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AI Effect on Labour

GS Paper 4

Syllabus: Applications of Ethics


Source: HBL


Context: As AI, including generative AI like ChatGPT, becomes commercially widespread, concerns arise regarding its impact on the job market.

Studies suggest potential automation of 60-70% of employee tasks by current AI, with projections of 50% automation by 2045.

Ethical Aspects of AI’s Impact on Labour:

Ethical AspectsImplications on Labour
Job DisplacementPotential ethical concerns regarding the social and economic impact of job losses due to AI automation.
Wage InequalityEthical questions about fair compensation and addressing the widening gap in wages, particularly in easily automatable sectors.
Retraining OpportunitiesEthical imperative to provide accessible and effective retraining opportunities to facilitate workers’ transition to new roles.
Bias and FairnessEthical considerations to address biases in AI systems that may affect hiring and employment practices, ensuring fairness.
TransparencyEthical concerns about the opacity of AI algorithms, emphasise the need for clear communication and understanding of decision-making processes.
Multidisciplinary EducationEthical responsibility to provide education that encompasses technical skills along with societal, ethical, and humanistic aspects, preparing individuals for responsible AI use.
Governance and RegulationEthical imperative for establishing governance and regulations, such as the Harmonized Rules on AI, to ensure responsible and accountable AI deployment.

The evolving nature of AI prompts the need for a multidisciplinary approach in education, balancing technological advancements with ethical considerations. EU’s Harmonized rules on AI (ACI Act 2023), aim to address socio-economic benefits and potential risks. In the face of technological change, Higher Educational Institutes (HEIs) play a crucial role in preparing a multi-skilled workforce for the future.


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