AI could eliminate up to 5% of Latin jobs, study finds

AI's potential impact on job displacement in Latin America and the Caribbean has been highlighted in a recent report by the International Labor Organization and the World Bank. The study indicates that artificial intelligence (AI) has the potential to automate and eliminate around 2% to 5% of jobs in the region. This poses a particular risk for women and younger workers employed in the formal sectors, exacerbating the already prevalent inequality in the region due to the prevalence of low-paying jobs in the informal economy.

While generative AI poses challenges, the report acknowledges that existing digital infrastructure gaps and other inequalities could hinder the full potential of AI in the region. It is estimated that between 26% and 38% of jobs in Latin America and the Caribbean may be exposed to and impacted by generative AI to differing degrees.

Nevertheless, it is important to recognize the potential benefits AI can bring. The research indicates that AI implementation could enhance productivity in approximately 8% to 14% of jobs, particularly within urban areas, education, formal sectors, and among higher-income earners.

This study sheds light on the complex dynamics between AI, employment, and inequality in the region. While job displacement and potential risks exist, there are also promising prospects for improving job performance and productivity through AI.

Earlier SSP reported that Apple's scheduled release of AI features will be delayed.