AI Job Disruption Worries Grow Amid Uncertainty Over Regulatory Role

Anthropic CEO Dario Amodei has expressed concerns about the potential impact of AI on employment, predicting that up to 20% of entry-level white-collar jobs could disappear in five years. However, economists are skeptical about his claims, citing limited evidence and arguing that the labor market is adapting to technological changes.

Amodei’s warning comes as policymakers grapple with implementing regulations for AI development and deployment. The CEO believes that officials are “sugar-coating” the potential risks of AI-driven job displacement, which he says could lead to significant unemployment.

Despite concerns from Amodei, various reports suggest that business leaders are taking steps to prepare for an AI-driven future. A recent report by the World Economic Forum found that nearly half of organizations plan to reorient their business models toward new AI-driven opportunities, while 47% expect to transition employees from AI-disrupted roles.

However, economists point out that AI has had a limited impact on employment in the past and argue that the labor market is adapting to technological changes. A recent study published by Yale University found that highly-exposed occupations experience relatively lower demand compared to less exposed occupations, leading to an overall increase in employment across all occupations.

Despite these findings, some experts acknowledge the potential risks of AI-driven job displacement and emphasize the need for policymakers to take action. “We have experienced two and a half years with AI chatbots diffusing widely in the economy,” said economist Anders Humlum. “And when we look at the data, these tools have really not made a significant difference in employment or earnings in any occupation.”

The debate over the impact of AI on employment highlights the need for careful consideration and regulation to ensure that technological advancements benefit society as a whole.

Source: https://www.theregister.com/2025/05/29/anthropic_ceo_ai_job_threat