JPMorgan CEO issues major warning for society to prepare for AI job losses before it’s too late
It’s no secret that artificial intelligence has cost a lot of people their jobs in recent years. As far as JPMorgan Chase CEO Jamie Dimon is concerned, businesses and governments must begin preparations for dealing with people whose jobs have been displaced by AI. What this means is that such people need to be provided with an alternate job role, which Dimon believes his company has taken solid steps towards doing in the future.
“I’m not predicting [it] can be a problem. I’m simply saying now’s the time to start thinking about what you do if it does,” he said. The JPMorgan Chase boss said that his company was also using AI increasingly as the technology develops, including operating an LLM model that is used by 150,000 people every week, as per a report in Fortune. Dimon acknowledged that JPMorgan will employ fewer people in the next five years thanks to AI.
He expressed concerns over how society would react to an exodus of employees displaced by AI, but claimed that his bank was already taking crucial steps to ensure a massive redeployment of such people for a technologically fueled transition. “We have displaced people from AI, and we offer them other jobs. They are usually well-trained and highly talented, very good at things,” he explained. While Dimon believes that AI will be a huge advantage to businesses, phasing through this change will be crucial for society.
“I think the hardest thing to measure has always been tech projects. That’s been true my whole life. It’s also been true my whole life that tech is what changes everything,” he said. The JPMorgan Chase CEO also said local governments should offer incentives to companies to retrain workers. As a result, people who might have lost their jobs due to AI could get a new job without much delay.
Recently, Dimon also expressed concerns about a repeat of the financial crash that shook the country in 2008. He believes that a lot of things happening within the market and the economy right now mirror what happened in the years leading up to the crash back then. “There will be a cycle one day. I don’t know what confluence of events will cause that cycle. My anxiety is high over it. I’m not assuaged by the fact that asset prices are high. In fact, I think that adds to the risk,” he said.
“Unfortunately, we did see this in 2005, 2006, and 2007, almost the same thing. The rising tide lifts all boats. Everyone was making a lot of money. People were leveraging to the hilt. The sky was the limit,” he said. Dimon was also not pleased with some banks in the country doing “dumb things” like taking on risky loans. He remained adamant that his bank remained cautious in its approach and abided by the rules.
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