AI drives tech layoffs but boosts salaries by $18,000 in non-tech fields, study reveals
In a paradoxical twist that underscores the disruptive power of artificial intelligence, a new study has found that while AI is driving mass redundancies across the technology sector, it is also pushing up salaries in non-tech fields by an average of nearly $18,000 a year. The findings come from Lightcast’s recent “Beyond the Buzz” report, which analysed more than 1.3 billion job postings and suggests that AI is not simply replacing jobs, but redistributing value across the broader economy.As reported by Fortune, the tech industry—once the nucleus of AI development—is now among the hardest hit, with an estimated 80,000 roles eliminated, including 15,000 from Microsoft alone. These job cuts are being driven by the accelerated integration of AI across core functions like software engineering, IT support, and administration. However, Fortune notes that the very same technology fuelling these layoffs is also inflating salaries in other industries, particularly where AI is being applied to enhance—not replace—human capabilities.AI Demand Surges Beyond Silicon ValleyAccording to Lightcast’s data, over 50% of jobs requiring AI skills in 2024 are based outside the tech sector. Fields such as marketing, finance, education, HR, manufacturing, and customer service are now rapidly embedding AI tools into their day-to-day operations. Job adverts in these sectors that require AI skills are commanding an average salary premium of 28%, equating to nearly $18,000 more per year.As noted by Fortune, this sharp rise in demand is largely driven by the mainstream adoption of generative AI platforms like ChatGPT, Microsoft Copilot, and DALL-E. Job postings mentioning generative AI outside of IT and computer science have jumped a staggering 800% since 2022, with the biggest growth areas being marketing, design, education, and human resources.Cole Napper, VP of research, innovation, and talent insights at Lightcast, told Fortune that he was struck by the variety of sectors now adopting AI. He noted that even the arts, traditionally viewed as less impacted by automation, now top the list of industries demanding AI-related skills.Key AI-Related Labor Market Statistics from Lightcast Study
AI Proficiency Pays OffFor workers across the economy, proficiency in AI is proving to be one of today’s most lucrative skill investments. As Fortune reports, job seekers listing two or more AI skills can expect to see a 43% increase in advertised salaries.In 2024, more than 66,000 job postings mentioned generative AI as a requirement—a nearly fourfold increase from the previous year. According to Fortune, large language modelling ranked as the second most requested AI skill, while ChatGPT expertise and prompt engineering were the third and fourth most common, respectively.“AI isn’t just automating busywork,” said Christina Inge, founder of the AI marketing firm Thoughtlight, in a message quoted by Fortune. “It’s becoming a tool AI-fluent workers can leverage to increase their own value to a company—and to outperform their peers.” Inge cited examples such as sales professionals using AI to generate more targeted messaging, enabling them to close deals faster. The same principle applies in customer service, where AI-savvy staff can streamline queries and enhance user satisfaction.As Inge explained to Fortune, “[Customer service workers fluent in AI] know how to interpret AI outputs, write clear prompts, and troubleshoot when things go off script. That combination of human judgment and AI fluency is hard to find and well worth the extra pay.”Human Skills Still Matter in the AI EraLightcast’s findings also highlight a crucial truth: the most sought-after AI roles are not purely technical. As reported by Fortune, employers are looking for a blend of AI literacy and strong interpersonal skills—such as leadership, communication, and critical thinking. In fact, the top 10 most-requested skills in AI-focused job ads include not just machine learning and software development, but also collaboration, research, and problem-solving.As the Lightcast report, cited by Fortune, notes: “While generative AI excels at tasks like writing and coding, uniquely human abilities—such as communication, management, innovation, and complex problem-solving—are becoming even more valuable in the AI era.”This hybrid skillset is redefining what it means to be a high-value employee. Workers who can effectively pair AI tools with human creativity and judgment are quickly becoming indispensable across sectors.Winners, Losers—and a WarningThe shift is creating clear winners and losers. As AI tools take over routine tasks, tech professionals in easily automated roles—such as coding or IT support—are experiencing rising displacement. Yet for those outside the tech industry, even basic AI literacy can lead to significant career and salary advancement.Napper warned in Fortune of a “cost to complacency,” adding that failing to keep up with AI trends could result in “a significant salary cut.” While AI is eliminating certain jobs, it is also transforming countless others—and creating entirely new ones. Lightcast plans to conduct follow-up research to better understand which segments of the income spectrum are benefitting most from this trend. Napper noted it’s possible the average gains could reflect a compression of wages, with higher-paid tech roles being eliminated while entry-to-mid-level non-tech positions see moderate pay increases.AI: Risk for Some, Opportunity for MostFor companies, the implications are just as profound. Treating AI as a niche technical function is now a competitive risk. Winning organisations are investing in AI training across departments—from finance to HR—to future-proof their workforces. As Fortune notes, embedding AI fluency throughout the business is no longer optional, but essential.While AI has introduced real upheaval—especially in the tech sector—it is also unlocking significant value elsewhere. For those willing to learn and adapt, AI represents not a threat but a career accelerator. As Napper told Fortune, “The trend isn’t slowing. If anything, it’s just getting started.”Whether you’re a marketer, teacher, designer, or customer service representative, AI skills are fast becoming the new currency of career growth. The choice, it seems, is clear: adapt—or risk being left behind.TOI Education is on WhatsApp now. Follow us here.
