Morgan Stanley predicts AI to replace tasks not workers

As artificial intelligence reshapes the workplace, Morgan Stanley predicts most employees won’t retire early or become permanently unemployed, but they will need to train for jobs that don’t yet exist.

The company's report comes at a time when there is increasing concern that AI may automate millions of white-collar jobs, with tech industry leaders Elon Musk, OpenAI CEO Sam Altman, and Anthropic CEO Dario Amodei issuing warnings.

According to Morgan Stanley analysts, other technologies that were seen to change the way labour is used but did not replace it were electrification, the computer, and the internet. 

For example, spreadsheets were seen to automate bookkeeping, but new jobs were created in finance. In the same way, AI is seen to change job types, occupations, and needed skills.

Morgan Stanley predicts the following potential future positions: executive-level chief AI officers, AI governance specialists for data compliance and security, blended product manager-engineer roles, AI personalisation strategists, predictive maintenance engineers, and computational geneticists in health care. As AI adoption grows, these new roles will become central to corporate strategy and operations.

The company states that "Fears of broader disruptions are overstated, as services and cyclical sectors represent only 13% of S&P 500 market cap." However, economists say that AI may be different, as it may be able to automate cognitive functions.

While early adopters of technology are benefiting financially, the real question is whether the adoption of AI will provide as many jobs as it creates.