Employment Is America’s Load-Bearing Institution, AI Will Test It | Opinion

On this Labor Day, the National Employment Law Project Chief Rebecca Dixon calls for action, urging the United States to recognize that its economy’s stability and economic security are anchored in employment. The country has historically built its resilience around the assumption that jobs will remain steady and unscathed by major disruptions.

However, artificial intelligence (AI) may soon challenge this assumption on an unprecedented scale, potentially destabilizing an array of industries and occupations in a way that has never been seen before.

AI is rapidly infiltrating workplaces across the nation, with over 45 percent of employed adults in America utilizing generative AI in their jobs by the second quarter of 2026—an increase from 35 percent just a year prior. While it is still too early to know if this will lead to widespread job loss, early signs indicate that AI may cause job quality to deteriorate and make it increasingly challenging for workers to find secure employment.

This is especially concerning for young people aged 22-25 in highly AI-exposed occupations, where job displacement may already be occurring at a significant rate.

Unfortunately, this AI-driven threat is not evenly distributed. Women, particularly women of color, are disproportionately vulnerable to these changes, comprising a majority of workers in the 15 most AI-vulnerable occupations. As the gig economy has demonstrated, AI’s influence can degrade job quality even when workers retain their positions.

If we wait for mass unemployment to materialize before taking action, it will be too late. We need to proactively reinforce our economy to withstand AI’s potential shocks, much like engineers would reinforce a bridge that shows signs of weakness.

To do this, the nation must modernize unemployment insurance to accommodate today’s labor market, where traditional job security is becoming increasingly scarce. Workers also need access to quality skills upgrading, workforce development, job training, and apprenticeship programs to mitigate the risk of permanent displacement. Furthermore, workers must be granted stronger collective power within their workplaces, ensuring they have a transparent voice in how AI systems are implemented.

California’s recent executive order serves as a promising example of proactive preparation. The state has directed agencies to monitor early warning signs of AI-driven job disruption, explore updates to the WARN Act and worker safety net programs, and consider alternative ownership models that could enable workers to share in AI-generated gains.

As we confront this looming stress test of the American economy, we must acknowledge that employment and job quality are the very foundations upon which economic security is built. By fortifying these pillars, we can ensure that the future of work and American workers remains resilient and equitable.