Impact of Artificial Intelligence on the Labor Market and Youth Employment in Germany
According to a study conducted in Germany, while employment for experienced workers increased in professions where artificial intelligence is widespread, full-time job opportunities for young people declined.
A new study published by the Institute for Employment Research in Germany found that in occupational fields where artificial intelligence technologies are used intensively, employment among workers aged 30 to 65 increased, whereas the full-time employment rate for young people in the 20-29 age group declined by 1.2 percentage points.
Scope of the Study and General Findings
The Institute for Employment Research in Germany shared the results of its comprehensive study examining the effects of artificial intelligence on the labor market with the public. Based on monthly data of an average of 22.3 million full-time workers covered by social security, this study determined that overall employment in professions with a high impact of new technologies recorded greater growth compared to other areas.
Employment Differences by Age Groups
According to the research results, employment growth was approximately 6 percentage points higher in the 30-39 age group and approximately 5 percentage points higher in the 40-64 age group. In contrast, it was announced that a reverse trend was observed in the 20-29 age group, with full-time employment among young people declining by 1.2 percentage points.
Experience Advantage and Remote Work Effect
Experts emphasized that the professional experience and strong reasoning ability possessed by older workers provide them with a significant advantage in utilizing artificial intelligence. It was stated that the suitability of high-potential professions for remote work complicates the adaptation processes of newly hired young people.
Economic Stagnation and Sectoral Risks
IAB researcher Oliver Schlenker stated that new technologies currently play a secondary role in this decline in youth employment, emphasizing that economic weakness is the primary factor. Michele Dinelli noted that the risks of technological transformation affect young people without academic education and the manufacturing sector.