AI Research Shows Impact on Older Workers' Careers
New research from Boston College's Center for Retirement Research indicates AI may cause older workers to leave jobs or increase their role efficiency. The findings suggest AI can influence career longevity, a factor important for retirement policy.
Artificial intelligence is beginning to reshape career trajectories for older workers, according to new research from the Center for Retirement Research at Boston College. The study suggests AI advancements may either prompt individuals aged 55 and over to leave their current positions or enhance the efficiency and sustainability of their existing roles.
The research, authored by economics professor Geoffrey Sanzenbacher, found that older workers in industries with high AI exposure are transitioning out of their jobs at a higher rate. These transitions are driven equally by unemployment and voluntary departures. "It’s a statistically significant effect," Sanzenbacher stated, noting that the impact can be substantial in certain occupations.
AI's influence on career length is projected to manifest in three primary ways. Firstly, automation may lead to the displacement of older workers, resulting in unemployment or a complete exit from the labor force. Secondly, the pressure to adopt AI technologies could encourage some workers to seek roles less impacted by these changes or to retire earlier. Conversely, generative AI could enable longer working lives by boosting productivity, potentially leading to wage increases and allowing workers to focus on more engaging tasks.
Notably, the research indicates that AI exposure might narrow the gap in career lengths between lower- and higher-paying jobs. Previously, workers in physically demanding roles often had shorter careers than those in higher-educated, white-collar professions. However, as AI increasingly impacts knowledge-based industries, this dynamic could shift.
The study defines AI exposure based on the extent to which an occupation's tasks can be performed by AI, utilizing data from the Current Population Survey and Tufts University's Digital Planet initiative. Roles such as web designers, web developers, and data scientists are identified as having the highest AI exposure, while occupations in mining and construction exhibit lower exposure.