Free Republic
Browse · Search
General/Chat
Topics · Post Article

Skip to comments.

AI May Be Everywhere, But it's Nowhere in Recent Productivity Statistics
The Register ^ | Thu 15 Jan 2026 | Ryan Johnson

Posted on 01/15/2026 1:43:58 PM PST by nickcarraway

Forrester principal analyst JP Gownder says jobs eaten by bots don't come back

Interview Analyst firm Forrester’s vice president and principal analyst J. P. Gownder remains unconvinced that AI will revolutionize productivity.

“Where we are today, we're not seeing it,” he told The Register in an interview this week.

During our conversation, Gownder cited US Bureau of Labour Statistics that suggest the advent of the personal computer also did not improve productivity, which improved by 2.7 per cent annually from 1947 to 1973, but just 2.1 percent between 1990 and 2001.

“So despite all those PCs, it [productivity growth] was a lot lower. And [from] 2007 to 2019 it was 1.5 percent. If you look at these numbers, productivity is the foundation of job replacement and of job growth and a whole bunch of things. But when you look at this … you begin to get the picture that information technology isn't measured always in as linear a way into productivity as people assume. It just isn't there.”

That might all change in the future if AI agents improve, but Gownder cannot find evidence that today’s AI boosts productivity.

“[Nobel Prize winning economist] Robert Solow said that by 1987 the effects of the PC revolution can be seen everywhere, except in the productivity statistics. That holds true today as well,” Gownder said. “Productivity just has not soared.”

The absence of a tech:productivity link is known as the Solow Paradox and is often cited when economists consider IT spending.

“The truth of the matter is that with the exception of 2001 to 2007 when productivity was 2.8 percent growth per year, we actually never did see the PC revolution, to the extent that you might imagine,” Gownder said.

Forrester’s most recent AI job replacement research estimates that the technology could uproot 6 percent of jobs by 2030, or about 10.4 million, through robotic process automation, business process automation, physical robotics and generative AI.

Gownder believes jobs that AI takes won’t come back, as typically with job losses after economic rebounds.

“These jobs are lost structurally, like they're gone for good, because they've been replaced. That's not an insignificant hit to the economy,” he said.

To determine the jobs that are at greatest risk of being erased by AI, Gownder and his colleagues considered the roughly 800 job types and 34 skills defined by the US Bureau of Labour Statistics, spoke with 200 companies, and developed a method similar to the one used by University of Oxford scholars Carl Benedikt Frey and Michael Osborne in their 2013 study that measured how susceptible jobs are to computerization.

“We use that to then ask ‘Is AI good at these capabilities and these tasks?’ And by building that model, what we're able to do is to understand how strongly AI influences each of those 800-something job categories when we cross reference that with the automation potential that Frey and Osborne came to,” he said. Forrester can then calculate the “automation potential” for many jobs.

The analysts also pondered whether large organizations are capable of using AI and, if so, the technology’s effectiveness.

“A lot of generative AI stuff isn't really working,” Gownder said. “I mean, enterprise, and I'm not just talking about your consumer experience, which has its own gaps, but the MIT study that suggested that 95 percent of all generative AI projects are not yielding a tangible P&L benefit. So no actual ROI. McKinsey has something like 80-something percent that don't. It is just further context that says we're not at a place where lots and lots of people are losing their jobs right now.”

In calls with more than 200 organizations Gownder said researchers found that some of last year’s large-scale job cuts were belt-tightening decisions, not the result of shifting work to AI.

“So then that's not losing a job to AI. That is a financial decision masquerading as an AI job loss. They're just saying: ‘Well, we're hoping we'll fill it with AI at some point.’ So that is a very different proposition than AI is actively stealing all these jobs.”

There is a real phenomenon of a frozen white collar job market in which corporations are not hiring for open roles as a hedge to see if jobs can be duplicated with AI, he said.

“But let's face it, when you have work to do, it's got to get done at some point,” Gownder said. “If the AI doesn't work out, they're either going to have to hire or they're going to have to find some other solution.”

Gownder said historically, the loss of industrial and manufacturing jobs in the USA’s “rust belt” was driven by globalization not robotics, and he sees a similar scenario playing out now with AI.

“Outsourcing is a very popular one,” he said. “They’re firing people because of AI, and then three weeks later they hire a team in India because the labour is so much cheaper.”


TOPICS: Business/Economy; Computers/Internet; Conspiracy
KEYWORDS: ai; economy; jobs

Click here: to donate by Credit Card

Or here: to donate by PayPal

Or by mail to: Free Republic, LLC - PO Box 9771 - Fresno, CA 93794

Thank you very much and God bless you.


1 posted on 01/15/2026 1:43:58 PM PST by nickcarraway
[ Post Reply | Private Reply | View Replies]

To: nickcarraway

2 posted on 01/15/2026 1:49:09 PM PST by plain talk
[ Post Reply | Private Reply | To 1 | View Replies]

To: plain talk

A person talking to a milk pitcher has nothing to do with AI.


3 posted on 01/15/2026 1:56:29 PM PST by TexasGator (1.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: TexasGator

A person talking to a milk pitcher has nothing to do with AI.

Talk to the milk pitcher and you’ll get more out it than talking to AI ,LOL


4 posted on 01/15/2026 2:01:33 PM PST by butlerweave (Fateh)
[ Post Reply | Private Reply | To 3 | View Replies]

To: butlerweave

“Talk to the milk pitcher and you’ll get more out it than talking to AI ,LOL”

Stupid comment of the decade.


