SA’s entry‑level office jobs face massive AI risk, Old Mutual warns

New strategic research by Hywel George, director of investments at Old Mutual Investments, examines the long‑term implications of rapid advances in AI and robotics for economies around the world, with important relevance for South Africa.
Source:
Source: Magnific

The research suggests that cognitive roles such as administrative work, basic data processing and entry-level professional roles are among the most exposed to AI disruption.

This is relevant in South Africa, where services, back office processing and entry-level white-collar jobs form a key part of urban employment.

While roles requiring complex judgement, creativity, care and hands‑on human interaction are expected to be more resilient in the near term, the research cautions that no sector is fully shielded as technology advances.

“One of the biggest risks for South Africa is the erosion of entry-level and junior roles,” George says. “These jobs are often the first rung on the ladder for young people. If that rung is undermined, social mobility becomes even harder.”

Rethinking social policy and the social contract

The research outlines a likely progression in government responses globally, from initial denial of displacement risks to greater social spending and, eventually, debates around universal income or social dividends linked to AI productivity.

For South Africa, the research suggests early and proactive policy thinking will be critical.

“The danger is waiting until social pressure forces reactive decisions,” says George. “We need forward-looking conversations about skills, education, distribution and the role of the state in a world where work may no longer be the primary source of income for many.”

The bigger question: human purpose in an AI-driven world

Ultimately, the research argues that the most profound challenge is not technological, but human.

If machines increasingly perform both cognitive and physical work, societies must grapple with new definitions of contribution, dignity and purpose, especially in countries like South Africa, where work has often been central to social inclusion.


 
For more, visit: https://www.bizcommunity.com