AI: A Friend or a Threat for Professionals in the Tech Industry?
The World Economic Forum's Future of Jobs report projects that 83 million jobs will be lost by 2027, but it also predicts the creation of 69 million new roles.
Meanwhile, Jobera notes that the tech industry saw 136,831 job losses in 2023, the highest since 2001. Despite these figures, 81% of surveyed employees believe AI enhances their work.
So, what should we think about AI in the tech industry?
It seems the impact of AI may depend on individual perspectives. If your job benefits from an AI that enhances efficiency, you might view AI as a valuable ally. However, this isn't the case for everyone, as exemplified by the concerns of Klarna’s employees (see our FinTech article in issue #499).
Despite differing opinions, 2025 is expected to bring a revitalizing breeze to the tech industry.
What Does 2025 Hold for Tech Industry Workers? The Effects of AI
Jack Kelly, a senior contributor at Forbes covering careers and job trends, suggests hiring targets for 2025 are looking up, thanks in part to the stabilization of AI's impact. The last five years have been tumultuous, influenced by COVID-19—which unnaturally inflated the industry before causing a sharp decline—and the advent of AI technologies like ChatGPT, which initially seemed poised to replace roles from developers to bankers.
Today, our understanding of what AI can and cannot do has sharpened. However, it's essential to remember that AI's primary trait is its continual evolution.
The notion of replacing humans with AI tools has not been completely abandoned, but a significant change is observable in hiring practices, shifting focus from quantity to quality.
Lower Quantity, Higher Quality
According to Karat's fourth annual survey of software engineering leaders, there is a growing emphasis on hiring skilled, high-quality workers.
Upskilling is crucial for tech professionals aiming to stay competitive and prevent their careers from being abruptly disrupted. Those proficient in coding and development have an edge; the survey noted that 41% of leaders in 2024 valued software engineers more highly than capital.
Currently, the most in-demand roles include AI engineers, data analysts, and system engineers, indicating that adaptability in managing software and AI is highly valued.
Will Artificial Intelligence Always Need Humans?
An article from the MIT Sloan Management Review Middle East titled "Why AI’s Future Depends on Human Ingenuity" highlights the indispensable role of human-machine collaboration, contingent on the development of ethical AI.
AI cannot perform or improve without human input. Critical areas where humans are necessary include:
- Detecting uncertainties in AI models,
- Enhancing user experiences by identifying specific needs and risk tolerances,
- Monitoring automation,
- Increasing the accuracy of models and reducing errors,
- Measuring user satisfaction,
- And, crucially, maintaining user trust.
In summary, AI requires human collaboration. But what kind of human involvement is needed?
To maintain an active and healthy job market without sacrificing technological advancement, we need ethical involvement.
Ultimately, as with all major technological shifts, the emphasis must be on education—upgrading skills and ethically utilizing AI are vital for understanding and positively influencing the technological landscape without undermining our achievements.
As history shows, some may fall by the wayside during major technological revolutions, but education and ethical practices can minimize these impacts.