A recent study by the Chartered Institute of Personnel and Development (CIPD) has identified the occupations most vulnerable to replacement by artificial intelligence (AI) in the upcoming year. According to the research, approximately 17% of employers anticipate a decrease in their workforce due to AI, with a majority (62%) pointing to roles such as clerical, junior managerial, professional, and administrative positions as the most likely to be impacted.
The survey of over 2,000 employers also revealed that a quarter of large private sector firms expect a reduction in their workforce, compared to 17% in the private sector and 20% in the public sector. Among those anticipating job cuts, 26% foresee a loss of more than 10% of their workforce, while 22% of employers intend to make redundancies in the final quarter of 2025. However, 61% have plans to recruit for new positions.
James Cockett, a senior labor market economist at CIPD, emphasized the transformative potential of AI in enhancing productivity but also highlighted the importance of retraining and upskilling workers across all levels and age groups. He stressed the need for a national initiative to equip individuals with the necessary skills for an AI-dominated economy and urged the government and employers to prioritize long-term workforce planning and skill development to facilitate a smooth transition amidst the increasing adoption of AI technology.
In related news, the UK’s unemployment rate rose to 5% in the three months leading up to September, marking an increase from the previous three-month period. The Office for National Statistics (ONS) reported that this level was the highest since August 2016, excluding the distortions caused by the pandemic.
For further insights, the full CIPD report can be accessed here.