JPMorgan Chase CEO Jamie Dimon warns that artificial intelligence (AI) could lead to mass job displacement in the United States and that a solution requires action from both government and business.
This comes as the White House grapples with how to regulate AI without stifling innovation as companies race to deploy automation tools that could reshape millions of jobs.
″[If] all of a sudden it creates unemployment, that’s a big problem for society,” Dimon said.
Dimon said that while he doesn’t know the answer, it would involve collaboration from government and business.
“But the government could create a system of incentives that business does the right thing to retrain people, early retirement, moving people ... if we have the right system in place, we can accommodate much quicker.”
He also warned that economic changes from AI will happen rapidly and that it may occur faster than other recent technological developments that disrupted the economy and workforce, like the internet.
“This one may be quicker ... so therefore, can we accommodate the people if they lose their jobs quick enough?” Dimon said.
Dimon’s warnings come as he has taken steps at JPMorgan Chase to shift employees into new roles as automation accelerates and as big banks begin to reduce hiring as AI continues to develop.
Washington has taken some small steps to deal with the issue of job displacement and automation.
This includes senators Josh Hawley and Mark Warner introducing a bill that requires major companies and the federal government to report quarterly on AI job loss.
A new White House policy framework on AI asked Congress to develop legislation to support workers in the AI transition.
