Artificial intelligence is transforming the labor market, creating a new “new-collar” era that blends technical, digital, and human skills. While overall hiring remains below pre-2020 levels, demand for AI skills is growing rapidly, driving the creation of hybrid roles and over a million AI-related jobs worldwide.
Automation is not only improving efficiency but also generating new professions and entrepreneurial opportunities. Generation Z increasingly favors technical trades for their stability and resilience, as these roles integrate technology rather than disappear.
With more than 40% of current skills expected to change by 2030, continuous learning, reskilling, and AI literacy are essential to ensure inclusive growth and future workforce adaptability.
CHAPTERS: 0:18 AI Workforce 0:42 Job Market Transformation 1:05 Technical Trades 1:37 Hybrid Jobs 2:10 Digital Skills 2:56 AI Literacy 3:21 Tech Job Demand 4:03 Workforce Reskilling 5:14 New-Collar Jobs 7:02 Future Of Work
Produced by: Samantha Harvey Edited by: Jacob Smith Animation: Charlotte Brown Additional Footage: Getty Images
AI is fundamentally reconfiguring the global labor market, shifting from traditional white- and blue-collar divisions toward a \"new-collar\" era. While some sectors face hiring slowdowns, demand for AI skills is growing 70% annually. The transition emphasizes hybrid roles, continuous reskilling, and the integration of technical trades with intelligent systems to boost productivity.
The demand for artificial intelligence skills is growing 70% annually in the United States,
driving a new stage in the labor market.
They're looking to upskill their own people.
And they're saying that they would rather have an inexperienced person who knows AI
than a more experienced person who doesn't.
At the same time, this transformation not only automates tasks,
but is also giving rise to professions that did not exist just a few years ago.
Sam Altman of OpenAI is equally direct.
He has repeatedly added that AI will totally take some jobs away while creating new ones.
Meanwhile, 6 out of 10 Generation Z young people prefer technical trades
for the stability and control they offer.
More than half of Gen Z workers are seriously considering
blue-collar or skilled trade work, according to career site Zeti.
At the same time, more young people are choosing to start businesses
using digital tools that reduce costs and speed up processes.
AI is enabling founders to automate processes,
handle tasks faster, and leverage tech to scale their businesses.
Looking ahead, most current skills will change before 2030
due to the integration of intelligent systems.
Getting into artificial intelligence, another finding is that
70% of the skills that are used today in jobs by 2030 will have to change.
And everything points to the same conclusion that artificial intelligence
is not only changing the labor market, but also creating a new era of work.
So how AI is driving a new-collar era for jobs?
The labor market transformation driven by artificial intelligence
is not occurring uniformly or linearly.
While some sectors experience a slowdown in hiring and greater business caution,
others show unexpected dynamism.
In advanced economies, overall hiring remains about 35% below pre-2020 levels.
However, the demand for workers with artificial intelligence skills
has grown by nearly 70% annually.
This apparent contradiction reveals that the labor market is not contracting,
but rather reconfiguring.
In this context, the so-called AI worker era is emerging strongly,
a category that surpasses the traditional white-collar and blue-collar division.
They are not just engineers or operators,
but hybrid profiles that blend technical, digital, and human skills.
This new workforce is growing rapidly.
In the past two years, around 1.3 million AI-related jobs have been created worldwide.
There's also evidence that instead of bringing on a job apocalypse,
AI is creating more work and more jobs.
A new analysis by Vanguard finding both wage and job growth
in the past two years and occupations more exposed to AI.
For example, an AI engineer may oversee models
that process millions of data points daily.
The notion of new-collar describes a structural shift in the nature of work.
For decades, the industrial economy distinguished between manual workers
and administrative or professional workers.
For instance, a data annotator improves the accuracy of models
that influence financial, medical, or logistics decisions,
sometimes processing hundreds of thousands of data entries.
Similarly, a technology deployment specialist translates algorithmic capabilities
into concrete solutions for businesses.
Moreover, the demand for hybrid AI roles is expected to grow exponentially in the coming years.
The article, Hybrid Work Isn't Dead, It's Being Optimized,
highlights the ongoing evolution of hybrid work as a strategic approach for organizations.
Nearly 12% of job postings in the United States already require some level of AI knowledge.
For certain repetitive cognitive tasks, work can be completed up to 40% faster.
Thus, artificial intelligence acts as a catalyst for efficiency,
but also as a generator of new job functions.
During the pandemic, millions of contracts were delayed or cancelled,
slowing traditional hiring across several sectors.
Nevertheless, this slowdown does not imply a structural withdrawal.