5 posted on 01/15/2026 2:04:42 PM PST by TexasGator (1.)
[ Post Reply | Private Reply | To 4 | View Replies]

To: nickcarraway

I have received productive gains by using it and savings on expenses and help with creating new revenue. I guess it’s going to start with a few of us,


6 posted on 01/15/2026 2:20:35 PM PST by Raycpa
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

Please don’t hold your breath waiting for AI to boost productivity or boost corporate profits.


7 posted on 01/15/2026 2:23:30 PM PST by Bobbyvotes (Work is worship! .... Bhagavad Geeta)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

How to be lazy, and rely on a chess program.


8 posted on 01/15/2026 2:23:53 PM PST by Varsity Flight ( "War by 🙏 the prophesies set before you." ) I Timothy 1:18. Nazarite warriors. 10.5.6.5 These Days)
[ Post Reply | Private Reply | To 1 | View Replies]

To: plain talk

LOL...that’s funny!


9 posted on 01/15/2026 2:28:15 PM PST by ProtectOurFreedom
[ Post Reply | Private Reply | To 2 | View Replies]

To: nickcarraway
People who use AI think they're much more productive.
10 posted on 01/15/2026 2:31:37 PM PST by Steely Tom ([Voter Fraud] == [Civil War])
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

This is generally true for innovative technology introduction. You have a new technology with great potential, but you have existing processes, existing infrastructure (organizational), existing employees with existing training standards. It takes decades to rebuild at the enterprise level to leverage the disruptive technology (e.g. electricity, microprocessors, the internet, now LLMs/advanced neural networks).


11 posted on 01/15/2026 2:41:08 PM PST by LambSlave
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

I’m already well past being sick of hearing those two letters: A I

Should be A O: Artificial Obsession.


12 posted on 01/15/2026 2:54:13 PM PST by citizen (A transgender malel competing against women may be male, but he's no man.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: plain talk

Hilarious!


13 posted on 01/15/2026 2:56:03 PM PST by citizen (A transgender malel competing against women may be male, but he's no man.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: nickcarraway

Perhaps just a slow start.

https://www.youtube.com/watch?v=5DG0-_lseR4


14 posted on 01/15/2026 2:56:37 PM PST by pa_dweller (Projection, prosecution, prevarication and party over country: That's the Democrat brand)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway
...the loss of industrial and manufacturing jobs in the USA’s “rust belt” was driven by globalization not robotics, and he sees a similar scenario playing out now with AI.
“Outsourcing is a very popular one,” he said. “They’re firing people because of AI, and then three weeks later they hire a team in India because the labour is so much cheaper.”

If this keeps up, the future is not looking bright.

15 posted on 01/15/2026 3:06:28 PM PST by Tired of Taxes
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway
I think the productivity gains from the PC depends on the industry & skillsets. I can tell you without a doubt that in Engineering the CAD/CAE software tools running on a PC gave me the ability to do things in months that before took years.

Now, with AI I am able to go beyond just the skills I am an expert in, and incorporate knowledge from peripheral fields that I would otherwise have go on a personal learning curve to master a new domain. It is in that integration across adjacent boundaries that AI will shine.

16 posted on 01/15/2026 3:16:19 PM PST by omni-scientist
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway
I think AI’s strength is “situational awareness.” It is capable of accessing more sources of information simultaneously than any human ever could. A good example of this is self-driving software. It can leverage multiple sensors (radar, cameras, etc) to see everything moving in all directions around the vehicle, giving it far better situational awareness than a human driver. That is beyond question and a clear benefit to AI.

However, AI’s greatest weakness is in the realm of reasoning. Not matter how fast AI gets and processing incoming data and trying to make sense of it, a human will always be better at making intuitive decisions based upon factors that cannot be derived from simple data analysis. An example of this is the ability of a human driver to tell what another driver is about to do, even though the motion of the other vehicle hasn’t yet given it away.

AI will have its place, and can benefit us so long as the Silicon Valley “cool kids” stop believing the absurd notion that it can become a substitute for human thinking, or even conscious itself. Those mistaken beliefs flow from a materialistic worldview that believes that human thought and consciousness is only a mechanistic calculation of a brain that is just a biological computer.

17 posted on 01/15/2026 3:24:29 PM PST by noiseman (The only thing necessary for the triumph of evil is for good men to do nothing.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

Perhaps the advantage of AI is that we can get dumber and dumber and still get the job done.


18 posted on 01/15/2026 5:17:21 PM PST by ChessExpert (Infidels of the world unite against the evil that is Islam.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

I wrote a whole book on AI. Some obvious upside. But when you dig deep, there is some scary stuff embedded in it. Scary thermodynamics.
It does have the potential to rip up the job market.


19 posted on 01/15/2026 5:49:33 PM PST by AI_GURU
[ Post Reply | Private Reply | To 1 | View Replies]

To: AI_GURU
Welcome to FreeRepublic. (AI_GURU Since Dec 18, 2025)

> I wrote a whole book on AI.

A whole book? Cool. Tell us something about it. Title? Topics/Aspects? Have you published it? Sold any copies? Inquiring minds..... :-)

Don't list how/where to buy it -- FR rules prohibit solicitation/sales, even inadvertent.

20 posted on 01/15/2026 11:52:24 PM PST by dayglored (This is the day which the LORD hath made; we will rejoice and be glad in it. Psalms 118:24)
[ Post Reply | Private Reply | To 19 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
General/Chat
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson