As artificial intelligence reshapes the workplace and redefines productivity, one thing is becoming increasingly clear: AI may not be the great equalizer many once hoped for.

The AI Economy

AI is accelerating a longer-term economic shift: the transition of value from labor to capital. As AI systems become more autonomous and capable of handling complex tasks, fewer workers are needed to produce the same—or more—output. This reduces the bargaining power of labor and increases the return on capital for those who own the technology. For instance, in customer service, AI-powered chatbots and virtual assistants are increasingly taking over the roles of entry-level agents. Swedish fintech firm Klarna recently reported that its AI system was able to perform the work of 700 agents just one year after laying off that exact number of agents. The company gained efficiency but at the cost of hundreds of human jobs.

While early studies indicate that AI can enhance the performance of novice workers, especially in structured roles such as tech support or writing-intensive tasks, those same workers may soon face the highest risk of displacement. As AI matures, companies may no longer need to hire and train newcomers. They will need better machines.

Skills, Access, and the False Promise of "Upskilling"

Policymakers need to take proactive measures to ensure that AI does not exacerbate existing inequalities. While AI literacy and job retraining programs are a good start—and frequently championed—they only scratch the surface. Learning to use AI requires time, stability, and reliable access to technology, which are resources that are not evenly spread across different communities. Moreover, even for those who do manage to adapt, there is no guarantee that it will be enough. As machines become increasingly capable of performing tasks once reserved for humans, the skills that are relevant today may become obsolete tomorrow.

A New Kind of Inequality

Currently, it is high earners who are receiving the most significant boost from AI. Lawyers, engineers, and consultants—those already working behind screens with access to advanced tools—are utilizing AI to streamline research, automate tedious tasks, and accomplish more in less time. For them, AI is a personal assistant.

That said, workers in manual labor, hospitality, agriculture, and other hands-on jobs are being left out because AI does not yet fit neatly into the work they do. This technological wave is distinct in its sheer scale of ambition. Unlike past tools that augmented human labor, frontier AI models are designed to replicate and even surpass it. OpenAI, for instance, aims to build systems that "outperform humans at most economically valuable work." In a world where machines can do everything, what is left for people to do?

This possibility raises existential concerns about economic agency, human worth, and societal organization. If income from labor continues to decline and AI-driven gains primarily accrue to capital owners, how will countries maintain an inclusive economy? What happens when the rewards of innovation are no longer shared?

Sharing the Benefits

To avoid a future of deepening inequality, policymakers need to take proactive steps now. That includes:

  • Expanding AI access and training for workers across sectors.
  • Creating mechanisms to equitably share AI-driven productivity gains, such as worker ownership models or AI dividend programs.
  • Strengthening the safety net to support workers displaced by automation.
  • Regulating AI development to ensure it complements rather than replaces human labor wherever possible.

AI holds extraordinary promise. However, without deliberate intervention, it could reinforce existing inequities and create new divides that countries worldwide are unprepared to manage. The future of work does not have to leave people behind; instead, communities must learn to adapt and grow with AI.