AI drives productivity with minimal job loss in New Zealand

New research conducted by the AI Forum of New Zealand, alongside Te Herenga Waka Victoria University of Wellington and Callaghan Innovation, indicates that artificial intelligence (AI) is significantly boosting productivity with minimal job displacement across Aotearoa, New Zealand. This research marks the country's inaugural biannual snapshot of AI adoption.

"We're excited to release this important research, which provides a clear and evidence-based understanding of how AI is being used and the effect it is having on productivity across Aotearoa," stated Madeline Newman, Executive Director of the AI Forum of New Zealand.

The study reveals that 67% of respondents are already utilising AI, notably generative AI, with an overwhelming majority (96%) reporting increased worker efficiency. Over half of the respondents noted positive financial outcomes due to AI integration. In terms of employment, the survey found that AI fosters new career opportunities while also reshaping existing roles, with job displacement being minimal and financial costs largely manageable.

Newman elaborated on the misconceptions surrounding AI, saying, "AI is often surrounded by hype and misconceptions, which can lead to unrealistic expectations or unwarranted fears. Our research was designed to offer a reality check on what exactly AI is delivering for businesses, and the results are encouraging."

The key findings of the report highlight the high adoption rate of AI among businesses in New Zealand, its role in driving worker efficiency, and its financial benefits. Furthermore, while financial concerns were noted, the expenses related to AI adoption were found to be largely manageable. The minimal job displacement reported signifies that AI is not replacing jobs on a large scale but rather transforming the work environment and creating new opportunities for workers.

One of the main reasons for conducting the survey regularly is to provide a robust, data-driven foundation for decision-making. "Policymakers, business leaders, and academics need accurate, up-to-date information to make informed decisions about AI investment, regulation, and integration," stated Newman. This data is a significant resource for understanding AI's practical effects and guiding future decisions.

Newman emphasised that this research is just the beginning of an ongoing effort. "This is just the beginning of an ongoing journey. Our research will continue to illuminate the real impact of AI, ensuring that New Zealand businesses and policymakers are well informed and can make the best decisions for our future."

The report's launch event is scheduled to be held at Victoria University of Wellington. This event aims to further discuss the findings and implications of the report, providing a platform for stakeholders to explore the impact of AI on productivity and strategic decision-making.