Recent research indicates that Australians are increasingly anxious about potential job losses attributed to artificial intelligence (AI), with six out of ten expressing fears that generative AI could replace their roles. According to the AI Maturity Index published by ServiceNow, Australia appears to be regressing in its AI readiness, dropping 10 points over the past year.

A survey involving 560 senior leaders across the country revealed that only one-third of businesses (33%) have established a clear vision for AI integration, while 43% possess formalised data governance policies. Projections suggest approximately 670,000 jobs may be automated by 2030, intensifying concerns about workforce displacement.

The report attributes this anxiety and the lack of preparedness to a failure among Australian business leaders to develop comprehensive strategies for adopting new technologies and to invest in upskilling their workforce. Findings indicate that only 37% of organisations have the requisite skills and talent necessary for the successful execution of AI initiatives.

AI Anxiety Drivers

Many Australian businesses are reportedly navigating a precarious position, ramping up AI investments without clear strategic plans and metrics, thereby jeopardising profit margins and employment security. With developments in generative AI progressing swiftly, the report warns that Australians risk lagging behind in a significant technological shift unless action is taken.

The report states that Australian organisations have a limited time frame of five years to implement an effective AI strategy that not only harnesses the benefits of automation for financial and productivity gains but also ensures job security and growth through workforce upskilling. This requires establishing concrete guidelines, yet the survey found that 71% of business leaders are not identifying the skills needed to operationalise an AI strategy.

Furthermore, nearly two-thirds (63%) of surveyed leaders lack the resources and talent within their organisations to successfully pursue their AI objectives.

Strategic Rationale for New Technology Adoption

ServiceNow emphasises that leveraging AI offers significant commercial and strategic advantages. In contrast to Australia, which is expected to see a modest growth rate of 37% with approximately 150,000 new technology roles, India’s workforce is anticipated to grow by 95% by the end of the decade, driven by digital transformation and a robust talent pool. This stark difference highlights the urgent need for Australia to align with the ambitious target of 1.2 million new tech roles by 2030 set forth by the Tech Council.