An estimated 14 million jobs will vanish globally in the next five years as new technologies like artificial intelligence drive business transformation, while the rising cost of living and slow economic growth have its own impact, according to a new report.
The World Economic Forum’s Future of Jobs Report 2023 explores how jobs and skills will evolve by 2028 and shape the workplace of tomorrow. The report is based on surveys of 803 companies – collectively employing more than 11.3 million workers – across 27 industries worldwide.
The World Economic Forum’s report found that employers expect 69 million jobs to be created in the next five years, while the world will lose 83 million jobs. That results in a net decrease of 14 million jobs, or 2% of current employment.
Several factors will drive labor market churn through the end of 2027, according to the report. The three key drivers of expected job losses were identified as slower economic growth, supply shortages and the rising cost of inputs, and the rising cost of living for consumers.
Meanwhile, investments that facilitate "the green transition of businesses" and supply chains becoming more localized were identified as drivers for generating new jobs.
AI tools are expected to be adopted by nearly 75% of companies surveyed and create new jobs while eliminating others, according to the report. Some 50% of organizations said they expect it to create job growth and 25% said they expect it to create job losses.
What jobs will be most impacted in the next five years?
AI and machine learning specialists topped the list of fastest-growing jobs in the next five years, followed by sustainability specialists, business intelligence analysts and information security analysts.
The fastest-declining roles in that same timeframe were expected to be clerical or secretarial roles, such as bank tellers and clerks, postal service clerks, cashiers and ticket clerks, and data entry clerks, according to the report.
Analytical and creative thinking were deemed to be the most important skills for workers of the future, the report states. Other skills considered to be increasing in importance for employers were found to be technological literacy, curiosity and lifelong learning, resilience, flexibility and agility, systems thinking, and AI and big data.
This story was reported from Cincinnati.