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Complement or substitute? How AI increases the demand for human skills

arXiv.org Artificial Intelligence

The question of whether AI substitutes or complements human work is central to debates on the future of work. This paper examines the impact of AI on skill demand and compensation in the U.S. economy, analysing 12 million online job vacancies from 2018 to 2023. It investigates internal effects (within-job substitution and complementation) and external effects (across occupations, industries, and regions). Our findings reveal a significant increase in demand for AI-complementary skills, such as digital literacy, teamwork, and resilience, alongside rising wage premiums for these skills in AI roles like Data Scientist. Conversely, substitute skills, including customer service and text review, have declined in both demand and value within AI-related positions. Examining external effects, we find a notable rise in demand for complementary skills in non-AI roles linked to the growth of AI-related jobs in specific industries or regions. At the same time, there is a moderate decline in non-AI roles requiring substitute skills. Overall, AI's complementary effect is up to 50% larger than its substitution effect, resulting in net positive demand for skills. These results, replicated for the UK and Australia, highlight AI's transformative impact on workforce skill requirements. They suggest reskilling efforts should prioritise not only technical AI skills but also complementary skills like ethics and digital literacy.


Café will open in Dubai next year with an eerily human-like ROBOT cashier

Daily Mail - Science & tech

An eerily human-like robot cashier who can serve drinks and chit-chat with customers will soon be up and running in Dubai, meaning baristas could become a thing of the past. Donna Cyber-Cafe is set to open in Dubai next year, with a'supermodel' robot serving coffees and ice creams to customers, without the help of any humans. Donna, who has been created to be the spitting image of Eastern European model Diana Gabdullina, will offer speedy service and will even be able to start conversations with customers, take selfies or tell a fairy tell for those who ask. The impressive new droid has been created to appear like a real person, allowing Donna to read customer's emotions and move in an eerily realistic way. Donna Cyber-Cafe will be opening in Dubai next year.


Artificial Intelligence To Create 58 Million New Jobs By 2022, Says Report

#artificialintelligence

Machines and algorithms in the workplace are expected to create 133 million new roles, but cause 75 million jobs to be displaced by 2022 according to a new report from the World Economic Forum (WEF) called "The Future of Jobs 2018." This means that the growth of artificial intelligence could create 58 million net new jobs in the next few years. With this net positive job growth, there is expected to be a major shift in quality, location and permanency for the new roles. And companies are expected to expand the use of contractors doing specialized work and utilize remote staffing. In 2025, machines are expected to perform more current work tasks than humans compared to 71% being performed by humans as of now.


Big Data, Machine Learning & Artificial Intelligence SixCap Group Part 1 of 4

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