Modern Day Employment and the Role of AI
Promoting full and productive employment for all is the eighth Sustainable Development Goal. Robots, the Internet of Things, and sophisticated data analysis are examples of intelligent production variables that are changing the dynamics of labour supply and demand.
Examining how artificial intelligence technology affects the employment market is especially crucial in China, a rising nation with a sizable population and labour force. A two-way fixed-effect model and the two-stage least squares method are used to study the impact of AI on employment and to evaluate its heterogeneity, using panel data from 30 Chinese provinces between 2006 and 2020.
The introduction and installation of artificial intelligence technology as represented by industrial robots in Chinese enterprises has increased the number of jobs. The results of some mechanism studies show that the increase of labour productivity, the deepening of capital and the refinement of the division of labour that has been introduced into industrial enterprises through the introduction of robotics have successfully mitigated the damaging impact of the adoption of robot technology on employment. Rather than the traditional perceptions of robotics crowding out labour jobs, the overall impact on the labour market has exerted a promotional effect.
The positive effect of artificial intelligence on employment exhibits an inevitable heterogeneity, and it serves to relatively improve the job share of women and workers in labour-intensive industries. Mechanism research has shown that virtual agglomeration, which evolved from traditional industrial agglomeration in the era of the digital economy, is an important channel for increasing employment. The findings of this study contribute to the understanding of the impact of modern digital technologies on the well-being of people in developing countries.
To give full play to the positive role of artificial intelligence technology in employment, we should improve the social security system, accelerate the process of developing high-end domestic robots and deepen the reform of the education and training system.
Conclusion
AI has aided in reducing any negative effects and promoting job growth by improving labour productivity, expanding capital investment, and streamlining the division of labour. The fact that technology has expanded employment possibilities for women and those in labour-intensive sectors shows how differently it affects the workforce even more. To make the most of AI, policymakers should focus on improving social security, supporting local AI research, and updating education and training programs to help people gain the skills needed for future jobs. Proactively, they can guarantee that AI offers greater opportunities and sustainable employment possibilities.
