Hourly wage workers in America who do not have desks will provide the most insight into how AI affects jobs.

• In 2022, the Bureau of Labor Statistics reported that 55.6% of all U.S. wage and salary workers were paid on an hourly basis.
• A significant number of employees who work on a shift or by the hour, commonly known as "deskless workers," believe that AI has already impacted or will soon affect their jobs.
• While some experts argue that automation poses a greater threat to knowledge workers, it may be crucial for them to upskill in lower-wage tasks. However, there is no guarantee that these workers will receive higher pay for successfully completing the training.

While the job market often highlights salary-earning data analysts and software engineers, the majority of U.S. wage and salary workers are paid hourly, according to the Bureau of Labor Statistics. This includes workers in industries such as health care, hospitality, retail, and manufacturing, as well as those in the gig work economy.

A pressing question arises in the majority: What impact will the introduction of artificial intelligence have on hourly workers?

The Big Shift Report 2024 from Deputy's workplace management software company indicates that 70% of shift workers believe that AI will impact their jobs.

Since AI is digitizing general intelligence, it is predicted that there will be massive disruption to knowledge workers, unlike previous technology-led changes that primarily affected blue-collar workers.

All of these industries are staffed by hourly workers," she said, "but she foresees resilience to AI disruption in sectors requiring a human touch, like elderly care, hospitality and other services.

Doug Hammond, president of operational talent solutions at staffing and temporary work agency Randstad USA, stated that he does not enjoy the connotation of disruption, as it is often associated with a sense of impending doom.

Hammond stated that AI is driven by the rapid advancement of technology, resulting in significant improvements in productivity.

'Deskless workers' and technology

Hourly workers and their managers are actively seeking technology solutions to streamline their workflow, with 22% of hourly workers expressing interest in using AI and 23% already experimenting with AI tools, according to the latest annual report from Branch.

Deputy's clients, including Ace Hardware and Dutch Bros Coffee, are requesting more engagement tools to keep their hourly workers connected to the workplace, as they often feel disconnected due to their shift work nature and lack of technological advancements in their field.

According to Hammond, shift-work industries have been undergoing automation for years, transitioning from individuals to machines to computer-driven processes. For instance, robotics-enabled sorting and small item picking are increasingly being used in the logistics industry, which has traditionally relied on hourly workers on the warehouse floor. However, Hammond emphasizes that this does not mean replacement. Instead, it presents opportunities for workers to upskill into higher-level decision-making roles such as robotics maintenance, planning, and strategy.

He stated that the addition of this feature would enhance productivity, benefit both the economy and workers' well-being, and lead to an overall positive impact.

Beyond employers and employees, the education and training system is a crucial stakeholder in the labor market megatrend, according to Hammond. He emphasized that employers need a skilled workforce to run their businesses, and if they cannot find them at an affordable wage rate, they will have to invest in upskilling. In essence, employers must either find or create the required labor force.

The focus on upskilling for employees may lead to personal success, but it is uncertain if long-term compensation will increase to match the new set of responsibilities that replace automated tasks.

A tight global job market

The global labor market is expected to remain competitive, with experts predicting that companies will continue to compete for workers. The number of unemployed individuals in member-countries of the Organisation for Economic Co-operation and Development, including the U.S., U.K., and 36 other countries, reached a record low of 33.2 million last year. While poly-employment, or having more than one job, has increased significantly for shift workers since 2021, there are only 24 hours in a week. To benefit all parties, increasing the value of an individual's work and optimizing their time through technology could be effective solutions.

Martincevic is optimistic that digitizing shift work will address a significant market failure, as indicated by the BLS projection that over 800,000 new home health and personal care aide jobs will be created in the next decade.

She stated that this decade will see an emphasis on hourly workers providing services that require human interaction.

The hourly workforce is experiencing high turnover, with 62% of employees planning to leave their jobs in the next year, according to Legion's latest State of the Hourly Workforce report.

All workers, including hourly employees, strive for a sense of significance in their jobs. The more unique someone feels, the more fulfilled they will be at work, according to Hammond. "People are driven by doing work that they believe has meaning and allows them to show their worth," he explained.

If AI can help individuals move up the value chain, it could have a significant impact. However, early surveys suggest that this is a big "if." According to experts, it is up to organizations and the economic system to determine whether workers who invest in upskilling will receive tangible rewards.