AI job loss fears overhyped by White House advisor

David Sacks, the White House’s advisor on AI and cryptocurrency, has dismissed the widespread fear that artificial intelligence will lead to mass job losses. In a recent post on X, he emphasized that AI still heavily relies on human input, particularly through prompting and iterative verification, to create real business value [1]. Sacks argued that while AI can handle mid-level tasks, it is humans who manage the broader workflow and ensure outcomes align with business goals [2].

The discussion comes after a Microsoft study identified 40 roles most at risk of being replaced by AI, including knowledge-based positions such as news analysts, technical writers, and customer service representatives—some of which are also found in the cryptocurrency industry [3]. The study analyzed 200,000 anonymized Microsoft Bing Copilot user interactions to understand how AI is currently being used in practical settings like information gathering, writing, and advising. Reporting and writing roles were found to be among the most affected, with AI applicability scores between 0.38 and 0.39, while more data-centric roles, such as market research analysts and data scientists, had lower scores [4].

Sacks echoed a similar sentiment expressed by Balaji Srinivasan, the former chief technology officer of Coinbase. Srinivasan argued that AI is not yet truly autonomous and that it enhances rather than replaces human labor. He pointed out that newer AI models often replace older ones—such as GPT-4 succeeding GPT-3—but do not eliminate the need for human oversight [5]. Both Sacks and Srinivasan suggest that AI’s role in the workforce is more about evolving tools than replacing workers entirely.

In July, the US Department of Labor reported the addition of only 73,000 new jobs, below the 100,000 estimate by Dow Jones. In the crypto industry, the job growth was similarly modest, with just 38 new positions listed on CryptoJobsList.com and 69 on Remote3.co [6]. These figures highlight a slow-moving labor market, though they do not indicate a direct correlation with AI adoption or its impact on employment.

Sacks’ and Srinivasan’s views provide a more measured perspective on the future of work in the AI age. While certain tasks may be increasingly automated, the role of human judgment, oversight, and adaptability remains central to leveraging AI for business success.

Source: [1] Cointelegraph (https://cointelegraph.com/news/david-sacks-says-ai-job-loss-overhyped)

[2] X (https://x.com/davidsacks?lang=en)