Government report says AI not causing mass job lay-offs, yet

The report looked at how Australia's job market has changed since the release of ChatGPT. (Unsplash: Kaitlyn Baker)

The Department of Employment and Workplace Relations examined how occupations exposed to AI have changed since late 2022.

The government says it will conduct regular monitoring of the job market to pick up any future changes.

Amid warnings that artificial intelligence could wipe out white-collar jobs and cause high-profile lay-offs, the federal government's first major look at AI's effect on employment has found the sky is not falling.

According to the first-of-its-kind report from the Department of Employment and Workplace Relations, Australia's job market remains strong but there are some early signs of weakening around jobs predicted to be most affected by the technology, such as telemarketers.

It comes amid growing public anxiety about AI and employment, with thousands of Australian tech workers laid off this year in cuts linked to AI.

"Artificial intelligence could yet reshape the jobs market in Australia, but this report shows labour market conditions remain strong by historical standards, youth outcomes have mostly held up, and occupational reshuffling has not accelerated," she said.

Amanda Rishworth says while AI could reshape the job market, it is yet to do so. (ABC News: Mark Moore)

However, the minister said the Albanese government would monitor the market and regulate AI to harness its benefits for Australian workers.

The government's report takes a bird's-eye view of how Australia's job market has changed since the release of ChatGPT in November 2022, based on labour market data and statistical analysis.

While the market is in a strong position overall with low unemployment, the government's analysis includes evidence that could be the early signs of AI's impact.

It looked at the difference between growth in industries believed to be exposed to AI, including registry clerks, telemarketers and administrative roles.

A new economic report by consultancy firm Deloitte says the AI "winners" will be organisations that combine human and machine strengths, with recruiters saying human judgement will still be key.

Employment in the occupations most exposed to AI grew by 5.6 per cent between November 2022 and February 2026, the report found, compared with 9.5 per cent in the least-exposed occupations.

The report suggested that jobs exposed to AI had about 2 per cent lower employment by February this year than they would have under a pre-ChatGPT trend.

But the report repeatedly cautioned that it was not definitive proof AI