-driving technology company based in Pittsburgh, plans to introduce a few fully autonomous trucks by the end of 2024. Their goal is to have thousands of these trucks on the road by 2027.
Not only Aurora, but also companies like Daimler, Volvo Autonomous Solutions, TuSimple, Waymo, Tesla, and others are working on self-driving cars. It’s anticipated that more companies will join them in adopting autonomous driving technology in the transportation industry in the future.
AI may likely replace traditional driving. However, it will happen overnight. The roads still need to be smart enough for driverless cars. Given the pace of technological advancement, it’s difficult to predict precisely when truck drivers and taxi drivers will be replaced by autonomous technology.
The World Economic Forum’s “The Future of Jobs Report 2020” predicts that by 2025, AI will be responsible for displacing 85 million jobs globally. AI will undoubtedly reshape our perception of traditional jobs, a phenomenon observed since the dawn of civilization. While new jobs will emerge, old ones will vanish. However, the primary concern lies in navigating this transition period effectively.
- Gartner Predicts Conversational AI Will Reduce Contact Center Agent Labor Costs by $80 Billion in 2026
- Indian CEO of Dukaan replaced 90% of staff with an AI chatbot | CNN Business
- Intelligent Document Processing | IDP Use cases and Benefits (beyondkey.com)
- Intelligent Document Processing Revamping Document Management in the Mortgage Industry (amygb.ai)
- Why Striking Hollywood Writers Fear an AI Future (rollingstone.com)
- Aurora finalizes design of self-driving trucks it will make with Continental – The Verge
- Top 10 autonomous trucking firms & solutions | Supply Chain Magazine (supplychaindigital.com)