A recent study conducted by the Chartered Institute of Personnel and Development (CIPD) has unveiled the occupations most vulnerable to displacement by artificial intelligence (AI) within the next year. Findings from a survey of over 2,000 employers indicate that approximately 17% anticipate a reduction in their workforce due to AI, with the majority (62%) identifying clerical, junior managerial, professional, or administrative positions as the most likely to be impacted.
Concerningly, 26% of employers in large private sector enterprises foresee a decrease in their workforce, compared to 17% in the private sector and 20% in the public sector. Among those anticipating job cuts, 26% expect to lose more than 10% of their workforce, while 22% of employers plan to make staff redundant between now and December 2025. However, 61% of employers plan to recruit for new positions during the same period.
James Cockett, a senior labor market economist at CIPD, emphasized the transformative potential of AI in enhancing productivity but cautioned against the risk of leaving many employees behind. He stressed the need for a national initiative to retrain and upskill individuals of all career stages to adapt to an AI-driven economy. Cockett also called for increased government and employer focus on long-term workforce planning and investment in skills to facilitate effective AI integration in roles or transitions to new occupations.
Meanwhile, the UK’s unemployment rate rose to 5% in the three months leading up to September, marking the highest level since August 2016 when excluding pandemic-related fluctuations. This economic landscape underscores the urgency for proactive measures to address the evolving job market dynamics influenced by AI.
For further insights, the complete CIPD report can be accessed here.