OECD Job Creation and Local Economic Development 2024: The Geography of Generative AI



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The OECD’s latest report, titled “OECD Job Creation and Local Economic Development 2024: The Geography of Generative AI”, gives an overview of the potential impacts of both automation and AI (namely generative AI) in OECD areas ; helpfully the data is available on a regional level in Ireland . The report looks at future job demands based on technology changes, and also examines the workforce needs for future “green jobs”, necessary to mitigate the effects of climate change.

 

Particular highlights in Ireland’s report include:

  • There are on average 82% more vacancies per employed person in green jobs than for the average job in Ireland compared to 29% in the OECD.

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  • Ireland experiences higher shortages among ICT jobs than for the average job, as there are on average 120% more vacancies per employed person in ICT jobs than in the average job in Ireland.
  • Around 30.8% of workers are exposed to Generative AI, meaning 20% (or more) of their job tasks could be done in half the time with the help of Generative AI. This is 4.8 percentage points more than the OECD average of 26%.

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  • Around 4.1% of workers are considered at high risk of automation, meaning over 25% of its skills and abilities are highly automatable. This is 7.9 percentage points less than the OECD average of 12%.

A particular point in the employment sector is the potential impact of AI in public employment services, as well as job recruitment practices. While AI may assist in providing efficient practices for matching potential employees and employers, and to streamline approaches to identifying job opportunities in regional areas there are also potential risks. AI may further exacerbate the biases and discriminatory practices in employment services, creating more barriers to people traditionally excluded from the labour market, such as minority ethnic groups and lone parents. The use of the Public Sector Human Rights Duty would be necessary in most cases of introducing AI in these services, with a human-rights approach that protects marginalised groups from further discrimination.

The shortages of labour, particularly in ICT and in green jobs, as well as risks to the labour market with AI and automation, should inform future assessments of training and guidance provision and job creation across specific regions in Ireland. The INOU consistently calls for the State to improve access to employment, and “Ensure unemployed people and other people distanced from the labour market are properly supported to take up meaningful education and training options” – with the increasing demands for newly skilled workers, this should be a priority to address these incoming challenges.