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from Ray Schroeder, Senior Fellow at UPCEA

Upskilling, Reskilling, or Retiring: Responding to the Advent of AI

The anticipated replacement of human workers with Generative AI (GenAI) apps has begun. Earlier this year IBM announced about 8,000 layoffs amid an AI-powered initiative.

As reported by Byte magazine, Cisco is among a group of other tech companies that most recently announced layoffs:

“Despite tech conglomerate Cisco posting $10.3 billion in profits last year, it’s still laying off 5,500 workers as part of an effort to invest more in AI, SFGATE reports. It joins a litany of other companies like Microsoft and Intuit, the maker of TurboTax, that have used AI as justification for the mass culling of its workforce. The layoffs at Cisco came to light in a notice posted with the Securities and Exchange Commission this week, affecting seven percent of its staff. In a short statement, CEO Chuck Robbins used the term “AI” five times, highlighting the company’s efforts to keep up in the ongoing AI race.”

Meanwhile, ABC reported earlier this month that Cisco is expecting another large layoff of thousands of workers to be replaced by AI. “’Google’s cut back, Microsoft’s cut back. So this would not be unique for Cisco,’ said North Carolina State University economist and professor Michael Walden. The move to reduce its workforce, which the company refers to as ‘limited restructuring,’ is said to be so that the company can focus more on its artificial intelligence (AI) efforts.”

Yet, this is only the very beginning of layoffs in business, industry, and government as GenAI develops greater multi-modal capabilities and is trained to better directly serve in public relations, marketing, accounting, and associated knowledge-worker fields.

In The Rise of AI Atlantis: A New Digital Continent, Peter Diamandis, American marketer, engineer, physician, and entrepreneur and executive chairman of Singularity University, points to the insightful predictions of industry leader Emad Mostaque, former CEO of Stability AI:

“One of the most pressing concerns about AI is its impact on jobs. Emad’s paper cites estimates that AI automation puts 300 million full-time jobs at risk. However, he’s quick to point out that new AI-related roles are sprouting up everywhere, with projections suggesting AI will create 97 million jobs by 2025 across various industries. The key, according to Emad, is adaptability and continuous learning…. As we navigate this AI revolution, let’s heed Emad’s advice: stay curious, stay engaged, and above all, recognize that we all have a role to play in shaping this transformative technology for the betterment of humanity. The future is not predetermined—it’s ours to create. The time to act is now, for as Emad warns, we have a small window of opportunity to shape the future of AI. Let’s seize it and work towards a future where AI uplifts and empowers all of humanity.”

Mostaque is not alone in predicting widespread changes in the workforce. The International Monetary Fund (IMF) reported in January AI Will Transform the Global Economy. Let’s Make Sure It Benefits Humanity. IMF Managing Director, Kristalina Georgieva, writes

“In advanced economies, about 60 percent of jobs may be impacted by AI. Roughly half the exposed jobs may benefit from AI integration, enhancing productivity. For the other half, AI applications may execute key tasks currently performed by humans, which could lower labor demand, leading to lower wages and reduced hiring. In the most extreme cases, some of these jobs may disappear.”

IMF Managing Director Georgieva goes on to suggest “Guided by the insights from the AI Preparedness Index, advanced economies should prioritize AI innovation and integration while developing robust regulatory frameworks. This approach will cultivate a safe and responsible AI environment, helping maintain public trust. For emerging market and developing economies, the priority should be laying a strong foundation through investments in digital infrastructure and a digitally competent workforce.”

Earlier this month, NVIDIA and the state of California took steps to lay a foundation for the digitally competent workforce in a public-private collaboration with NVIDIA providing substantial training and resources to the University of California System, the California State University System and the System of Community Colleges in California. My colleague and co-author in GenAI, Katherine Kerpan of the University of Illinois Chicago, spoke with the Head of Strategic Initiatives driving innovation at NVIDIA, Louis Stewart. Her assessment is that:

“California’s strategic partnership with NVIDIA is a shrewd move, poised to accelerate AI adoption and bolster the US position in the global semiconductor race. The stark decline in US chip manufacturing capacity, from 37% in 1990 to a mere 10% in 2022, as reported by the Semiconductor Industry Association, underscores the urgency of this partnership. It tackles both the supply and demand sides of the semiconductor ecosystem, fostering a pipeline of skilled talent while driving demand for advanced chips. This forward-thinking approach to partnership underscores NVIDIA’s prescience and bold leadership, as proven by its brief reign as the world’s most valuable company in June 2024, surpassing even giants like Microsoft and Apple. This powerful collaboration demonstrates how public-private partnerships can effectively address technological challenges while fortifying national competitiveness in critical industries.”

At the advent of GenAI replacement of human positions, how can you predict the likelihood that your job might be impacted by AI in the near future? American futurist and frequent speaker, Thomas Frey, based at the DaVinci Institute in Westminster, Colorado, has developed a set of 25 questions to understand how AI will affect you and your job in the future, and gain insight into the potential vulnerability of your position.

Depending upon your answers to the 25 questions, coupled with your individual circumstances and preferences, your best option may be to upskill – that is, to develop advanced or expanded skills through additional education or training. If the path forward is unlikely to be accomplished by upskilling, alternatively, it may be to reskill. According to TechTarget:

“Reskilling is the process of teaching an employee new skills to improve proficiency in their current job or move into an advanced position. It should not be confused with retraining, the process of reintroducing a prior skill to an employee who lacks recent hands-on experience with or current knowledge of that skill.” Or, given some means of financial support other than working, the best option may be to retire or to semi-retire. Wikipedia defines retirement: “Retirement is the withdrawal from one’s position or occupation or from one’s active working life. A person may also semi-retire by reducing work hours or workload.”

It is not too early to begin to consider how the rapidly-expanding capabilities and economies of AI may impact your career in the future. As Emad Mostaque suggests, there may be 97 million new jobs created associated with AI in the next year. With wise upskilling and reskilling, one of those jobs may open a new career path for you.

 

This article was originally published in Inside Higher Ed’s Transforming Teaching & Learning blog.

A man (Ray Schroeder) is dressed in a suit with a blue tie and wearing glasses.

Ray Schroeder is Professor Emeritus, Associate Vice Chancellor for Online Learning at the University of Illinois Springfield (UIS) and Senior Fellow at UPCEA. Each year, Ray publishes and presents nationally on emerging topics in online and technology-enhanced learning. Ray’s social media publications daily reach more than 12,000 professionals. He is the inaugural recipient of the A. Frank Mayadas Online Leadership Award, recipient of the University of Illinois Distinguished Service Award, the United States Distance Learning Association Hall of Fame Award, and the American Journal of Distance Education/University of Wisconsin Wedemeyer Excellence in Distance Education Award 2016.

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