Impact of GenAI on Employment and Productivity

This report by Allianz Research discusses the transformative effects of Generative AI (GenAI) on the workplace, highlighting its potential to significantly alter job dynamics and productivity levels. It notes that approximately half of all jobs in developed nations are susceptible to changes brought about by AI, particularly in creative and non-routine roles. The report outlines the varying impacts of AI across different sectors, emphasizing that while high-skill jobs may see increased demand, lower-skilled positions are at risk of decline. The document also addresses the disparity in AI adoption between the US and Europe, indicating that Europe lags in AI integration, which may exacerbate labor vulnerabilities. Furthermore, it presents strategies for enhancing financial resilience among workers, such as encouraging investment in capital income to mitigate the risks associated with AI-driven job displacement. The report underscores the urgency of addressing these labor market challenges to foster a more equitable economic landscape.