AI Fuels Major Tech Layoffs While Increasing Salaries by $18,000 Annually in Other Sectors, Study Finds

AI Fuels Major Tech Layoffs While Increasing Salaries by $18,000 Annually in Other Sectors, Study Finds AI Fuels Major Tech Layoffs While Increasing Salaries by $18,000 Annually in Other Sectors, Study Finds

Lightcast reports AI skills now pay off big outside tech as layoffs hit software jobs

AI is gutting tech jobs fast. Microsoft is cutting 15,000 roles while pumping $80 billion into AI. Across the sector, up to 80,000 tech jobs have vanished as automation takes over engineering, IT, and admin.

But here’s the flip side: non-tech jobs demanding AI skills are exploding — with salary premiums jumping 28%, or about $18,000 more per year, according to labor market firm Lightcast’s new Beyond the Buzz report. AI roles outside IT now make up over half of all AI job postings, a huge shift from 61% in 2019 to 49% in 2024 within tech itself.

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Generative AI skills are up 800% since 2022 outside tech, driven by tools like ChatGPT, Microsoft Copilot, and DALL-E. Marketing, HR, finance, education, manufacturing, and customer service are snapping up AI talent fast.

Cole Napper, VP at Lightcast, told Fortune there’s no clear pattern in which sectors are adopting AI fastest — but the arts top the list for AI job growth.

AI skills pay big dividends. Two or more AI skills boost salaries 43%. 2024 saw 66,000 job posts mentioning generative AI, nearly 4x last year. Language modeling and prompt engineering rank high in demand too.

Sectors like sales, customer support, and manufacturing show the largest pay hikes as companies use AI to automate routine work and outpace competitors.

Christina Inge, founder of Thoughtlight AI marketing, told Fortune:

“AI isn’t just automating busywork, it’s also becoming a tool AI-fluent workers can leverage to increase their own value to a company—and to outperform their peers. Take, for example, someone in sales using AI to create more targeted conversations to close deals faster. The same can be said for customer service workers.”

“[Customer service workers fluent in AI] know how to interpret AI outputs, write clear prompts, and troubleshoot when things go off script. That combination of human judgment and AI fluency is hard to find and well worth the extra pay.”

The most sought AI roles mix tech skills (machine learning, AI) with soft skills like communication, leadership, problem-solving, and customer service.

Lightcast warns workers who don’t adapt face pay cuts or job loss. Companies ignoring AI beyond IT risk falling behind. Winners embed AI skills across marketing, HR, and finance.

Napper sums it up:

“There’s a cost to complacency”—one that includes a significant salary cut.

AI is shaking up jobs in Silicon Valley, but workers outside tech are cashing in on new AI opportunities. For many, AI skills aren’t a threat — they’re a ticket to higher pay and new careers.

See Lightcast’s full report here.

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