AI and Labour Market Disruption
Synthesized evidence across sectors (technology, manufacturing, services) on how AI adoption affects labour markets and skill demand. Built regression-based predictive modeling with secondary data to derive signals.
The Challenge
The rapid proliferation of Artificial Intelligence has created uncertainty regarding the future of work. We aimed to quantify the impact of AI adoption on labour markets, specifically focusing on skill demand shifts across technology, manufacturing, and service sectors.
Our Approach
We conducted a comprehensive review of over 40 distinct sources to synthesize evidence on AI adoption trends.
To go beyond qualitative analysis, we executed regression-based predictive modeling using secondary data. This allowed us to:
- Quantify the relationship between AI investment levels and displacement rates.
- Identify specific skill clusters that are becoming obsolete vs. those in high demand.
- Forecast near-term shifts in the North American labour market.
The Outcome
Our model demonstrated a statistically significant correlation between AI adoption and the polarization of skill demand. We provided structured recommendations for workforce upskilling, highlighting the urgent need for "human-centric" skills that complement AI capabilities rather than competing with them.
"Modeled strict quantitative relationships between AI adoption rates and specific skill demand shifts in the North American market."