New research busts 6 AI myths: Artificial intelligence makes workers 'more valuable, not less'

A PwC report analyzing over 800 million job ads challenges common fears about AI's impact on employment, finding that AI is creating jobs and increasing wages, particularly for workers with AI skills, which are compensated 56% higher than those without. The report indicates that industries exposed to AI are experiencing faster wage growth and higher revenue per employee, suggesting AI should be viewed as a growth strategy rather than solely for efficiency, enabling new jobs and business models.

Analysis

PwC's 2025 AI Jobs Barometer, derived from an analysis of over 800 million job advertisements and corporate financial reports, indicates a positive correlation between AI adoption and labor market dynamics, challenging common apprehensions. The research reveals that AI-exposed occupations are experiencing growth in both job numbers and wages, with individuals possessing AI-specific skills earning a significant 56% wage premium over their non-AI skilled counterparts in the same roles, an increase from a 25% premium observed previously. Furthermore, industries identified as "best positioned to adopt AI" have demonstrated nearly a fourfold increase in productivity growth since 2022. Concurrently, sectors with high AI exposure, such as software publishing, have reported revenue per employee growth three times higher than less exposed industries. Wages in AI-exposed industries are also rising at double the rate of those in industries with minimal AI penetration. While job growth in occupations with lower AI exposure was higher at 65% between 2019 and 2024, occupations more exposed to AI still saw robust growth of 38%. The report posits that AI should be viewed as a catalyst for growth and job creation, rather than merely an efficiency tool, potentially creating new roles and mitigating labor shortages in economies with declining working-age populations by enhancing overall workforce productivity.

Key Decisions for Investors

• Investors should consider increasing exposure to companies and sectors that are strategically leveraging AI for innovation and revenue generation, beyond simple cost-cutting measures, as these are likely to exhibit superior growth in productivity and revenue per employee.
• Evaluate portfolio companies based on their initiatives to upskill and reskill their workforce for AI-centric roles, as the substantial wage premium for AI skills highlights the critical role of human capital in realizing AI's benefits.
• Monitor labor market trends, specifically wage differentials and job creation rates in AI-exposed versus non-exposed industries, as leading indicators for shifts in economic value and sectoral performance.
• Consider the long-term macroeconomic implications of AI-driven productivity gains, which could support broader market appreciation and favor investments in economies that successfully foster AI adoption and workforce adaptation.