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Paper D: Labour market dynamism explores the labour market implications of the Gen AI transition for entry level roles, labour mobility, displacement, and for those outside the labour force. The multi-speed adoption (Paper B) of AI technologies in Australia shows labour market adaptability (Paper C) and dynamism will be key to realising the benefits of technology.
- No clear evidence yet of declining entry-level roles due to Gen AI.
- Displacement is limited so far; most impacts involve upskilling, redeployment, and evolution of roles.
- Older workers are more likely to be in jobs with high augmentation potential, but only a few are at risk of automation.
Job Mobility vs Pathway Exposure to Gen AI
Using administrative and worker profile data, the analysis shows that most workers remain in the same occupation year-to-year, but about 15% change roles. Gen AI is expected to influence these pathways, through upskilling and reskilling, especially in occupations with high exposure to automation or augmentation.
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