Jamie Dimon is urging society to begin addressing AI-induced job losses before they become a reality.
The long-tenured CEO informed investors during an event on Tuesday that businesses and governments must start preparing now to manage the labor upheaval AI might cause.
“I’m not forecasting that it will be an issue. I’m just stating that now is the moment to consider what actions to take if it does become one,” Dimon cautioned.
In his typically direct manner, the CEO noted that JPMorgan won’t “bury its head in the sand” regarding AI transformation. Instead, he stated, the bank is aggressively implementing AI and already has an LLM model that .
However, due to the productivity improvements driven by AI, JPMorgan is likely to have a smaller workforce in the next five years, Dimon mentioned last month at the World Economic Forum in Davos.
Though Dimon is concerned about society’s response to a wave of AI-displaced workers, he is ensuring JPMorgan is prepared. In fact, the firm is taking key measures to ready itself for a tech-driven shift, complete with “large-scale redeployment” plans he said are in motion.
“We have had employees displaced by AI,” Dimon stated, “and we provide them with alternative roles. They are generally well-trained, highly skilled, and proficient in various areas.”
The larger concern, however, is the consequences if society fails to prepare for this disruption. Dimon highlighted his point using a hypothetical scenario he previously raised in Davos. In theory, autonomous vehicles could replace the 2 million commercial truck drivers in the U.S. overnight, saving lives, reducing fuel expenses, and lessening highway wear.
But, Dimon noted, the benefits do not offset the broader costs of eliminating these jobs abruptly. He queried what would become of truck drivers whose six-figure incomes could vanish overnight, forcing them to take lower-skilled jobs that pay a fraction of their previous earnings.
“I was asking, ‘That’s quite problematic—should we as a society accept that?’ I don’t believe we should,” he said.
The solution, he stated, is to implement changes gradually, allowing society time to adjust. This isn’t the first time Dimon has emphasized this message. In Davos, he noted that AI’s impact on employment “might outpace society’s ability to adapt” and expressed openness to a government ban on large-scale AI-related layoffs “if necessary to protect society.” He also suggested local governments should provide incentives for companies to retrain workers.
Still, Dimon made clear on Tuesday that AI will revolutionize business. He pointed out that although the full effects of the technology may not yet be evident, JPMorgan has deeply integrated AI into its operations and aims to lead this transformation.
“I’ve always found tech projects the most difficult to quantify,” he said. “That has held true throughout my career. And it’s also been true my entire life that technology is what drives all change.”