Generation Artificial Intelligence (GenAI) is sweeping across industries, and although it is seen as a huge threat to many white-collar jobs, the technology's rapid advancement in manufacturing shows that blue-collar workers are also at risk of being displaced.Ed Watal, founder and head of IT strategy firm Intellibus, said that artificial intelligence is rapidly accelerating the fourth industrial revolution, and manufacturing is already transforming through automation, predictive maintenance and quality control, which is changing operations.


Watal noted that over the past few years, smart transport robots (STRs) and automated guided vehicles (AGVs) in warehouses and factories have begun to eliminate tasks such as operating forklifts, but the emergence of second-generation artificial intelligence means the technology can handle other, more complex operations currently handled by humans.

He said second-generation AI models could serve as "digital twins" of production lines or factories and could be used in production or simply run simulations without shutting down production lines or operating expensive pilot plants.

"As the second generation of AI is applied to computer vision and becomes more diverse, allowing people to upload images or videos and ask questions about them, more blue-collar jobs will be at risk," Watal said.

“These capabilities will significantly reduce the need for multiple ‘experienced’ employees as their knowledge and expertise will be captured by their ‘digital executive twins,’” he said. “A pair of digital supervisors may be able to support all maintenance or quality engineers on a given production line or plant.”

While this shift brought about by the AI ​​generation will have a significant impact on white-collar and knowledge worker jobs in manufacturing, blue-collar jobs and manual labor jobs will also be affected.

“Today, AI-powered quality tools can already provide continuous monitoring, generate problem alerts, and use them to make changes that optimize yield, significantly reducing the need for multiple quality assurance efforts,” adds Watal.

He pointed to a Goldman Sachs analysis earlier this year that suggested advances in second-generation artificial intelligence could put as many as 300,000 jobs around the world at risk due to automation, and said manufacturing companies have become early adopters of artificial intelligence.

On the other hand, Watal said AI can also be seen as a tool to bridge the gap caused by the country's ongoing labor shortage. He cited the National Association of Manufacturers' most recent quarterly survey, which showed 72% of manufacturers said their top challenge was their inability to attract and retain employees.

Vatal said that as more unions representing blue-collar workers wake up to the impact of artificial intelligence, the technology will increasingly become a sticking point in contract negotiations, as happened this year when actors and writers went on strike in Hollywood.