IMF Chief Warns AI Hitting Labor Market "Like a Tsunami" at Davos

Summary

IMF Managing Director Kristalina Georgieva told CNBC at the World Economic Forum in Davos that AI is "hitting the labor market like a tsunami, and most countries and most businesses are not prepared for it." Georgieva estimated that on average 40% of jobs are "touched by AI" — either enhanced, eliminated, or significantly restructured — while acknowledging that AI could boost global growth by 0.8%. The warning came after a year in which AI was cited as a contributing factor to nearly 55,000 U.S.