Impact of AI on employment in manufacturing industry

Abstract

Artificial intelligence (AI) is the most significant technological revolution since we entered the 21st century. It has become a new focus of public attention and international competition. Industrial integration with AI technology not only brings vast opportunities for transformation and upgrading of enterprises but also has an impact on employment structure. Focusing on the fusion of the manufacturing industry integrating AI, we analyze the integration progress of AI and segmented manufacturing industries, describe a supply-and-demand situation of labor market with different skills, and discuss the impact of AI technology on manufacturing employment theoretically. Then we construct the propensity score matching–difference-in-difference model, divide intelligent manufacturing enterprises into various categories, and inspect the influences on the employment structure of different segmented manufacturing enterprises before and after integrating AI technology. Finally, we put forward efficient methods of transformation and upgrading of manufacturing enterprises and practical suggestions to solve problems on employment structure.