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Artificial intelligence will affect about 60% of all jobs in the US — and worsen income and wealth inequality, the International Monetary Fund warned.

Advanced economies such as the US are at the greatest risk due to the prevalence of cognitive task-oriented jobs, the IMF said, cautioning that the disruptive technology could replace more than half the jobs available in regions that also include Canada, the UK, Japan, Germany, France and Italy.

Comparatively, AI exposure was estimated to impact 40% of jobs in emerging economies and 26% of positions in low-income countries.

“Automation…had the strongest effect on middle-skilled workers, [but] AI displacement risks extend to higher-wage earners,” the new analysis said.

IMF chief Kristalina Georgieva wrote in a blog post following the release of Sunday’s report that the rapidly-advancing technology provides opportunities to “help less experienced workers enhance their productivity more quickly.”

However, as AI is brought into the workplace, “we may see polarization within income brackets, with workers who can harness AI seeing an increase in their productivity and wages — and those who cannot falling behind,” Georgieva said.

Older workers are most at risk of losing their place to AI as they “may struggle with reemployment, adapting to technology, mobility and training for new job skills.”

In contrast, “younger workers who are adaptable and familiar with new technologies may also be better able to leverage the new opportunities.”

Georgieva called the findings “a troubling trend” that she urged policymakers to “proactively address to prevent the technology from further stoking social tensions.”

The IMF report was released as the world’s business and political leaders flew Monday to the Swiss resort town of Davos for the annual World Economic Forum.

AI is expected to be the hot topic, as The Post reported, at this year’s confab, which runs through Friday with the theme of “Rebuilding Trust.”

Global executives are increasingly worried about the long term viability of their businesses, a PricewaterhouseCoopers pre-Davos survey released Monday showed, with pressures mounting from generative artificial intelligence and climate disruption.

Some 45% of more than 4,700 global CEOs surveyed do not believe their businesses will survive, barring significant changes, in the next 10 years, the “Big Four” auditor said.

“There’s the 55% who think they don’t have to change radically, and I would argue that’s a little naive because the world is changing so fast around them,” PwC Global Chairman Bob Moritz told the Reuters Global Markets Forum ahead of the meetings.

Advancements in generative AI were top of the concerns for most survey respondents, with almost 75% predicting it would significantly change their business in the next three years.

The US continues to weigh federal regulation of the burgeoning technology after a much-hyped summit in Washington, DC, last September. TheEuropean Union, meanwhile,reached a tentative dealin December thatdrew up some guardrails.

Last April, Goldman Sachs warned generative AI — which is trained on different sets of data to learn pattern recognition — could impact as many as 300 million full-time jobs globally.

A month later, AI was blamed for nearly 4,000 Americans losing their jobs, according to the analytics firm Challenger, Gray, and Christmas, which cited market and economic conditions as well as mergers and acquisitions as key factors.

On the positive side, Goldman Sachs said that generative AI — which is seen in OpenAI’s ChatGPT, Google’s Bard and Microsoft’s Copilot — could boost GDP by as much as 7% thanks to an increase in productivity.

JPMorgan CEO Jamie Dimon also touted AI’s “tremendous” impact on the world in an interview with Fox Business last week, calling the technology “crucial.”

“It’s going to change a tremendous amount of stuff in health care alone. It may come up with new compounds. It could do a better job diagnosing diseases, preventing diseases,” Dimon told Fox.

“God knows what it’s going to do for people. It may have some downsides. It’s very hard to figure out how you should regulate it, but it might eventually have to be some regulations around it,” he added.

One of the latest breakthroughs in AI has seen the medical industry rolling out “the world’s first AI doctor’s office,” which is slated to open this year in New York and other major US metros.

Called CarePod, the doctor’s office is actually a self-service cube where patients can be screened for issues relevant to diabetes, hypertension, and depression and anxiety, according to its maker, Forward.

The high-tech health stops will reportedly be installed in malls, gyms and offices for members who pay its $99-per-month fee.

With Post wires

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Politics

£3 bus fare cap could be scrapped after December 2025, hints transport secretary

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£3 bus fare cap could be scrapped after December 2025, hints transport secretary

The £3 bus fare cap could be scrapped after December 2025, the transport secretary has suggested.

Sir Keir Starmer recently confirmed that the £2 cap, which has been in place in England since 1 January 2023, will rise to £3 at the start of next year.

The government has said the £3 cap would stay in place for another year, until December 2025.

But speaking on Sunday morning with Trevor Phillips, Transport Secretary Louise Haugh indicated the government was considering abolishing the cap beyond that point to explore alternative methods of funding.

