"Artificial intelligence" were undeniable buzzwords in 2023. But as the year comes to a close, plenty of business leaders are still scratching their heads about how to best implement the powerful tool into their day-to-day operations.
Employees and job seekers, however, are steps ahead of them.
A tech-savvy workforce has become even more desirable to C-suite leaders who are struggling to make the most of AI's capabilities. In fact, they're willing to pay more for workers who are already skilled in AI, giving those applicants added power in their job search. Plus, generative AI has proven a fast and reliable way to strengthen applications, resumes, and cover letters.
As we revisit some of our top tech coverage of the year, catch up on the many ways AI is a good thing for the workforce — and push those fears of job elimination aside.
1. Job creation
Ninety-two percent of employees agree that in order to stay competitive their companies will have to shift to an AI-first approach in the next year, according to newly released research from IT solution provider Avanade. But rather than AI replacing jobs, 64% of business and IT leaders actually believe that AI will maintain or even increase the number of human roles at their organization in 2024, with most expecting headcount to increase by up to 9%.
"This is not about job replacement, it's about task replacement," says Erik Barnett, North American digital healthcare and life sciences lead for Avanade. "There's been so much conversation around the notion of replacing people's jobs when the data seems to prove and support that we still need people, just in different ways."
2. Higher pay for tech skills
The pay gap between tech jobs and other occupations has widened by 36% in just a year, according to a recent report from tech insights platform BizReport. In fact, AI-related jobs offer 77.53% higher salaries than other occupations, as more and more employers work to keep up with the proliferation of AI in the workplace.
"This data is indicating a growing recognition of the value of AI skills in the job market," says Young Pham, a project manager for BizReport. "The widening pay gap between tech and non-tech roles also underscores the influence of AI across industries and suggests that the salary conversation at large will increasingly revolve around the importance of AI expertise."
3. Better cover letters
According to the American Staffing Association, nearly 40% of job seekers have used AI tools to apply for jobs — and as AI capabilities continue to grow, so will the number of people utilizing it. But job seekers may still be nervous about integrating AI into their search because the technology itself seems confusing or because they fear hiring managers can tell. Bottom line: Those anxieties shouldn't stop people from using AI, says Keith Spencer, career expert at job search platform Flexjobs.
"The job search is incredibly time-consuming, especially if you're doing it the right way," he says. "If you're taking the time to really analyze job postings, and then tailor your application materials, meaning your resume and your cover letter, that's going to take you a lot of time. So in my experience, using AI to support your efforts is incredibly viable."
4. Smarter resumes
Today, 97% of employers use applicant tracking systems in their recruitment processes, which weed out resumes that aren't closely aligned with keywords and skills listed in job descriptions. Employees should take advantage of AI to potentially outsmart these bots, while also leveraging their skills and experience in the most effective way.
"A big point of frustration for job seekers is that they're not getting a positive response to their resumes, but one of the biggest mistakes is not tailoring your resume for each individual job to which you applied," says Keith Spencer, career expert at Flexjobs. "But there are some things you could do to tailor more effectively, and using AI as a job search assistant can be a game changer."
5. Employee empowerment
It's tough to talk about AI without talking about OpenAI — and while the year's drama at the leading tech company won't directly impact job seekers, it sends a huge signal about how much power employees still hold within the workforce.
On Friday, November 17, Open AI's board of directors released a vague and unanticipated statement about the CEO's departure, expressing a lack of confidence in his ability to lead. In response, more than 95% of OpenAI's employees signed a letter on November 20 demanding Altman's return, threatening to leave the company otherwise. The next day, he was back as chief exec, and a new initial board was put in place.
"Whether we like it or not, the power is in the hands of the employees," says Anita Grantham, head of HR at BambooHR. "We saw the relationship drastically change in 2020 when everybody really wanted to be heard and in the case of OpenAI, we really saw it manifest."