Project Insights Report

Artificial intelligence and the future of work: What do we know so far?

Partners

Laval University

Locations

Across Canada

Investment

$27,359

Published

March 2024

Executive Summary

The increased deployment of Artificial Intelligence (AI) in work and society offers tremendous opportunities in terms of innovation and productivity but has also raised concerns about its potential negative, and wide-ranging effects.

AI as a new technology that relies on data analytics and machine learning is still emerging with considerable ambiguity and uncertainty of how its application will unfold in the workplace. There are traditional fears that AI will replace jobs, tasks and exacerbate inequity and harm psychological health.

This empirical literature review focused on understanding the impact AI is having on the world of work. The systemic review of papers revealed a number of common research themes, notably:

  • efforts to better understand the implications of AI on equity, diversity and inclusion;
  • implications of AI’s application in the workplace in terms of employee oversight and use of personal data and how this is affecting worker anxiety and psychological distress.

The review, however, also highlighted that few studies have examined the important role that human resource (HR) strategies and managers have in the implementation of AI and mitigating workplace risks.

The findings of this research also underscore that organizations need to better consider employees’ perspectives and their well-being regarding AI implementation. More research is needed to better understand the changing roles of HR professionals in mitigating the risks induced by the implementation of AI in the workplace.

Key Insights

Organizations need to better consider employees’ perspectives regarding AI implementation, notably regarding its time and pace.

As AI gains traction, it will be important to monitor employee well-being and organizational culture.

More research is needed to better understand the changing roles of the human resource personnel in managing AI.

The Issue

Technological change is having profound impacts on most aspects of society. The widespread adoption of technology, notably the recent and rapid deployment of AI across a number of sectors is bringing forth both challenges and opportunities.

At the same time, AI is still emerging as a technology and there is a high degree of uncertainty of how it will affect jobs, their skills composition and the workplace, more generally. Even less is known on how the deployment of AI, and its implications, will unfold across sectors and regions.

The purpose of the systematic literature review was to take stock of some of the key prevailing literature regarding the interaction between AI and the world of work. In particular, the aim of the research was to shed light on the emerging themes in this area and to identify future research needs, as well as key considerations on AI and work for policy makers and practitioners.

Software engineer writing code

What We Investigated

This research project aimed to better understand the impacts of AI on workers’ jobs and their psychological health. In particular, this research project – by looking at the prevailing academic literature – sought to examine the following:

  • how are AI technologies transforming the nature of work; and
  • in what way are these technological changes affecting employee psychological health, engagement and performance.

What We’re Learning

The research revealed a number of important lessons and learnings. First, it will be important for organizations to prioritize employee views when integrating AI, focusing on the implications on employee health, power dynamics, readiness for change, psychological environment, and organizational culture.

Second, to address some of these potential implications, the introduction and deployment of AI should be timed strategically, possibly starting with simple enhancements and moving towards a graduated implementation.

Finally, the review of the literature on the interaction between AI and the workplace pointed to a number of knowledge gaps. In particular, more empirical studies are needed to delve deeper into understanding the evolving roles of employees, managers, and HR professionals as the take-up of AI intensifies. Additional insights are also needed on how employees address challenges presented by AI, especially in shared leadership and decision-making processes.

Why It Matters

Previous iterations of technological change such as automation, the onset and deployment of robots, etc. have caused significant disruption in the world of work. And while there is evidence to suggest that technological innovation of this sort has led to overall positive net job creation, it has left some individuals, regions and sectors more vulnerable to the adverse consequences of technological change than others.

However, much like the technologies before it, the benefits and drawbacks of AI are not yet fully understood. As such, an improved understanding of the workplace implications of AI will be pivotal to ensuring that reaping its economic and social benefits, while mitigating distributional consequences, especially as regards an equity, diversity and inclusion lens.

Moreover, as industries and societies evolve with AI integration, a thorough understanding of its implications will be crucial for shaping education, training programs, and regulations. This will ensure that advancements are balanced, benefiting both employees and organizations, while also upholding ethical standards and adapting to the changing nature of work.

a city at night with a big crowd of people walking around and their faces being scanned.

State of Skills:
Unleashing AI into the Skills Development Ecosystem

FSC-supported AI tools have bolstered outcomes in skills matching, career development guidance, and recruitment. The overall effectiveness of these tools was underpinned by recognizing and mitigating the inherent bias and discrimination embedded into these technologies.

Insights Report

PDF

FSC Insights

Have questions about our work? Do you need access to a report in English or French? Please contact communications@fsc-ccf.ca.

More from FSC

Research

Adoption Ready? The AI Exposure of Jobs and Skills in Canada's Public Sector Workforce

This project investigates how artificial intelligence adoption could affect Canada’s public sector workforce, examining whether AI is more likely to assist workers with job tasks or automate those tasks entirely.
A woman in a grey blazer and a man in a blue shirt sit on wooden tiered seating, focused on a digital tablet they are holding together in a modern, sunlit atrium.
Research

Pathways to Opportunity: Addressing Barriers to Labour Force Participation in a Changing World of Work

Pathways to Opportunity is an evidence-informed pilot that supports social assistance clients facing complex barriers to employment. This report describes the service model, its rationale, objectives, and key elements.
Team members collaborating around a desktop computer in a modern office, reviewing work together.
Research

Labour Market Experiences of Canadians with Mental Health Conditions and Cognitive Differences

This project examined how Canadians with mental health conditions and cognitive differences experience and navigate the labour market, and how their outcomes differ from those of workers with no condition.
View more

How to Cite This Report
Chan, G., McDonough, L. (2024) Project Insights Report: A Program for Young Moms in Northern Manitoba. Toronto: Future Skills Centre. https://fsc-ccf.ca/projects/a-program-for-young-moms-in-northern-manitoba/