Guaranteed Income Gains Traction as Potential Solution to Widespread AI Job Displacement

Millions in funding is being invested into artificial intelligence (AI) research and development from large tech giants, and the developers of these tools have entered 2024 with data suggesting rapid adoption rates. 

Despite assurances from some researchers in the field, concerns over AI’s potential to displace millions of jobs globally continues to be a worry shared by many professionals. 

Prior to departing for the 2024 World Economic Forum in Davos, Switzerland, International Monetary Fund (IMF) Chief Kristalina Georgieva stated in an interview with AFP that AI is expected to affect 60% of jobs in advanced economies, and around 40% of jobs globally. 

The concept of guaranteed income, also known as universal basic income (UBI), is one response to these worries that is gaining traction as a possible solution to brace for the economic impact of AI-induced job losses. 

According to a report published by CNN, a pilot program in Stockton, California, initiated by former Mayor Michael Tubbs in 2019, provided researchers and policy makers a glimpse into the potential benefits of guaranteed income.  

The program, which provided $500 monthly to 125 low-income recipients, reported improved employment opportunities, financial stability, and health outcomes for participants. 

According to a report published by NBC News, a similar guaranteed income program runs in Richmond, Virginia, and it’s one of 35 programs running concurrently across the U.S.  

Advocates for guaranteed income, including Tubbs and prominent Silicon Valley figures such as Elon Musk, Sam Altman, and Mark Zuckerberg, believe that unconditional cash distributions could help mitigate the labor market shocks caused by advancements in AI. Current research is exploring the impact of guaranteed income on work incentives and community dynamics. 

While further research and debate are needed, the concept offers a promising avenue for ensuring a more equitable and resilient future in the face of AI’s massive impact on the global workforce.