Treasury AI Report: Productivity Boost and Employment Risks

Serdar HocamAuthor & Editor

While noting that artificial intelligence could boost productivity in Australia, the report emphasized risks for high-skilled jobs and the necessity of keeping pace with the global transformation.

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Treasury tips AI as key driver of productivity growth

According to a new report prepared by the Australian Treasury, artificial intelligence stands out as the most significant potential force capable of increasing the country's productivity growth by an annual rate of 1.2 percent by 2030.

The Productivity Potential of Artificial Intelligence

According to the briefing note presented by the Treasury, artificial intelligence is described as a tool capable of delivering significant productivity gains in both the public and private sectors. Experts state that this technology could be a way out against the weakening labor productivity and low gross domestic product growth seen in recent years.

Risks for High-Skilled Jobs

The report reveals that, unlike previous technological developments, artificial intelligence could disrupt and put at risk particularly high-skilled, non-routine, and cognitive jobs in an unprecedented manner.

Global Competition and Regulatory Barriers

While it is stated that Australia's prosperity depends on keeping pace with the global artificial intelligence transition, the Australian Chamber of Commerce and Industry argues that businesses are prevented from capitalizing on AI opportunities due to existing regulations and taxes.