A joint report released by the International Labour Organization (ILO) and the World Bank on Wednesday reveals the potential impact of artificial intelligence (AI) on the employment market in Latin America and the Caribbean.
The report indicates that approximately 2% to 5% of jobs in the region are at risk of being fully automated by AI, while 26% to 38% of positions could be affected by generative AI. Research shows that women in the formal sector and young employees face a higher risk of being replaced by AI, a trend particularly evident in the most unequal regions of Latin America and the Caribbean.
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The report emphasizes that the widespread informal economy and low-wage jobs in the region exacerbate inequality. However, gaps in digital infrastructure and other inequities may limit the potential impact of generative AI in the region.
Nevertheless, the study also points out the positive impacts that AI could bring. About 8% to 14% of jobs could see increased productivity due to AI, with the greatest benefits in urban areas, education, and the formal sector, particularly among high-income groups.
This report highlights the dual nature of AI technology development in Latin America. It could not only exacerbate existing socio-economic inequalities but also serve as a driver for increased productivity and economic growth.