Abstract: The dynamics of labour productivity and employment across sectors are being reshaped as a result of the emergence of artificial intelligence (AI), which has emerged as a disruptive force today. This study investigates the influence that artificial intelligence (AI) has had on the worldwide labour market, which has both positive and negative aspects. On the one hand, automation and intelligent systems that are driven by artificial intelligence may boost productivity by simplifying operations, lowering operating costs, and allowing new solutions in the areas of manufacturing, services, and logistics. The incorporation of artificial intelligence, on the other hand, raises worries about the displacement of jobs, gaps in skill sets, and pay heterogeneity. In spite of the fact that repetitive and regular work are becoming increasingly mechanised, which may result in possible joblessness in some industries, new job possibilities are emerging in the fields of artificial intelligence research, data analysis, and maintenance. On the other hand, these positions require more sophisticated abilities and ongoing training. Specifically, the report emphasizes the significance of proactive measures, such as labour reskilling, social safety nets, and ethical AI governance, in order to guarantee that everyone would benefit equally from breakthroughs in artificial intelligence. The ability of industries to achieve sustainable development, reduce the number of job losses, and improve economic resilience may be achieved via the promotion of a synergistic approach between human labour and artificial intelligence technology. This abstract highlights the fact that there is a crucial need for joint efforts across governments, industries, and educational institutions in order to harness the promise of artificial intelligence while reducing the issues that it poses for the labour market.

Keywords: Artificial intelligence, Employment, Labor market, Productivity.