Politics latest: Government not worried about food shortages

She said: “We’ve stepped in with funding to protect it at £3 until 31 December next year. And in that period, we’ll look to establish more targeted approaches.

“We’ve, through evaluation of the £2 cap, found that the best approach is to target it at young people.

“So we want to look at ways in order to ensure more targeted ways, just like we do with the concessionary fare for older people, we think we can develop more targeted ways that will better encourage people onto buses.”

Pressed again on whether that meant the single £3 cap would be removed after December 2025, and that other bus reliefs could be put in place, she replied: “That’s what we’re considering at the moment as we go through this year, as we have that time whilst the £3 cap is in place – because the evaluation that we had showed, it hadn’t represented good value for money, the previous cap.”

It comes after Ms Haigh also confirmed that HS2 would not run to Crewe.

The northern leg of HS2, which would have linked Birmingham to Manchester, was scrapped by former prime minister Rishi Sunak during the Conservative Party conference last year.

There had been reports that Labour could instead build an “HS2-light” railway between Birmingham and Crewe.

But Ms Haigh said that while HS2 would be built from Birmingham to Euston, the government was “not resurrecting the plans for HS2”.

“HS2 Limited isn’t getting any further work beyond what’s been commissioned to Euston,” she added.

Last month the prime minster confirmed the £2 bus fare cap would rise to £3 – branded the “bus tax” by critics – saying that the previous government had not planned for the funding to continue past the end of 2024.

He said that although the cap would increase to £3, it would stay at that price until the end of 2025 “because I know how important it is”.

Manchester mayor to keep £2 cap

The cap rise has been unpopular with some in Labour, with Greater Manchester mayor Andy Burnham opting to keep the £2 cap in place for the whole of 2025, despite the maximum that can be charged across England rising to £3.

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The region’s mayor said he was able to cap single fares at £2 because of steps he took to regulate the system and bring buses back into public ownership from last year.

He also confirmed plans to introduce a contactless payment system, with a daily and weekly cap on prices, as Greater Manchester moves towards a London-style system for public transport pricing.

Under devolution, local authorities and metro mayors can fund their own schemes to keep fares down, as has been the case in Greater Manchester, London and West Yorkshire.

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Transport Secretary Louise Haigh downplays risk of empty shelves if farmers strike over inheritance tax

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Transport Secretary Louise Haigh downplays risk of empty shelves if farmers strike over inheritance tax

Shelves will not be left empty this winter if farmers go on strike over tax changes, a cabinet minister has said.

Louise Haigh, the transport secretary, said the government would be setting out contingency plans to ensure food security is not compromised if farmers decide to protest.

Farmers across England and Wales have expressed anger that farms will no longer get 100% relief on inheritance tax, as laid out in Rachel Reeves’s budget last month.

Welsh campaign group Enough is Enough has called for a national strike among British farmers to stop producing food until the decision to impose inheritance tax on farms is reversed, while others also contemplate industrial action.

At the weekend the group held a protest in Llandudno, North Wales, where Sir Keir Starmer was giving his first speech as prime minister to the Welsh Labour conference.

Politics latest: £3 bus fare cap could be scrapped after December 2025

Asked by Trevor Phillips if she was concerned at the prospect that shelves could be empty of food this winter, Ms Haigh replied: “No, we think we put forward food security really as a priority, and we’ll work with farmers and the supply chain in order to ensure that.

“The Department for Environment, Food and Rural Affairs will be setting out plans for the winter and setting out – as business as usual – contingency plans and ensuring that food security is treated as the priority it deserves to be.”

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From April 2026, farms worth more than £1m will face an inheritance tax rate of 20%, rather than the standard 40% applied to other land and property.

However, farmers – who previously did not have to pay any inheritance tax – argue the change will mean higher food prices, lower food production and having to sell off land to pay.

Louise Haigh appears on Sunday Morning with Trevor Phillips
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Transport Secretary Louise Haigh

Tom Bradshaw, the president of the National Farmers Union, said he had “never seen the united sense of anger that there is in this industry today”.

“I don’t for one moment condone that anyone will stop supplying the supermarkets,” he said.

“We saw during the COVID crisis that those unable to get their food were often either the very most vulnerable, or those that have been working long hours in hospitals and nurses – that is something we do not want to see again.”

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Farmers ‘betrayed’ over tax change

Explaining why the tax changes were so unpopular, he said food production margins were “so low”, and “any liquid cash that’s been available has been reinvested in farm businesses” for the future.

