A recent report by the World Economic Forum (WEF) reveals significant shifts in the global job market, highlighting the dual impact of emerging technologies, particularly in artificial intelligence (AI), and evolving economic landscapes. Published on January 8, 2023, the report, titled “The Future of Jobs Report 2025,” draws from data provided by over 1,000 companies and outlines projections for the near future.
The WEF forecasts a complex job landscape by 2030, predicting the creation of about 170 million new roles alongside the displacement of 92 million jobs, ultimately leading to a net increase of approximately 78 million positions. This transformation is attributed to several key drivers, including technological advancements, demographic changes, geoeconomic tensions, and overarching economic pressures that are reshaping industries and occupations worldwide.
Till Leopold, head of work, wages, and job creation at WEF, discussed the implications of these trends, stating: “Trends such as generative AI and rapid technological shifts are upending industries and labour markets, creating both unprecedented opportunities and profound risks.” Leopold further emphasised the urgency for collaboration between businesses and governments to invest in skill development – essential for fostering a sustainable and equitable workforce in the face of these imminent changes.
A significant issue highlighted in the report is the ongoing skills gap, which continues to pose a considerable barrier to effective business transformation. According to the WEF, nearly 40 per cent of skills necessary for various roles are expected to change, with 63 per cent of employers identifying this skills shortfall as a primary challenge.
The report outlines a shift in skill requirements where technological competencies in AI, big data, and cybersecurity will see a surge in demand. At the same time, human-centric skills such as creative thinking, resilience, flexibility, and agility will remain crucial in the evolving job market. WEF notes that a blend of both technical and soft skills will be imperative for success in the rapidly changing environment.
Moreover, sectors such as care and education are projected to experience the highest job growth rates by 2030. The report indicates that advancements in AI and renewable energy are not only reshaping market dynamics but are also contributing to increased demand for specialist and technology-related roles. Conversely, this transformation may result in a decline of job opportunities in other fields, with graphic design, among others, being identified as a potentially vulnerable occupation.
As businesses navigate these complexities, the report suggests a need for a proactive approach to workforce development and adaptation, ensuring that both current and future employees are equipped with the necessary skills to thrive in an increasingly automated world.
Source: Noah Wire Services