Rather, there is a rotation toward technological skills.
Areas involving the integration of intelligent systems represent job opportunities
that could create hundreds of thousands of new positions over the next five years.
AI-powered systems are rapidly transforming industries by automating repetitive tasks,
accelerating decision-making, and boosting productivity.
And according to the World Economic Forum's Future of Jobs Report 2025,
employers expect 170 million new jobs to be created by 2030.
This rotation process requires accelerated skill updating.
It is estimated that more than 40% of current skills will change before 2030
due to automation and AI.
AI literacy is no longer limited to knowing how to program.
It includes understanding how models work, interpreting results,
assessing ethical risks, and collaborating with automated systems.
Over 50 million workers are expected to need AI skill upgrades by 2030.
What we do want to see is opportunities for someone to reskill themselves,
to learn, to gain these skills sponsored by their employer,
and be ready to meet the future moment of their jobs.
In this sense, continuous education becomes a strategic element
for both individuals and governments.
Moreover, the expansion of artificial intelligence
has lowered entry barriers for entrepreneurship.
Generative tools allow the creation of digital products
and the automation of processes at costs up to 72% lower than a decade ago.
As a result, the number of young founders has increased by more than half in the past year.
This boom is not only about independence,
but also seizing global opportunities with low initial investment.
As AI tools become more accessible,
many individuals are seeing the potential to launch their own businesses
with minimal upfront costs.
Simultaneously, Generation Z is redefining its career preferences.
Unlike previous generations that prioritized traditional corporate careers,
a significant proportion chooses technical and manual trades.
These represent roughly 65% of young professionals.
These occupations, far from disappearing due to automation,
benefit from technological integration.
For instance, installing solar panels or managing smart grids
requires both technical and practical skills.
In many sectors, demand for specialized technicians
is projected to grow by more than 53% in the next decade.
This shift toward technical trades is partly explained
by the perception of greater control and stability.
In an environment where many tasks are automated,
jobs that combine manual skill and technology are considered more resilient.
While AI brings data processing and automation skills,
humans, on the other hand,
are adding creativity, empathy, and nuanced understanding.
Together, these ingredients can cook up some great recipes.
Moreover, the shortage of technicians in developed economies
has increased wages by up to 25% in certain sectors
and reduced the gap with university degrees.
For example, a plumber in the U.S. earns around $70,000 per year.
The convergence of artificial intelligence and manual work
illustrates the essence of the AI era.
An industrial maintenance technician no longer just repairs machinery
but interprets real-time data generated by smart sensors.
An energy professional manages interconnected systems
that optimize consumption through algorithms
analyzing millions of data points daily.
Thus, the boundary between the physical and digital is blurring.
At the macroeconomic level,
investing in technological training is essential to capture AI's value
and avoid competitive lag.
For this reason, governments and companies
increase their investment in digital training by 20% to 35% annually.
The program is a joint effort between government and major tech firms
like Google, Microsoft, and IBM
and has already delivered more than one million courses since last summer.
However, the transition poses risks of widening gaps
between skilled workers and those without access to technological training.
While the creation of 1.3 million AI-related jobs is significant,
it represents only a fraction of the global total.
The key is to facilitate labor mobility
through reskilling and technical certifications
to integrate displaced workers.
Likewise, artificial intelligence redefines the notion of productivity
beyond automating tasks as it amplifies human capabilities.
Productivity growth in AI-exposed industries has quadrupled.
It has gone up by 27%.
72% of AI users say they feel more productive.
70% say the quality of their work has improved.
At the task level, AI often works.
However, the impact is not uniform,
and less experienced workers may benefit even more,
reducing performance gaps.
Studies show that employees with less than five years of experience
can increase productivity by up to 21%
when integrating AI tools into their tasks.
Consequently, the AI era does not imply massive human job replacement,
but rather its reconfiguration.
Social skills, creativity, and ethical judgment
gain greater relevance in an environment
where machines process information at high speed.
The differentiating value lies in the ability to interpret results,
contextualize data, and make strategic decisions.
And humans in the loop means the system is deliberately designed
so humans can guide it, review it, override it,
or collaborate with it at key points
instead of the AI acting completely alone.
And this matters for accuracy and quality
because humans catch things models miss.
Although hiring remains weak,
AI has created over a million jobs in two years.
Adaptation and continuous learning will determine
whether this era expands opportunities or increases inequalities.
The work of the future will depend on the ability
to collaborate with intelligent systems
in an increasingly connected economy.
If you have any questions, leave them in the comments below.