Artificial intelligence is transforming how businesses operate, but experts warn it is unlikely to generate enough jobs to meet the needs of a rapidly growing global workforce.
According to World Bank estimates, 1.2 billion young people in emerging and developing economies will reach working age over the next 10 to 15 years, while only about 400 million jobs are expected to be created during the same period.
The challenge comes as AI adoption accelerates across industries. Yet a 2026 study from the National Bureau of Economic Research found that more than 80% of nearly 6,000 surveyed executives reported no measurable impact from AI on employment or productivity over the past three years.
Entrepreneurs Seen as Key Job Creators
Industry leaders increasingly argue that entrepreneurshipโnot technology aloneโwill play a critical role in closing the employment gap, according to the World Economic Forum.ย
Small and medium-sized businesses account for roughly 90% of companies worldwide and generate about 70% of employment, according to World Bank data. These firms often create jobs by adapting new technologies to local markets and developing services in sectors such as healthcare, education, agriculture, logistics, and financial services.
The issue is particularly important as investment continues flowing heavily into AI infrastructure, advanced manufacturing, and energy projects, sectors that require significant capital but typically generate fewer jobs than smaller businesses.
Youth Employment Concerns Persist
The International Labour Organization estimates that approximately 262 million young people worldwide are currently not in employment, education, or training.
At the same time, the World Economic Forum estimates that around 40% of global jobs are exposed to AI-driven change, raising concerns about how workers will adapt as technology becomes more integrated into daily work.
Experts stress that exposure to AI does not necessarily translate into job losses. However, they argue that governments and businesses will need to invest in entrepreneurship, skills development, and business infrastructure to create new employment opportunities.
Skills and Access Become Critical
Business groups are increasingly calling for greater emphasis on digital literacy, financial skills, problem-solving, and entrepreneurship rather than training workers solely for traditional career paths.
Access to capital, reliable internet, digital payment systems, and clear regulatory frameworks are also emerging as key factors in supporting new business creation.
As AI adoption expands, many economists believe the future of employment will depend less on the technology itself and more on the ability of entrepreneurs to turn those tools into businesses, services, and new sources of economic growth.