“One of the immediate changes is that farms are going to have to start putting money into their pensions, which many haven’t previously done,” he said.

“They’re going to have to have life insurance policies in case of a sudden death. And unfortunately, that was cash that would previously have been invested in producing the country’s food for the future.”

Sir Keir has staunchly defended the measure, saying it will not affect small farms and is aimed at targeting wealthy landowners who buy up farmland to avoid paying inheritance tax.

However, the Conservatives have argued the changes amount to a “war on farmers” and have begun a campaign targeting the prime minister as a “farmer harmer”.

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‘Farmers’ livelihoods are threatened’

Speaking to Sunday Morning With Trevor Phillips, shadow home secretary Chris Philp said he was happy with farmers protesting against the budget – as long as their methods and tactics were “lawful”.

“What the Labour government has done to farmers is absolutely shocking,” he said.

“These are farmers that, you know, they’re not well off particularly, they’re often actually struggling to make ends meet because farming is not very profitable these days. And of course, we rely on farmers for our food security.

Addressing the possible protests, Mr Philp said: “I think people have a right to protest, and obviously we respect the right to protest within the law, and it’s up to parliament to set where the law sits.

“So I think providing they’re behaving lawfully, legally, then they do have a right to protest.”

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Next week farmers are expected to hold a mass protest of about 20,000 people in Westminster against the inheritance tax changes.

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Russia fires more than 200 missiles and drones at Ukraine in largest attack since August

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Russia fires more than 200 missiles and drones at Ukraine in largest attack since August

Several people have been killed after Russia launched its largest aerial attack on Ukraine since August.

More than 200 missiles and drones were deployed, Volodymyr Zelenskyy said, as he condemned a “massive combined strike” on “all regions”.

Andrii Sybiha, Ukraine’s foreign minister, said “peaceful cities” and “sleeping civilians” were targeted.

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Moscow is focused on the “energy infrastructure throughout Ukraine” and is trying to intimidate Ukrainians with “cold and lack of light”, Mr Zelenskyy said.

The president added: “The whole world sees and knows that we are defending ourselves against absolute evil, which does not understand any language but force.

“We need unity [and] the world needs unity. Only together can we stop this evil.”

A firefighter at the site of a Russian drone strike in Mykolaiv in southern Ukraine. Pic: State Emergency Service of Ukraine/Reuters
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A firefighter at the site of a Russian drone strike in Mykolaiv in southern Ukraine. Pic: State Emergency Service of Ukraine/Reuters

Two people were killed and a 17-year-old boy was injured after a Russian attack in the Black Sea port of Odesa, regional governor Oleh Kiper said.

Energy infrastructure was damaged, he said, leading to “interruptions in the supply of heat, water and electricity”.

In Mykolaiv, southern Ukraine, officials said two people were killed in a Russian drone attack.

Ukraine’s state emergency service said a multi-storey building, cars and a shopping centre were hit.

Two women were killed and six injured, including two children, it added.

In the central Dnipro region, two people died and three were wounded in a strike on a rail depot, while in Lviv, on the border with Poland, a woman was killed in a car.

Emergency services remove part of a Russian missile from an apartment building in Kyiv. Pic: Reuters
Image:
Emergency services remove part of a Russian missile from an apartment building in Kyiv. Pic: Reuters

In the capital, Kyiv, mayor Vitali Klitschko said Russian attacks had caused a fire to erupt on the roof of a residential building, injuring at least two people.

People took refuge in metro stations, while emergency services were pictured removing part of a Russian missile from an apartment block.

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The Ukrainian military said it had destroyed 102 missiles and 42 drones launched by Russia.

Hypersonic missiles were among the 120 fired at Ukrainian territory, it said.

Air defences were active in “almost all” regions of Ukraine.

Equipment at thermal power stations has been “seriously damaged” during Russian air strikes, Ukraine’s largest private energy provider said. DTEK said its staff were working on repairs.

People sheltering in a metro station in Kyiv. Pic: Reuters
Image:
People sheltering in a metro station in Kyiv. Pic: Reuters

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Russia’s defence ministry confirmed it had attacked energy resources supporting Ukraine’s military-industrial complex, Russian news agencies reported.

Poland scrambled its air force early on Sunday because of the “massive attack by the Russian Federation using cruise missiles, ballistic missiles and unmanned aerial vehicles”.

Mr Zelenskyy sent his condolences to anyone affected by the latest Russian attacks.

He said “all necessary forces” were involved in restoring power and facilities.

On Tuesday, it will be 1,000 days since Russia launched what it calls its “special military operation”.

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