{"id":8001,"date":"2026-06-18T22:33:04","date_gmt":"2026-06-18T22:33:04","guid":{"rendered":"https:\/\/www.fintechpulse8.com\/?p=8001"},"modified":"2026-06-18T22:33:04","modified_gmt":"2026-06-18T22:33:04","slug":"ai-robots-and-the-future-of-work","status":"publish","type":"post","link":"https:\/\/www.fintechpulse8.com\/?p=8001","title":{"rendered":"AI, robots and the future of work"},"content":{"rendered":"<p><\/p>\n<div>\n<p><strong><iframe loading=\"lazy\" src=\"https:\/\/iframe.iono.fm\/e\/1687133?layout=modern\" width=\"100%\" height=\"170\" frameborder=\"0\" data-mce-fragment=\"1\"><\/iframe><\/strong><\/p>\n<p>You can also listen to this podcast on iono.fm here.<\/p>\n<p><strong>CIARAN RYAN:<\/strong> AI is not simply eliminating jobs but reshaping how labour markets and businesses function. A lot of routine tasks are being automated, and this has a disproportionate impact on lower-entry jobs, which should, in theory, improve profit margins. What we are seeing is a shift towards higher-skilled work across not just services but also manufacturing.<\/p>\n<p>So, what does this future look like for businesses and employees? To answer that, we\u2019re joined once again by Adriaan Pask, chief investment officer at PSG Wealth.<\/p>\n<p>Hi Adriaan, thanks again for your time. AI is moving at a speed few of us could have anticipated. Are we heading for a wave of job losses because of it?<\/p>\n<p><strong>ADRIAAN PASK: <\/strong>Hi, Ciaran. Thanks for having me. Yes, it\u2019s quite interesting, and we need to think carefully about the potential impact. What we see in South Africa will likely be quite different from what we\u2019re seeing in economies such as the US. However, developments there may provide some clues about what we could expect locally.<\/p>\n<p>Research from the International Monetary Fund (IMF) suggests that around 40% of global employment is exposed to AI in some way. In advanced economies, that figure rises to approximately 60%.<\/p>\n<p>In addition, Goldman Sachs estimates that around 300 million full-time jobs globally will be affected by AI over the next decade.<\/p>\n<blockquote>\n<p>What\u2019s interesting, though, is that widespread job losses are not necessarily what we\u2019re seeing at the moment. Instead, job absorption has slowed in certain areas.<\/p>\n<\/blockquote>\n<p>At the more junior end of the labour market, for example, we\u2019ve seen slower uptake. The impact will also vary depending on the composition of the labour market. Jobs that are heavily administrative, repetitive, routine and process-driven are at greater risk.<\/p>\n<p>By contrast, higher-level roles appear to be more insulated. These are jobs where experience, judgement and oversight are important, particularly roles that involve evaluating AI-generated outputs and determining whether the results are accurate and appropriate.<\/p>\n<p>There is also an argument to be made that, while AI may eliminate some jobs, the technology is likely to create new ones. Roles such as programmers, engineers and process designers could all benefit from these developments.<\/p>\n<p><strong>CIARAN RYAN:<\/strong> Yes. Then if you look at it, accounting is one area where fairly routine tasks can be given over to AI quite easily. We\u2019re also seeing it with some very funny results happening in the legal profession, where hallucinations have dreamed up court cases that don\u2019t exist.<\/p>\n<p>So there\u2019s still not a lot of trust, I guess, in AI, but it is definitely heading in a direction which for some people would be quite alarming.<\/p>\n<p>So do you see AI boosting profit margins or just reshuffling costs? What does the evidence tell us about this?<\/p>\n<p><strong>ADRIAAN PASK:<\/strong> Looking at some of the research being done elsewhere, the Stanford AI Index shows that in functions such as service operations, supply chain management and software engineering, between 40% and 50% of respondents report using AI and achieving cost savings.<\/p>\n<p>However, those savings remain relatively modest, at less than 10%. More importantly, we think the bigger story lies on the revenue side. So far, gains in top-line growth have been very limited, with fewer than 5% of organisations using AI reporting an increase in sales.<\/p>\n<blockquote>\n<p>The narrative has therefore not evolved beyond efficiency gains. Most of the discussion still centres on how AI can help companies save money.<\/p>\n<\/blockquote>\n<p>Given that staff and wages are among the largest expenses for many businesses, replacing some roles with AI could deliver cost benefits. However, the broader social consequences for the economy could be significant.<\/p>\n<p>It\u2019s also important to remember that while spending on wages may decrease, spending on infrastructure is likely to increase. Although those costs can be depreciated over time and are not as immediate as wage expenses, they still need to be accounted for over the long term.<\/p>\n<p><strong>CIARAN RYAN:<\/strong> Yes. One of the biggest concerns, of course, is whether this will affect people\u2019s jobs. So, where do you see this happening? What part of the labour market is likely to be affected the most?<\/p>\n<p><strong>ADRIAAN PASK:<\/strong> At the moment, the two areas where we are seeing the biggest changes are the services sector and entry-level roles. In the US, for example, graduate absorption does not look particularly strong, as companies are no longer creating new positions as aggressively as they once did.<\/p>\n<p>This is supported by research from the IESE Business School, which found that wages for junior workers at AI-exposed firms declined following the launch of ChatGPT.<\/p>\n<p>We have therefore seen both a decline in graduate absorption and weaker demand for junior talent, and this is reflected in wages. Even for those who do secure employment, wage growth has not been favourable.<\/p>\n<p><strong>CIARAN RYAN:<\/strong> Now the next wave on its way is robotics, because that seems to be a logical evolution. China seems to be already very far advanced in this in terms of introducing robotics into its factories. So what can we expect over the next five, 10 years when we talk about AI and robotics?<\/p>\n<p><strong>ADRIAAN PASK:<\/strong> I think that\u2019s an important point, especially as we\u2019ve already spoken about the service sector and junior roles. If we look at manufacturing, robotics becomes the key driver of change.