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Is AI slopifying the job market? (Two Indicators)

Planet Money

2025/12/03
Planet Money

Planet Money

2025/12/03
The rise of artificial intelligence is transforming the world of work, particularly in white-collar industries where automation is reshaping hiring practices, job availability, and economic equity. From sweeping predictions about job losses to real-world experiments with AI recruiters, the labor market is undergoing a quiet but profound shift—one that echoes past technological revolutions while raising new questions about fairness, efficiency, and human dignity in employment.
AI is rapidly changing white-collar work, with some leaders predicting massive job displacement, especially in entry-level tech roles. While historical parallels like the Industrial Revolution show both productivity gains and social costs, today’s challenge lies in ensuring AI's benefits are fairly distributed. Research suggests AI could reduce labor’s share of income by 5%, favoring those with technical skills. Meanwhile, companies like PSG are turning to AI-driven recruitment tools such as 'Anna,' an AI interviewer that outperformed humans in candidate satisfaction, reduced bias, and improved hiring outcomes. These advancements signal a shift not just in who gets hired, but how hiring is done—pushing human recruiters toward more strategic roles while raising deeper ethical and structural questions about the future of work.
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AI will replace half of U.S. white-collar workers
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AI could lead to a 5% drop in the labor share of income in knowledge work
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Anna reduces time spent by recruiters on initial candidate screening
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78% of candidates chose AI interviews over human interviews