Business

AI Deployment Risks Blocking 18.6M Workers From Higher Pay

New research reveals 18.6 million workers in gateway jobs face disrupted paths to higher pay if companies use AI to automate rather than augment.

Roughly half the job transitions that push American workers into higher-paying roles are now exposed to artificial intelligence capabilities, threatening a critical economic mobility pipeline that employers rely on more heavily than college recruiting.

New research from Opportunity@Work and the Brookings Institution identifies 18.6 million U.S. workers in gateway jobs where AI is rapidly advancing. These occupations serve as the primary stepping stones for employees moving from lower-wage positions into better-compensated careers. If companies deploy AI primarily to automate these roles rather than augment them, the disruption will extend far beyond the immediate workers affected, severing the supply chain of practical skills that feeds into higher-value departments like sales and operations.

The finding challenges the dominant corporate narrative that frames AI adoption around entry-level knowledge work or advanced technical roles. The actual backbone of U.S. workforce mobility consists of approximately 75 specific occupations that account for 62% of all job-to-job changes resulting in pay increases. Customer service representatives, administrative assistants, and dispatchers dominate this list. Every year, about 10 million U.S. workers leverage skills acquired in these roles to secure higher-paid positions — a talent pool five times larger than the annual output of new college graduates.

Half of these upwardly mobile workers lack four-year degrees. Labor economists classify them as STARs, or Skilled Through Alternative Routes. Their career progression depends entirely on building tacit skills — active listening, de-escalation, rapid situational assessment — in lower-wage origin jobs, deepening them in gateway roles, and applying them to destination jobs. Formal education plays a secondary role in this specific pipeline compared to on-the-job problem solving.

Stanford economist Eric Brynjolfsson identified the engineering side of this misalignment in 2022, coining the term “Turing Trap” to describe the industry’s fixation on building systems that imitate and replace human tasks rather than complement them. The labor market equivalent operates on the flawed assumption that talent is a fixed quantity defined by educational credentials, positioning workers without degrees as interchangeable labor rather than developing professionals. When AI hits new cognitive benchmarks under this framework, the default corporate response is elimination rather than redeployment.

Alternative deployment models already exist within major U.S. corporations. Walmart committed to maintaining steady headcount while acknowledging that AI would change the required skills for every single job in its organization. Following that strategic pivot, the company’s stock price appreciated at twice the rate of the S&P 500 over the subsequent six months, demonstrating that investor confidence does not require mass layoffs as an AI justification.

The architecture of AI development itself reinforces the replacement paradigm. Frontier laboratories currently evaluate and promote new models using technical benchmarks designed exclusively to measure machine performance against isolated human tasks. No standardized metrics exist to assess how effectively humans and AI systems accomplish complex goals together or learn from each other in real time. Shifting evaluation criteria toward collaborative efficacy would fundamentally alter which AI products reach enterprise markets.

Emerging business models could also restructure how workforce skills are validated. Concepts like metered augmentation propose using AI to temporarily fill skill gaps during live work, simultaneously teaching the employee those missing competencies on the job and eventually certifying their mastery. This approach converts AI from a displacement tool into a continuous credentialing engine that bypasses traditional degree requirements.

Opportunity@Work continues tracking the specific skill adjacencies between gateway and destination jobs to help employers identify overlooked internal candidates, publishing ongoing data on how STARs navigate the U.S. labor market without encountering paper ceiling barriers.

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