CAMBRIDGE / LONDON (IT BOLTWISE) – A new study from the Massachusetts Institute of Technology shows that artificial intelligence is already capable of taking over the jobs of almost 12% of the American workforce. The researchers used the so-called ‘Iceberg Index’ to measure the automation potential of professions. The results suggest that AI can increasingly take on roles in areas such as technology, finance, healthcare and professional services.
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Artificial intelligence (AI) has the potential to fundamentally change the world of work. A recent study from the Massachusetts Institute of Technology (MIT) shows that AI is already capable of taking over the work of nearly 12% of the American workforce. The researchers used the so-called ‘Iceberg Index’ to measure the automation potential of professions. This index simulates how more than 150 million U.S. workers across nearly 1,000 occupations interact and intersect with AI capabilities.
The ‘Iceberg Index’ measures exposure to AI skills and how the rapidly emerging technology overlaps with workers’ professional skills. The study does not aim to show how many workers have already been replaced by AI or could be replaced in the future. Rather, the extent to which such tools take over work functions depends on a number of factors, including the strategy of individual companies, social acceptance and possible political interventions.
AI is already being used in various industries to take over tasks that were traditionally done by humans. Financial services providers are using AI for document processing and analytical support, while healthcare providers are adapting AI to handle administrative tasks so clinical staff can focus on patient care. Manufacturers are adopting technology for quality control, including automating inspections, and logistics companies are implementing AI to handle order fulfillment.
The study analyzed workers’ specific skills and compared them to the skills of more than 13,000 AI tools. In some cases, AI can complement human efforts, while in other areas of work the technology is far more transformative. For example, AI can streamline paperwork completion, allowing nurses to spend more time with patients. It can also produce software code quickly and accurately, forcing software engineers with limited skills to focus on other tasks.
The impact of AI on the labor market is far-reaching. AI is already taking over some of the entry-level jobs that were traditionally reserved for college graduates or relatively inexperienced workers. The researchers found that AI systems generate more than a billion lines of code every day, prompting companies to redesign their hiring processes and reduce demand for entry-level programmers. These observable changes in technology jobs signal a broader restructuring of work that goes beyond software development.
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