MIT AI Risk Repository · domain 6: Socioeconomic & Environmental

6.2 Increased inequality and decline in employment quality

Widespread use of AI increasing social and economic inequalities, such as by automating jobs, reducing the quality of employment, or producing exploitative dependencies between workers and their employers.

Risk entries
55
Frameworks citing it
12
Recorded incidents
6
Incidents since 2020
3
Causal entity (risk entries)
Causal entity (risk entries) 25 0 Human: 25 Human 25 AI: 18 AI 18 Other: 11 Other 11 Not coded: 1 Not coded 1
Causal entity (risk entries)
LabelValue
Human25
AI18
Other11
Not coded1
Intent (risk entries)
Intent (risk entries) 23 0 Other: 23 Other 23 Intentional: 19 Intentional 19 Unintentional: 12 Unintentional 12 Not coded: 1 Not coded 1
Intent (risk entries)
LabelValue
Other23
Intentional19
Unintentional12
Not coded1
Timing (risk entries)
Timing (risk entries) 40 0 Post-deployment: 40 Post-deployment 40 Other: 8 Other 8 Pre-deployment: 6 Pre-deployment 6 Not coded: 1 Not coded 1
Timing (risk entries)
LabelValue
Post-deployment40
Other8
Pre-deployment6
Not coded1
Recorded incidents per yearIncident date; current year partial
Recorded incidents per year 1 0 2014: 1 2014 1 2015: 1 2015 1 2016: 1 2016 1 2021: 1 2021 1 2023: 1 2023 1 2024: 1 2024 1
Recorded incidents per year
LabelValue
20141
20151
20161
20211
20231
20241
Entries by levelRisk categories, subcategories and additional evidence coded to this subdomain
Entries by level 48 0 Risk Category: 7 Risk Category 7 Risk Sub-Category: 48 Risk Sub-Category 48
Entries by level
LabelValue
Risk Category7
Risk Sub-Category48
  • Job loss/losses

    "Job loss/losses - Replacement/displacement of human jobs by a technology system, leading to increased unemployment, inequality, reduced consumer spending, and social friction."

    A Collaborative, Human-Centred Taxonomy of AI, Algorithmic, and Automation Harms (Abercrombie2024) · AI · Other · Post-deployment

  • Labour exploitation

    "Labour exploitation - Use of under-paid and/or offshore labour to develop, manage or optimise a technology system."

    A Collaborative, Human-Centred Taxonomy of AI, Algorithmic, and Automation Harms (Abercrombie2024) · Human · Intentional · Other

  • Societal destabilisation

    "Societal destabilisation - Societal instability in the form of strikes, demonstrations and other types of civil unrest caused by loss of jobs to technology, unfair algorithmic outcomes, disinformatio...

    A Collaborative, Human-Centred Taxonomy of AI, Algorithmic, and Automation Harms (Abercrombie2024) · AI · Other · Post-deployment

  • Societal inequality

    "Societal inequality - Increased difference in social status or wealth between individuals or groups caused or amplified by a technology system, leading to the loss of social and community wellbeing/c...

    A Collaborative, Human-Centred Taxonomy of AI, Algorithmic, and Automation Harms (Abercrombie2024) · AI · Other · Other

  • Political instability

    "Political instability - Political polarisation or unrest caused by increased inequality, job losses, over- dependence on technology making societies vulnerable to systemic failures, etc, arising from...

    A Collaborative, Human-Centred Taxonomy of AI, Algorithmic, and Automation Harms (Abercrombie2024) · Human · Other · Post-deployment

  • Economic

    "AI is predicted to bring increased GDP per capita by performing existing jobs more efficiently and compensating for a decline in the workforce, especially due to population aging, the potential subst...

    The Rise of Artificial Intelligence - Future Outlooks and Emerging Risks (Allianz2018) · AI · Intentional · Post-deployment

  • Increased income disparity

    "While AI is predicted to bring increased GDP per capita by performing existing jobs more efficiently and compensating for a decline in the workforce, especially due to population aging, the potential...

    The Rise of Artificial Intelligence - Future Outlooks and Emerging Risks (Allianz2018) · AI · Other · Post-deployment

  • Effects on the Workforce

    "Rapid advances in LLMs pose three distinct sets of challenges for workers’ incomes (Korinek and Stiglitz, 2019; Susskind, 2023). First, they are likely to accelerate the rate of job turnover and disr...

    Foundational Challenges in Assuring Alignment and Safety of Large Language Models (Anwar2024) · Other · Unintentional · Post-deployment

  • Effects on Inequality

    "LLMs could potentially worsen socioeconomic inequalities (Capraro et al., 2023). Effects on inequal- ity are closely linked to the effects of LLMs on workers but ultimately depend on how the fruits o...

