Payroll data shows a relative decline in entry-level employment in AI-exposed occupations
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Brynjolfsson, Chandar and Chen, using administrative data from the largest United States payroll processor, reported that workers aged 22–25 in the most AI-exposed occupations had experienced a relative employment decline — 13% in the first circulated version and 16% in a later one — after controlling for firm-level shocks, while employment for older workers in the same occupations and for workers in less exposed occupations held steady or grew. It is the single most-cited piece of evidence that generative AI is displacing labour, and it is an association measured at one entry point in one country's payroll panel.
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- Labour-market effects of machine learningevidence_for
- Machine-generated codeconcerns
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- Story
- Brynjolfsson, Chandar and Chen, using administrative data from the largest United States payroll processor, reported that workers aged 22–25 in the most AI-exposed occupations had experienced a relative employment decline — 13% in the first circulated version and 16% in a later one — after controlling for firm-level shocks, while employment for older workers in the same occupations and for workers in less exposed occupations held steady or grew. It is the single most-cited piece of evidence that generative AI is displacing labour, and it is an association measured at one entry point in one country's payroll panel.
- Knowledge
- Machine-generated code
- Labour-market effects of machine learning
- Payroll data shows a relative decline in entry-level employment in AI-exposed occupations
- Connections
- Labour-market effects of machine learning
- Machine-generated code
- Machine translation
- Machine-generated code
- Measured adoption of AI by firms
- Payroll data shows a relative decline in entry-level employment in AI-exposed occupations
- A whole-labour-market analysis finds no economy-wide disruption yet
- The second International AI Safety Report reports mixed labour findings
- Radiologist workforce projections and employment outlook, against the 2016 prediction
- Labour-market effects of machine learning
- The transformer architecture
- METR
- A randomised trial finds experienced developers slower with AI assistance
- Payroll data shows a relative decline in entry-level employment in AI-exposed occupations
- The second International AI Safety Report reports mixed labour findings
- The AI Index records both fast benchmark movement and doubts about benchmarks
- Introducing SWE-bench Verified
- Evidence
- Using high-frequency administrative payroll data from the largest United States payroll software provider, workers aged 22–25 in the most AI-exposed occupations show a relative employment decline — reported as 13% in the circulated version and 16% in a later version — since the widespread adoption of generative AI, after controlling for firm-level shocks, while employment for more experienced workers in the same occupations and for workers in less exposed occupations remained stable or grew. V55 verification basis: no version of the paper was fetched. The 13% and 16% figures, the age band, the data source and the controlling strategy were carried in search results attributing them to the Stanford Digital Economy Lab paper; the divergence between the two figures reflects successive versions and is stated here rather than resolved, because the later version was not retrieved.
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