Outplacement firm says 3,900 layoffs were reported in the month of May
Questions about the impact of technology on jobs are rising as AI becomes a big topic and more AI-powered solutions become available
A study suggests that since May, thousands of individuals may have lost their jobs as a result of artificial intelligence (AI).
Challenger, Gray & Christmas, an outplacement firm, said in its monthly research report that 3,900 layoffs, around 4.9% of May's employment losses, were attributed by US companies to AI.
In May, US companies said over 80,000 jobs would be eliminated,
which brought the total number of job cuts announced by US employers since
the start of 2023 to about 417,500, reported Fox News.
Furthermore,
the company explained that the majority of layoffs in May were caused by
company closures.
The number of job losses between January and
May was the greatest since 2020 due to economic conditions, bringing the
total number to 206,300.
As the field of AI becomes increasingly
hot and more AI-powered tools become available, questions arise about how
the technology will affect jobs.
Earlier in the year, a Goldman
Sachs report suggested that AI automation may be used for two-thirds of US
positions, with most jobs and industries being partially exposed to it.
However,
the report suggests that AI can complement existing jobs and create new ones
as it becomes more widespread.
Separately, the World Economic
Forum recently found that 50% of companies foresee AI creating "job growth"
and 25% think it will "create job losses."