<\/p>\n<p>Historically, these have been two fairly separate streams: large language models on the AI side, and robotics as a distinct field. What we are now seeing is a convergence between the two.<\/p>\n<p>This enables the operation of large-scale factories and distribution warehouses using advanced robotics, while also integrating AI to improve the efficiency and capability of those systems.<\/p>\n<blockquote>\n<p>It\u2019s no longer just about making human work more efficient, but about improving automation itself.<\/p>\n<\/blockquote>\n<p>I think you are right that this represents the next phase of development. There are already pioneers in this space, with the US and China having invested heavily. However, we are still at a relatively early stage in terms of widespread adoption.<\/p>\n<p>In manufacturing, the future is therefore not just robotics on its own, but the integration of robotics and AI. That shift will reduce routine tasks and increase demand for high-skilled technical oversight. However, it is also likely to mean fewer opportunities for lower-skilled labour.<\/p>\n<p>This again raises broader concerns around inequality and the wider social consequences of these shifts.<\/p>\n<p><strong>CIARAN RYAN:<\/strong> One of the points that has been raised about robotics is that it shortens the time for a country to become competitive.<\/p>\n<p>If you can buy technology off the shelf from China and introduce that into your factory, basically replacing your workers with robots, you could compete with anybody anywhere in the world. Do you see this as being a possibility in the future?<\/p>\n<p><strong>ADRIAAN PASK:<\/strong> I think it\u2019s tricky, and would vary by industry. There is still something to be said for scale, and input costs remain a key factor. So even though it is possible to compete using advanced technology, you still need the underlying scale for the economics to work.<\/p>\n<p>That said, it is an interesting observation. In many respects, it may also be somewhat equalising, in that it could help narrow productivity gaps between countries.<\/p>\n<p>From a South African perspective, what is particularly important is that we are now seeing parts of the reform narrative place greater emphasis on technology and automation. That is encouraging, because without that focus, South Africa risks being left behind.<\/p>\n<p>Overall, it remains a space worth watching closely.<\/p>\n<p><strong>CIARAN RYAN:<\/strong> All right. Now let\u2019s tie this back to investment and what impact this is going to have. We\u2019ve got all of these massive initial public offerings (IPO) coming up.<\/p>\n<p>We\u2019ve got SpaceX, and I think Anthropic and OpenAI are also planning to have massive IPOs in the next few months. But from an investment point of view, how do workers, managers, and investors deal with this concept of AI, and prepare themselves for what\u2019s coming?<\/p>\n<p><strong>ADRIAAN PASK:<\/strong> From a worker\u2019s perspective, the jobs that are likely to thrive in the coming environment are those where relationships, oversight, and experience remain critical. By contrast, roles that are heavily repetitive or involve black-and-white, rule-based tasks tend to be more at risk.<\/p>\n<p>From a business perspective, many organisations are understandably focused on investing in technology to improve profit margins. However, it is important to think beyond short-term efficiency gains.<\/p>\n<p>A key consideration is succession and capability building: who will become the future leaders of the business, and who will provide oversight of systems and technology once the current cohort of senior staff has moved on?<\/p>\n<p>This requires ongoing knowledge transfer and a steady pipeline of younger talent coming through the organisation. In our view, this remains a critical part of how a business should operate.<\/p>\n<p>From an investment perspective, it is also important to look for businesses that do not focus solely on margin expansion. There is a natural limit to cost savings, whereas growth is less constrained.<\/p>\n<blockquote>\n<p>As a result, AI strategies should increasingly be evaluated in terms of their contribution to top-line growth.<\/p>\n<\/blockquote>\n<p>The key questions become: how does AI help attract more clients, and how does it drive higher sales? It is not only about reducing costs, but also about enabling more efficient growth.<\/p>\n<p>Where we see businesses applying AI with that kind of focus, those are the areas we are most attracted to.<\/p>\n<p><strong>CIARAN RYAN:<\/strong> Fascinating subject and moving at the speed of light. Obviously, this is going to be a story to occupy us for many years to come.<\/p>\n<p>We\u2019re going to leave it there. That was Adriaan Pask, chief investment officer at PSG Wealth. Thank you very much, Adriaan.<\/p>\n<p><strong>ADRIAAN PASK:<\/strong> Thanks, Ciaran. Appreciate it.<\/p>\n<p><em>Brought to you by PSG Wealth.<\/em><\/p>\n<p><em>Moneyweb does not endorse any product or service being advertised in sponsored articles on our platform.<\/em><\/p>\n<\/p><\/div>\n<p>#robots #future #work<\/p>\n","protected":false},"excerpt":{"rendered":"<p>You can also listen to this podcast on iono.fm here. CIARAN RYAN: AI is not simply eliminating jobs but reshaping how labour markets and businesses function. A lot of routine&hellip; <\/p>\n","protected":false},"author":1,"featured_media":8002,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[412,747,1105],"class_list":["post-8001","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investing","tag-future","tag-robots","tag-work"],"_links":{"self":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/posts\/8001","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=8001"}],"version-history":[{"count":0,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/posts\/8001\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=\/wp\/v2\/media\/8002"}],"wp:attachment":[{"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=8001"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=8001"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.fintechpulse8.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=8001"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}