Simon Johnson to Chair UK AI Institute as AI Cuts Call Centre Staffing by 12.5%-25%
Updated
Updated · Financial Times · Jun 22
Simon Johnson to Chair UK AI Institute as AI Cuts Call Centre Staffing by 12.5%-25%
2 articles · Updated · Financial Times · Jun 22
Summary
Simon Johnson, the Nobel laureate and former IMF chief economist, will chair a new UK AI Economics Institute aimed at helping policymakers steer AI toward higher wages rather than deeper inequality.
Johnson said the institute will use government and company data to track who loses jobs, who gains new tasks and whether AI adoption is widening labour-market polarisation, especially for younger and lower-middle-income workers.
He argued the main risk is not mass unemployment but broad white-collar displacement, citing reports that call centres now need six or seven workers for every eight before and that firms may cut headcount through attrition.
Johnson said highly skilled workers above an expertise threshold are becoming more productive with AI, while entry-level roles such as junior coders, lawyers and research assistants look increasingly vulnerable.
For the UK, he sees a chance to turn its services-heavy economy and strong universities into AI-driven products and jobs, but said governments must actively shape adoption because the technology is spreading too fast to stop.
Can 'pro-worker' AI truly thrive when automation offers companies a faster path to profit?
With AI's power concentrated in a few nations, how can the rest of the world avoid digital dependency?
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The UK’s AI Revolution: Strategies to Harness $15.7 Trillion in Economic Growth and Protect Jobs
Overview
Artificial intelligence is driving major economic transformation, and the UK is responding with a clear strategy. The government is investing heavily in AI adoption and infrastructure, including £100 million for the Bridge AI program, which connects British companies with local AI developers and supports skills development. Additional funding is set aside for initiatives like the Tech Town programme, which boosts regional growth through AI Growth Zones. These efforts show the UK's focus on fostering innovation, building a skilled workforce, and supporting domestic AI industries to ensure the country benefits from the opportunities AI brings.