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AI-driven labor displacement risks to remain low in near term, Bridgewater says

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By Reuters | Updated: June 2, 2026

June 1 (Reuters) – Risks of widespread job losses from AI are expected to remain limited ​this year, according to Bridgewater Associates, ‌with constraints on computing capacity and a resilient economy blunting the technology’s near-term impact on ​employment.

Here are more details from the ​research report:

  • Adoption remains limited, with fewer ⁠than 20% of U.S. firms reporting ​AI use in any business function over ​a two-week period, concentrated largely in information, technology and professional services, Bridgewater said citing Census Bureau ​data.
  • Over 90% of AI-using firms reported ​no employment effect over the past six months, and ‌among ⁠those where it did influence staffing, more reported headcount increases than decreases, the report said.
  • Bridgewater flagged two near-term risks to ​that outlook: ​an ⁠escalation of the Iran conflict and cost pressures stemming from companies’ ​AI capital investments.
  • Even if labor ​disruption ⁠stays muted, Bridgewater warns that the lack of AI-driven economic cooling may complicate the ⁠Federal ​Reserve’s efforts to manage ​inflationary pressures in a tight labor market.

Reporting by Ragini ​Mathur in Bengaluru; Editing by Shilpi Majumdar

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