Elizabeth Warren Warns AI Could Disrupt 'Half The Workforce,' Says 'Can't Wait Until People Lose Their Jobs'

Sen. Elizabeth Warren (D-Mass.) warned that rapid advances in artificial intelligence could reshape or eliminate a large share of jobs, arguing that policymakers must act now rather than wait for widespread layoffs to hit workers.

AI Job Disruption Warning And Data Center Tax

On Wednesday, in a post on X, Warren said, "If AI could disrupt half the workforce, we can't wait until people lose their jobs to act."

She added that companies benefiting from AI should help offset the impact, saying, "The companies profiting from AI should help cushion the disruption."

Warren also proposed targeting the infrastructure behind AI, calling for taxes on data centers that power AI systems.

AI Job Loss Fears Overstated, Experts Say

Earlier, Apollo Global Management (NYSE:APO) Chief Economist Torsten Sløk said there was "zero evidence" AI had caused job losses in the U.S., pointing to strong hiring in AI-related roles and data center construction.

He said the AI boom had supported jobs and inflation and argued efficiency gains often increase overall demand.

David Sacks also backed an argument from Goldman Sachs CEO David Solomon that AI would transform work rather than eliminate it.

Solomon said AI could automate parts of work but would also create new jobs, with labor shifting rather than disappearing, as in past technological changes.

SkyBridge Capital founder Anthony Scaramucci added that AI would reward workers who learn to use it, saying it could boost productivity and even enable shorter workweeks over time.

US Job Cuts Rise

U.S. employers announced 83,387 job cuts in April, up 38% from March, according to Challenger, Gray & Christmas.

Meta Platforms Inc. (NASDAQ:META) CEO Mark Zuckerberg said AI investment had contributed to planned layoffs as the company shifted spending toward infrastructure, forcing workforce reductions.

Last year, Microsoft Corp. (NASDAQ:MSFT) also cut about 9,000 jobs as part of broader cost-control measures.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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