{"id":65065,"date":"2025-08-13T12:36:08","date_gmt":"2025-08-13T12:36:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/65065\/"},"modified":"2025-08-13T12:36:08","modified_gmt":"2025-08-13T12:36:08","slug":"ai-is-peeling-back-the-layers-of-low-value-work-nz-may-be-well-placed-to-adapt","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/65065\/","title":{"rendered":"AI is peeling back the layers of \u2018low-value\u2019 work \u2013 NZ may be well placed to adapt"},"content":{"rendered":"<p>As generative artificial intelligence (AI) advances at breakneck speed, it is upending assumptions about which jobs are \u201csafe\u201d from automation.<\/p>\n<p>Disruption now extends well beyond manual or routine work into white-collar roles once considered untouchable. Tools such as ChatGPT, Claude and Midjourney can produce policy briefs, analytical reports, software code, design assets and marketing copy in seconds.<\/p>\n<p>Even in specialised domains, systems such as <a href=\"https:\/\/arxiv.org\/abs\/2505.23994?utm_source=chatgpt.com\" rel=\"nofollow noopener\" target=\"_blank\">PolicyPulse<\/a> can generate structured briefs and thematic syntheses \u2013 tasks that once required teams of experts.<\/p>\n<p>If AI can so easily replicate large swaths of professional output, how much of the economy rests on work that creates the appearance of value rather than tangible impact?<\/p>\n<p>And could New Zealand \u2013 anchored in sectors rooted in physical work, human judgement and essential services \u2013 be structurally better placed to thrive?<\/p>\n<p>AI\u2019s exposure effect<\/p>\n<p>A <a href=\"https:\/\/www.goldmansachs.com\/insights\/articles\/generative-ai-could-raise-global-gdp-by-7-percent.html\" rel=\"nofollow noopener\" target=\"_blank\">2023 Goldman Sachs report<\/a> estimated generative AI could automate work equivalent to 300 million full-time jobs globally. The highest exposure is in administrative, legal and other information-heavy sectors.<\/p>\n<p>In 2024, the <a href=\"https:\/\/www.imf.org\/en\/Blogs\/Articles\/2024\/01\/14\/ai-will-transform-the-global-economy-lets-make-sure-it-benefits-humanity\" rel=\"nofollow noopener\" target=\"_blank\">International Monetary Fund warned<\/a> that economies reliant on high-skilled services \u2013 such as education, law and finance \u2013 face both job losses and rising inequality.<\/p>\n<p>This echoes author David Graeber\u2019s concept of \u201c<a href=\"https:\/\/www.simonandschuster.com\/books\/Bullshit-Jobs\/David-Graeber\/9781501143335\" rel=\"nofollow noopener\" target=\"_blank\">bullshit jobs<\/a>\u201d \u2013 roles that add little genuine value. Between 2000 and 2018, <a href=\"https:\/\/www.nber.org\/papers\/w30389\" rel=\"nofollow noopener\" target=\"_blank\">most net job growth<\/a> came from low productivity service sectors such as marketing, consulting and corporate administration. These are precisely the kinds of tasks AI can now perform in seconds.<\/p>\n<p>Consultancy firm <a href=\"https:\/\/www.mckinsey.com\/capabilities\/mckinsey-digital\/our-insights\/the-economic-potential-of-generative-ai-the-next-productivity-frontier\" rel=\"nofollow noopener\" target=\"_blank\">McKinsey estimates<\/a> 60\u201370% of activities in office support, customer service and professional services can be automated. The <a href=\"https:\/\/www.oecd-ilibrary.org\/employment\/artificial-intelligence-and-employment_72d0a4e2-en\" rel=\"nofollow noopener\" target=\"_blank\">OECD has noted<\/a> routine information processing jobs face the greatest risk. AI is not only replacing roles \u2013 it is revealing how insubstantial many of them were.<\/p>\n<p>Some argue finance illustrates this reality starkly: intended to allocate capital efficiently, the sector has expanded beyond its productive purpose. <\/p>\n<p>Businessman Adair Turner famously called much of it \u201c<a href=\"https:\/\/www.theguardian.com\/business\/2009\/aug\/30\/banking-executive-pay-bonuses\" rel=\"nofollow noopener\" target=\"_blank\">socially useless<\/a>\u201d, while <a href=\"https:\/\/www.bis.org\/publ\/work381.pdf\" rel=\"nofollow noopener\" target=\"_blank\">research<\/a> from the Bank for International Settlements found oversized financial sectors can stifle innovation by diverting talent from more productive areas.<\/p>\n<p>Now, <a href=\"https:\/\/www.businessinsider.com\/wall-street-goldman-jpmorgan-bridgewater-using-ai-2023-12?utm_source=chatgpt.com\" rel=\"nofollow noopener\" target=\"_blank\">AI is automating functions<\/a> such as risk modelling, compliance and equity research, prompting a reassessment of the sector\u2019s true economic value.<\/p>\n<p>New Zealand\u2019s real-economy advantage<\/p>\n<p>New Zealand \u2013 often caricatured as a remote, agrarian outpost \u2013 may be structurally insulated from the worst of the AI shock. <a href=\"https:\/\/www.mpi.govt.nz\/science\/open-data-and-forecasting\/situation-and-outlook-for-primary-industries-data\/\" rel=\"nofollow noopener\" target=\"_blank\">Roughly 70% of its exports<\/a> come from agriculture, horticulture, seafood and forestry.