Technological innovations, known as the “automation” movement, dramatically changed the American workplace beginning in the mid-20th century. Among other things, companies’ greater utilization of machines and computers to perform tasks in America’s factories and offices significantly reduced the need for human labor. For example, as a 1970 study of automation’s impact noted, Cleveland, Ohio’s Electric Company, using automatic devices, dramatically increased its kilowatt-hour production using one-fourth the manpower employed in the previous system.
In today’s world, artificial intelligence, also known by its acronym AI, poses an even greater challenge to human workers than the previous automation movement. As an Aug. 13, 2025, article published on the CNBC website noted: “Artificial intelligence has emerged as a key tool for companies to drive growth — reduce labor costs — particularly as pressure mounts for businesses to remain competitive.”
It has been predicted that over the next 18 months, AI will begin to significantly replace human labor in such realms as entry-level white-collar positions; jobs that require manual or repetitive tasks, such as warehousing, manufacturing and food service; and middle-tier skilled jobs, such as legal assistants, paralegals and financial analysts.
Besides the obvious economic implications of artificial intelligence for human workers, the psychological dynamics of this transition are equally significant, especially considering that many adults’ sense of identity is linked with their occupation.
