Think AI will replace your people? Think again.

When it comes to technology—and especially generative AI (GenAI)—there’s a tendency to underestimate the long-term impacts and overestimate the short-term benefits.

In the long term, AI has the potential to profoundly transform how we live. That might mean ending inequality, solving the climate challenge, or doing something else we haven’t envisioned. The technology’s evolving so fast that it’s impossible to predict (or understand) the scale of change that lies ahead.

The short term is a different matter. I’ve heard plenty of CEOs say, “AI means we can reduce our headcount by 60%. Let’s get started”. It’s a widely held misconception that many accept as fact. The reality, however, is far different.

Huge demand for labour

AI will likely have a far-reaching impact on workforces in every corner of the business world. The World Economic Forum cited IMF predictions that 40% of all jobs worldwide will be affected by AI. In advanced economies, that rises to 60% when the effects of machine learning on white-collar jobs are considered.

Regardless of the sector you work in, these are sobering statistics. While there will certainly be displacements, there will also be abundant opportunities.

That’s something ServiceNow, in partnership with Pearson, set out to understand. Our recent report, Impact AI: 2024 Workforce Skills Forecast, details how emerging technologies will affect work and the workforce of the future.

Crucially, and somewhat counterintuitively, even with a significant projected increase in automation, demand for labour will far exceed supply over the next five years, according to our research. Digging deeper, it’s clear that we’re going to need many more tech workers during the same period.

Where will new jobs come from?

Overall, our research shows that the disruption of AI will likely lead to a net-positive job gain. The UK Office for Budget Responsibility (OBR) estimates that the UK’s economy will grow annually between now and 2028, averaging 1.8% annually in 2027 and 2028. According to our research, more than 600,000 additional workers will be needed in the UK to support this increase, even with the productivity-boosting effects of AI.

The implication? While many roles will be automated and augmented by AI, additional jobs will be created—and greater emphasis will be placed on “human” qualities like creativity, empathy, and communication.

In this evolving landscape, the priority for organisations will be to provide targeted training opportunities that equip people to make the leap from one job to another—whether that’s within the same organisation or in a completely different industry.

Equipping people to make the leap

We’ll only get this right if we properly understand which skills are going to become more important in this new world, and which ones less so.

Within ServiceNow, for example, we know that the work of account management specialists will be significantly impacted by automation. But we also know that individuals in these roles possess (or are close to having) 80% of the skills they need to become technical project managers, which will be in high demand.

Supported by some strategic reskilling, these individuals should be able to make the move without too much difficulty. In this example, the ServiceNow Technical Project Manager Career Journey can help.

Ready to take your people into the AI era?

Chief information officers, chief human resources officers, and other leaders need to be asking themselves how they plan to update their people’s skills to address the pace of technology change.

Clear priorities should include implementing tools and programmes to identify transferable skills and create professional pathways within the workforce. Existing human networks within (and beyond) the business can be helpful here.

At the same time, new training initiatives can be used to find and recruit people from outside the tech industry with the right overlapping/complementary skills and a desire to enter the tech workforce.

Organisations that can identify roles at high risk of disruption through automation and augmentation will start to close today’s skills gaps—and support a new generation of high-value employees. We all have an important role to play.

Find out how we help organisations and individuals RiseUp with ServiceNow to accelerate talent growth.