<\/p>\n<p>Domestically, <a href=\"https:\/\/www.mbie.govt.nz\/business-and-employment\/employment-and-skills\/labour-market-reports-data-and-analysis\/\" rel=\"nofollow noopener\" target=\"_blank\">leading employment sectors<\/a> include aged care, physiotherapy, plumbing, childcare and early childhood education. <\/p>\n<p>These roles require physical dexterity, sensory judgement and human empathy \u2013 skills AI cannot yet credibly replicate.<\/p>\n<p>In an era when many advanced economies are over-invested in finance, bureaucracy and \u201cbullshit jobs\u201d, New Zealand\u2019s focus on tangible, value-producing work could be a strategic strength.<\/p>\n<p><a href=\"https:\/\/www.science.org\/content\/article\/new-zealand-shakes-its-research-system-bid-boost-economic-growth\" rel=\"nofollow noopener\" target=\"_blank\">Innovation in these sectors is happening too<\/a>. Robotic milking systems have improved dairy efficiency and animal welfare, biosecurity monitoring safeguards exports, and forestry research is targeting carbon neutral timber.<\/p>\n<p>If finance reveals how AI strips away illusions, higher education shows its disruptive power. Generative AI <a href=\"https:\/\/www.newyorker.com\/magazine\/2025\/07\/07\/the-end-of-the-english-paper?utm_source=chatgpt.com\" rel=\"nofollow noopener\" target=\"_blank\">can now produce essays<\/a> credible enough to pass as human work.<\/p>\n<p>The humanities tend to reward theoretical fluency and stylistic polish \u2013 areas where AI excels. By contrast, science, technology, engineering and mathematics \u2013 the so-called STEM subjects \u2013 demand precision, formal logic and testable hypotheses, which are harder for AI to mimic. <a href=\"https:\/\/www.oecd.org\/en\/publications\/oecd-employment-outlook-2023_08785bba-en\/full-report\/artificial-intelligence-and-jobs-no-signs-of-slowing-labour-demand-yet_5aebe670.html?utm_source=chatgpt.com\" rel=\"nofollow noopener\" target=\"_blank\">OECD data<\/a> has shown STEM-related occupations face the lowest automation risk.<\/p>\n<p>New Zealand\u2019s <a href=\"https:\/\/www.engineeringnz.org\/news-insights\/government-investment-in-maths-education\/\" rel=\"nofollow noopener\" target=\"_blank\">recent investment in STEM education<\/a> is timely. But it must be matched by support for primary and secondary teachers \u2013 <a href=\"https:\/\/www.interest.co.nz\/technology\/129311\/ai-pioneers-want-bots-replace-human-teachers-%E2%80%93-here%E2%80%99s-why-%E2%80%99s%C2%A0unlikely\" rel=\"nofollow noopener\" target=\"_blank\">roles grounded in mentorship and adaptive instruction<\/a>, which remain beyond AI\u2019s reach.<\/p>\n<p>A global pivot<\/p>\n<p>Service-heavy economies such as Singapore, Britain and parts of the United States <a href=\"https:\/\/www.imf.org\/en\/Blogs\/Articles\/2024\/01\/14\/ai-will-transform-the-global-economy-lets-make-sure-it-benefits-humanity\" rel=\"nofollow noopener\" target=\"_blank\">face growing pressure to adapt<\/a>.<\/p>\n<p><a href=\"https:\/\/www.nzherald.co.nz\/the-listener\/new-zealand\/why-economies-fail-stark-lessons-for-nz-from-a-2024-nobel-prize-winner\/IRRDKMB6VBHUTL2QWF32GPXTRA\/\" rel=\"nofollow noopener\" target=\"_blank\">Researchers<\/a> warn that reliance on low-productivity, routine service work risks long-term stagnation unless economies pivot to innovation-led sectors.<\/p>\n<p>New Zealand\u2019s base in agriculture, manufacturing, trades and essential services offers comparative resilience \u2013 but only if reinforced by investment in measurable innovation and productivity.<\/p>\n<p>New Zealand\u2019s advantage lies not in chasing abstract, easily automated work, but in deepening its strengths in sectors AI cannot yet touch \u2013 food production, care and infrastructure. <\/p>\n<p>These are industries where value is measured in what is grown, built, repaired and cared for \u2013 not in presentation slides.<\/p>\n<p>As AI redraws the contours of global labour markets, every country must ask: if a job can be done by an algorithm, was it ever as significant as we believed?<\/p>\n<p>For New Zealand, the answer may be to double down on the work that cannot be coded \u2013 turning what once looked like a structural constraint into a defining strength.<\/p>\n","protected":false},"excerpt":{"rendered":"As generative artificial intelligence (AI) advances at breakneck speed, it is upending assumptions about which jobs are \u201csafe\u201d&hellip;\n","protected":false},"author":2,"featured_media":65066,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[256,254,255,64,63,105],"class_list":{"0":"post-65065","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-au","12":"tag-australia","13":"tag-technology"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/65065","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=65065"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/65065\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/65066"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=65065"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=65065"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=65065"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}