China to Regulate AI Adoption Pace in Labor-Intensive Industries... "Prevent Mass Unemployment"
Support for job transitions and reemployment for workers displaced by AI; new job creation also in the works
The Chinese government has decided to regulate the pace of AI adoption in labor-intensive industries to prevent large-scale unemployment as artificial intelligence (AI) becomes more widespread. It aims to minimize the shock of existing jobs disappearing as AI technology advances while expanding the creation of new jobs.
According to Xinhua News Agency on October 24, the General Office of China's State Council issued an opinion titled "Opinion on Adapting to the Development of AI Technology and Supporting the Establishment of Employment-Friendly Development Models."
The policy document, drawn up on October 16, consists of 18 provisions. Its central aim is to minimize job losses resulting from AI advances and ensure that technological innovation, industrial upgrading, and employment growth develop in harmony.
The Chinese government will first encourage the introduction of AI in workplaces facing labor shortages or involving hazardous working conditions. In labor-intensive industries, however, it will carefully regulate the scope, intensity, and pace of AI adoption to minimize its impact on workers.
Companies will be encouraged to introduce an "unemployment buffer period" to protect workers at risk of losing their jobs due to AI adoption. Before introducing AI on a large scale, companies will be asked to notify affected workers and prepare employment support measures, including job transitions and reassignment.
The government will also promote the creation of new jobs through AI. It plans to foster core AI industries in eastern China and expand related industries, including data labeling and smart-device manufacturing, in central and western China.
It also plans to support startups among small and medium-sized enterprises linked to the AI industry and increase demand for workers in new occupations, such as digital administrators, AI engineers, and AI trainers.
In addition, the government will strengthen AI-related vocational training for young people, including university graduates, as well as migrant workers from rural areas and unemployed people. It also plans to improve systems for protecting workers' rights and interests and for income distribution in line with work environments that use AI technology.
The government will also establish a system to assess and monitor in advance the impact of AI adoption on the job market. It will conduct separate employment risk assessments for AI projects that could lead to large-scale job losses and prepare measures to address the risk of unemployment.
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The Chinese government emphasized, "We must effectively reduce the impact of AI replacing jobs and achieve inclusive development in which technological progress, industrial upgrading, employment growth, and improvements to people's livelihoods advance in harmony."
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