WEF cites ‘lower economic growth, supply shortages, rising cost of inputs, surging living cost for consumers’ for major job wipeout
Employers across the globe are planning to create 69 million workplaces by 2027, while shutting down 83 million, which would result in a disappearance of 14 million workplaces or 2% of current global employment, a fresh report by the World Economic Forum has showed.
“Of the 673 million jobs reflected in the dataset in this report, respondents expect structural job growth of 69 million jobs and a decline of 83 million jobs. This corresponds to a net decrease of 14 million jobs, or 2% of current employment,” the report read.
The report said that the three key drivers of the net job destruction were expected slower economic growth, supply shortages, rising cost of inputs, and the surging living cost for consumers.
“Employers also recognize that increased geopolitical divisions and the ongoing impact of the COVID-19 pandemic will drive labor-market disruption, with an even split between employers expecting these to have a positive and negative impact on jobs,” the document also said.
It added that artificial intelligence was expected to be used by nearly 75% of those surveyed companies and was forecast “to lead to high churn – with 50% of organizations expecting it to create job growth and 25% expecting it to create job losses.”
The Future of Jobs Report 2023 includes the results of a survey conducted among 803 companies that collectively employ more than 11.3 million workers across 27 industry clusters and 45 economies from all world regions.
