NY Fed survey reveals workers are demanding higher salaries as AI threatens job security

Source Cryptopolitan

A Federal Reserve Bank of New York survey shows that more workers are uneasy about losing their jobs. Their fears are tied to companies threatening to replace their positions with AI. Nonetheless, these anxieties haven’t caused job seekers to lower their salary demands.

The New York Fed asks up to 1,000 people about their employment outlook every quarter. The latest results showed that 4.4% of workers think they might be out of a job within several months. This has hit a record high, particularly the highest number since March 2020, at the outset of the pandemic.

However, these job security fears are not enough to deter job seekers from lowering their salary demands. Workers won’t accept a new role for less than an average of $81,147, a jump of nearly $20,000 since March 2020. This is the so-called reservation wage, the minimal wage some would accept for a new job.

AI and economic uncertainty add to workers’ stress

Workers’ concerns are not unfounded. It’s no news that advancements in AI and other economic challenges are threatening people’s livelihoods. Analysts have described it as the “perfect storm” for mass unemployment, as per Korn Ferry’s recent report.

Klarna’s CEO, Sebastian Siemiatkowski has also said he hopes AI will replace 1,800 employees one day, and that’s not too far off. On the other hand, Tech giant Cisco also laid off thousands of employees this year as part of a drive to invest more in AI.

Still, most of the workers feel stuck in their jobs. On wages and career opportunities, Fed data shows widespread discontent among women, people without college degrees, and households making less than $60,000 a year.

Moreover, some are even demanding higher pay from new employers while they can because there are fewer chances of promotion.

More workers are seeking new jobs than during the Great Resignation 

The job market has become concentrated with challenges now as more people are actively looking for new jobs.

The Fed’s survey shows that 30% of respondents said they were searching for jobs, compared with 19% last summer. That’s the highest number of job seekers since March 2, 2014, when 32% of professionals were looking for an exit.

During the pandemic in March 2021, 4 million US citizens quit their jobs, while 20% of the people in the Fed’s survey were looking for new workplaces.

Workers are currently changing jobs at a record 7.1% rate. As compared to the Great Resignation, only less than 5% of workers switched to new companies.

A Step-By-Step System To Launching Your Web3 Career and Landing High-Paying Crypto Jobs in 90 Days.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Natural Gas sinks to pivotal level as China’s demand slumpsNatural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
Author  FXStreet
Jul 01, Mon
Natural Gas price (XNG/USD) edges lower and sinks to $2.56 on Monday, extending its losing streak for the fifth day in a row. The move comes on the back of China cutting its Liquified Natural Gas (LNG) imports after prices rose above $3.0 in June. It
placeholder
The $589 XRP Dream: Believers Aren’t ‘Delusional’ Enough, Expert SaysA known market analyst sees the $6 per coin prediction for XRP crypto being claimed by some experts as too conservative.
Author  NewsBTC
Dec 17, Tue
A known market analyst sees the $6 per coin prediction for XRP crypto being claimed by some experts as too conservative.
placeholder
FTX’s Sam Bankman-Fried is Potentially in Consideration for a Presidential PardonSam Bankman-Fried (SBF), the former CEO of the bankrupt crypto exchange FTX, is at the center of speculation about a possible presidential pardon.
Author  Beincrypto
19 hours ago
Sam Bankman-Fried (SBF), the former CEO of the bankrupt crypto exchange FTX, is at the center of speculation about a possible presidential pardon.
placeholder
Nasdaq 100 Rebalancing: Apple and Nvidia Poised for Gains with Increased Weight?​Insights – Following the Nasdaq 100 rebalancing, Apple and Nvidia are expected to attract additional fund inflows.
Author  Mitrade
16 hours ago
​Insights – Following the Nasdaq 100 rebalancing, Apple and Nvidia are expected to attract additional fund inflows.
placeholder
Forbes releases 7 major predictions for crypto in 2025The year 2024 has set up the crypto industry to become a serious topic in the international landscape. With the industry inching closer to 2025, Forbes outlined seven key predictions for significant events anticipated in the coming year.
Author  Cryptopolitan
12 hours ago
The year 2024 has set up the crypto industry to become a serious topic in the international landscape. With the industry inching closer to 2025, Forbes outlined seven key predictions for significant events anticipated in the coming year.
goTop
quote