How likely is AI to replace human workforce? Here's what Bank of England governor thinks

The intensive uptick in artificial intelligence (AI) adoption is expected to displace jobs in a manner reminiscent of the Industrial Revolution, according to Andrew Bailey, the governor of the Bank of England.

He stressed the need for the UK to ensure that training, education, and skills are in place so workers can transition into roles that utilise AI.

In an interview with BBC Radio 4's Today programme, Bailey appeared optimistic that individuals equipped with AI-related skills find it easier to secure employment. On the sidelines, he was concerned about younger, inexperienced professionals struggling to land entry-level positions due to the rise of AI.

The Bank of England higher-up questioned how AI might alter the job market pipeline, suggesting that while it may not change the types of roles currently open, it will likely make it difficult for new entrants to enter the job market.

As AI is becoming increasingly integrated into daily life and a wide range of businesses, there are growing worries about its effects on the job market.

Recent data revealed that the unemployment rate in the UK rose to 5.1% in the three months leading up to October, a significant portion of which was covered by those aged 18 to 24 years.

He further pinpointed that while AI could enhance productivity and drive economic growth, it might also lead to fewer junior positions, particularly in sectors like law and accountancy.

He admitted that while technological advancements have a history of displacing jobs, they have not necessarily resulted in mass unemployment.

Overall, Bailey stressed the importance of preparing for AI's impact on the human workforce as the technology is continuously evolving and advancing.