    Foundational Challenges in Assuring Alignment and Safety of Large Language Models (Anwar2024) · AI · Unintentional · Post-deployment

  • Global Economic Development

    "Many of the themes and challenges that we discussed above come together when analyzing the socioeconomic effects on developing countries. The workforce of developing countries may suffer from a retre...

    Foundational Challenges in Assuring Alignment and Safety of Large Language Models (Anwar2024) · Other · Unintentional · Post-deployment

  • Labour market risks

    "Unlike previous waves of automation, general- purpose AI has the potential to automate a very broad range of tasks, which could have a significant effect on the labour market. This could mean many pe...

    International Scientific Report on the Safety of Advanced AI (Bengio2024) · AI · Other · Post-deployment

  • Labour market risks

    "Current general-purpose AI is likely to transform the nature of many existing jobs, create new jobs, and eliminate others. The net impact on employment and wages will vary significantly across countr...

    International AI Safety Report 2025 (Bengio2025) · Other · Other · Post-deployment

  • AI-based automation increases income inequality

    "It seems quite plausible that progress in reinforcement learning and language models specifically could make it possible to automate a large amount of manual labour and knowledge work respectively [3...

    A Survey of the Potential Long-term Impacts of AI: How AI Could Lead to Long-term Changes in Science, Cooperation, Power, Epistemics and Values (Clarke2023) · Human · Intentional · Post-deployment

  • Labour market disruption

    "Economists view disruption and displacement in labour markets as one of the risks through which rapid advances in AI may affect citizens and reduce social welfare.170"

    Capabilities and Risks from Frontier AI (DSIT2023) · Other · Other · Other

  • Labor Manipulation, Theft, and Displacement

    Major tech companies have also been the dominant players in developing new generative AI systems because training generative AI models requires massive swaths of data, computing power, and technical a...

    Generating Harms - Generative AI's impact and paths forwards (EPIC2023) · Human · Intentional · Other

  • Job Automation Instead of Augmentation

    "There are both positive and negative aspects to the impact of AI on labor. A White House report states that AI “has the potential to increase productivity, create new jobs, and raise living standards...

    Generating Harms - Generative AI's impact and paths forwards (EPIC2023) · Human · Intentional · Post-deployment

  • Devaluation of Labor & Heightened Economic Inequality

    "According to a White House report, much of the development and adoption of AI is intended to automate rather than augment work. The report notes that a focus on automation could lead to a less democr...

    Generating Harms - Generative AI's impact and paths forwards (EPIC2023) · Human · Other · Post-deployment

  • Economic Harms

    "These harms pertain to an individual’s or group’s economic standing. At the individual level, such harms include adverse impacts on an individual’s income, job quality or employment status. At the gr...

    The Ethics of Advanced AI Assistants (Gabriel2024) · AI · Other · Post-deployment

  • Building an AI able to adapt to humans

    "This category involves almost 9% of the articles and deals with ethical concerns arising from AI's capacity to interact with humans in the workplace."

    What Ethics Can Say on Artificial Intelligence: Insights from a Systematic Literature Review (Giarmoleo2024) · Other · Other · Other

  • Human rights harms from exploitation of human labour

    Risk Sources and Risk Management Measures in Support of Standards for General-Purpose AI Systems (Gipiškis2024) · Not coded · Not coded · Not coded

  • Inequality

    "More broadly, bad decisions or errors by AI tools could lead to discrimination or deeper inequality"

    Future Risks of Frontier AI (GOS2023) · AI · Unintentional · Post-deployment

  • Impact on labor markets (job loss and displacement)

    "Currently, a significant share of workers (three in five) worry about losing their jobs entirely to AI in the next 10 years—particularly those who already work with AI. Some studies conclude that AI...

    Regulating under Uncertainty: Governance Options for Generative AI (G'sell2024) · AI · Unintentional · Other

  • Labor displacement - Economic impact

    The literature frequently highlights concerns that generative AI systems could adversely impact the economy, potentially even leading to mass unemployment. This pertains to various fields, ranging fro...

    Mapping the Ethics of Generative AI: A Comprehensive Scoping Review (Hagendorff2024) · AI · Unintentional · Post-deployment

  • Impact on Jobs

    "Widespread adoption of foundation model-based AI systems might lead to people's job loss as their work is automated if they are not reskilled."

    AI Risk Atlas (IBM2025) · Human · Unintentional · Post-deployment

  • Human exploitation

    "When workers who train AI models such as ghost workers are not provided with adequate working conditions, fair compensation, and good health care benefits that also include mental health."

    AI Risk Atlas (IBM2025) · Human · Other · Pre-deployment