- Companies that go all-in on artificial intelligence also see positive effects on the number of employees
- Entry-level roles experienced higher-than-average growth, contradicting existing research
- Workforce advancement is not immediate – AI needs time to find its place in organizations
A new report has challenged the narrative that AI adoption has led to job losses, revealing instead that the companies making the biggest investments in AI are actually growing their workforces.
The study combines the company’s AI spending from Ramp’s payments platform and workforce records from Revelio Labs to analyze more than 21,500 US companies, making it one of the largest of its kind.
It concludes that users of high-intensity AI increased their headcount by about 10% in the first two years after implementing AI, making AI good news for workers and labor after all.
AI adoption prompts companies to hire more employees
It is clear that only strong AI adoption has a positive impact on workers because companies making modest investments did not experience any significant growth.
The study also emphasizes that the effects are slow-growing – instead of seeing an immediate increase in employment, it takes time for companies to integrate AI, discover productive use cases and hire more employees.
High adopters are defined as those who invested around $33 per employee per month during the first three months after adoption, compared to about $3 for low adopters.
It also challenges other recent research, claiming that entry-level employment actually rose 12% higher than average among users of high-intensity AI. Other reports have suggested that freshmen have been among the hardest hit.
Although tech giants dominate the headlines, with Salesforce cutting nearly half of its support staff and Amazon cutting tens of thousands of employees, the Ramp/Revelio Labs report actually shows growth across more than just AI engineering roles, spanning sales, marketing, admin, finance, customer service and more.
While the research can’t be used to predict long-term workforce impacts, it at least serves as a message that workers aren’t currently at risk of total layoff, even in the midst of job role changes.
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