A bipartisan pair of US Senators has introduced a bill that would require companies and government agencies to report AI-related layoffs, and it couldn’t come at a better time. October jobs data suggests AI is driving the largest wave of layoffs headed into the end of the year that we’ve seen since 2003.
Senators Josh Hawley (R-MO) and Mark Warner (D-VA) on Wednesday announced plans to introduce the AI-Related Job Impacts Clarity Act. If passed, the law requires public companies and pretty much every single federal government agency to hand quarterly layoff data over to the Department of Labor, indicating how many jobs they cut due to automation.
The act would also require employers to report on a quarterly basis how many people they hired related to AI and automation, how many jobs they decided not to fill thanks to AI, and numbers on retraining due to artificial intelligence. The end goal, said Warner, is to help Congress understand how the labor market is changing and how to prepare for the future.
The numbers will probably look something like this:
“We hired N people to work on AI stuff and fired/refused to hire M people due to automation reasons”
2 years later: “We fired N people who work on AI stuff”
Somehow both of those make their stock price go up because big investors don’t make decisions grounded in the real world.
The market can stay irrational for longer than you can stay solvent.