Past disruptions show Australian workers can weather AI
He is at the helm as Australia’s economy faces technological challenges, giving one minister confidence that this will also apply to the adoption of artificial intelligence.
There are real risks of employment and workforce disruptions from AI, some of which are already occurring, Treasury Deputy Dan Mulino said Monday.
Mr Mulino suggested that Australians, for example, could see a lot of jobs being created that involve empathy and human engagement.
“I can only say that there are real risks when it comes to AI and workforce and we will see job losses in certain firms and in certain sectors,” he told the Australian Financial Review summit in Sydney.
“But let’s not forget the upside potential as we have seen in the past.”
Previous waves of mechanization or technology change in the economy had ultimately led to increased participation in the labor market.
“We would imagine that we could see a reasonable, benign outcome for AI, even if it is transformative, on at least some fronts,” Mr. Mulino said on Monday.
“But let’s not forget that our economy and society have proven incredibly adept at creating new jobs and new skills in the past.”
Hundreds of jobs have been lost at Australian tech companies such as Atlassian and WiseTech, and others such as the Commonwealth Bank, in recent weeks.
Asked whether the government might consider some form of universal basic income payment to ensure security in industries where jobs are threatened, Mr Mulino said it was unlikely.
Some unions raised the issue six years ago during the COVID-19 pandemic, after millions of workers were forced to pay benefits to survive.
The Australian Greens have previously advocated for a universal basic income of around $88 a day.
“In my opinion, I would rather figure out whether there are gaps in our current welfare system where we need to expand it, or maybe provide a slightly better or better-designed safety net, rather than a UBI that would take our current welfare system and then add huge costs to it,” he said.
“I have a feeling, my gut feeling, that this would be better for our policy and for our taxpayer dollars than something universal.”
Last week, Atlassian announced it would cut 1,600 jobs in its global workforce, including 500 in Australia, as AI changes the skill mix required.
In February, WiseTech announced it would cut 2,000 jobs, and the Commonwealth Bank signaled it would cut 300 jobs as artificial intelligence reshapes workforce needs.
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