40% of the workforce must reskill because of AI

Creative AI models like ChatGPT can do technical tasks like writing and coding so well that many people worry they will replace their jobs. New research from IBM shows that AI technology should not be feared, but embraced.

A report from IBM analyzes how the emergence of artificial intelligence is affecting business models, specifically how AI is being leveraged to perform business operations and how it is affecting job roles.

To answer these questions, IBM drew on data from a survey of 3,000 executives in 28 countries and a survey of 21,000 workers in 22 countries. The results show that AI will certainly change the workforce and businesses, but not for the worse.

The executives surveyed estimated that 40% of their workforce will need to be reskilled in the next three years due to AI implementation issues, which is equivalent to 1.4 billion of the 3.4 billion people in the global workforce, according to the World Bank.

However, 87% of executives expect AI innovation to augment rather than replace the workforce.

IBM believes that workers who know how to use AI will replace the old workforce.

According to IBM research, those who reskilled to adapt to job changes due to AI technology saw their earnings grow by an average of 15%. And those who focused on AI reported their earnings growth was 36% higher than their peers.

The report states that AI will not replace humans, but those who use AI will replace those who do not.

The report also says the new model shifts traditionally prioritized skills like STEM (science, technology, engineering and mathematics) proficiency — which was the most important skill in 2016 — to the least in 2023. That's because tools like ChatGPT allow workers to do more with less.

Alongside AI, businesses are also placing more emphasis on human skills such as team management, the ability to work effectively in a team environment, the ability to communicate effectively, and the willingness to adapt to change, all of which are turning out to be the most important skills required of the workforce in 2023.

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