OECD Employment Outlook 2023
Artificial Intelligence and the Labour Market
The 2023 edition of the OECD Employment Outlook examines the latest labour market developments in OECD countries. It focuses, in particular, on the evolution of labour demand and widespread shortages, as well as on wage developments in times of high inflation and related policies. It also takes stock of the current evidence on the impact of artificial intelligence (AI) on the labour market. Progress in AI has been such that, in many areas, its outputs have become almost indistinguishable from that of humans, and the landscape continues to change quickly, as recent developments in large language models have shown. This, combined with the falling costs of developing and adopting AI systems, suggests that OECD countries may be on the verge of a technological revolution that could fundamentally change the workplace. While there are many potential benefits from AI, there are also significant risks that need to be urgently addressed, despite the uncertainty about the short- to medium-term evolution of AI. This edition investigates how to get the balance right in addressing the possible negative effects of AI on labour market outcomes while not stifling its benefits.
Also available in: French
Under pressure: Labour market and wage developments in OECD countries
The recovery from the COVID‑19 pandemic lost momentum in 2022, with employment and unemployment stabilising. Labour markets remain tight, despite signs of easing. In this context, the quality of jobs on offer has improved in some dimensions, but real wages are falling significantly in almost all OECD countries despite a pick-up in nominal wage growth. In most countries, profits have grown robustly, often more than nominal wages. Nominal minimum wages are keeping pace with inflation, but any real gains may fade rapidly if inflation remains high. In contrast, wages negotiated in collective agreements between employers or employers’ organisations and trade unions are reacting with some delay even in countries where the majority of workers are covered by a collective agreement, although a catch-up phase is expected in the coming quarters.
Also available in: French