Publications & Documents

This paper looks at the links between AI and wage inequality across 19 OECD countries. It uses a measure of occupational exposure to AI derived from that developed by Felten, Raj and Seamans (2019) – a measure of the degree to which occupations rely on abilities in which AI has made the most progress. The results provide no indication that AI has affected wage inequality between occupations so far (over the period 2014-2018). At the same time, there is some evidence that AI may be associated with lower wage inequality within occupations – consistent with emerging findings from the literature that AI reduces productivity differentials between workers. Further research is needed to identify the exact mechanisms driving the negative relationship between AI and wage inequality within occupations. One possible explanation is that low performers have more to gain from using AI because AI systems are trained to embody the more accurate practices of high performers. It is also possible that AI reduces performance differences within an occupation through a selection effect, e.g. if low performers leave their job because they are unable to adapt to AI tools by shifting their activities to tasks that AI cannot automate.

Generative artificial intelligence (AI) presents myriad opportunities for integrity actors—anti-corruption agencies, supreme audit institutions, internal audit bodies and others—to enhance the impact of their work, particularly through the use of large language models (LLMS). As this type of AI becomes increasingly mainstream, it is critical for integrity actors to understand both where generative AI and LLMs can add the most value and the risks they pose. To advance this understanding, this paper draws on input from the OECD integrity and anti-corruption communities and provides a snapshot of the ways these bodies are using generative AI and LLMs, the challenges they face, and the insights these experiences offer to similar bodies in other countries. The paper also explores key considerations for integrity actors to ensure trustworthy AI systems and responsible use of AI as their capacities in this area develop.

Open unemployment and joblessness in Switzerland are low compared to OECD standards. Yet a comparatively high proportion of working-age individuals remain weakly attached to the labour market, with unstable jobs, or with limited working hours. As an initial step towards a possible in-depth project, this Faces of Joblessness feasibility study provides insight into the nature and incidence of the structural barriers that are likely to prevent individuals from fully engaging in employment and speculates on their possible links with underutilized employment potential. It shows that lack of recent work experience and substantial non-labour or partner income are two key employment barriers in Switzerland. Partner income can be a barrier for women in particular and might be one of the reasons why many women leave stable employment at childbearing age, alongside low supply and high cost of early childhood education and care programs. Workers over 60 also represent a significant underutilized employment potential, as many have taken early retirement. Non-EU migrant are particularly exposed to potential labour market difficulties at younger age, and many of them have low levels of education, poor professional skills or limited work experience. This study also suggests that many jobless are confronted with complex and inter-related employment obstacles.

AI can bring significant benefits to the workplace. In the OECD AI surveys of employers and workers, four in five workers say that AI improved their performance at work and three in five say that it increased their enjoyment of work. But the benefits of AI depend on addressing the associated risks. Taking the effect of AI into account, occupations at highest risk of automation account for about 27% of employment in OECD countries. Workers also express concerns around increased work intensity, the collection and use of data, and increasing inequality. To support the adoption of trustworthy AI in the workplace, this policy paper identifies the main risks that need to be addressed when using AI in the workplace. It identifies the main policy gaps and offers possible policy avenues specific to labour markets.

This report analyses the sequence of labour market support that individuals receive and evaluates two large public works programmes. It uses rich administrative data and finds positive labour market impacts of the Community Employment and Tús employment programmes. Building on the results of the analyses, the report makes recommendations on how Ireland can further adapt its active labour market policies (ALMPs) to better support its current and future jobseekers. This report on Ireland is the thirteenth country study published in a series of reports on policies to connect people with jobs, and is part of a joint project with the European Commission to strengthen countries’ capacity to evaluate ALMPs. The report is written jointly by the OECD, the Department of Social Protection of Ireland and the Joint Research Centre of the European Commission.

Despite women’s increased participation in the labour market significantly contributing to past economic growth, persistent gender gaps across OECD labour markets hinder full realization of the potential gains of women’s economic participation. This paper analyses the economic implications of these gaps and evaluates the potential for future growth through greater gender equality in labour market outcomes. Utilising two methodological frameworks, the paper first employs growth accounting to measure the contribution of women's employment to past economic growth. The paper then uses a simplified version of the OECD Long-Term Model in conjunction with projections on future labour force dynamics to estimate the impact of greater gender equality on the labour market. These analyses provide insight into the potentially significant economic benefits of closing persistent gender gaps across OECD countries.

Increasingly, countries are integrating personalised public services to enhance access to, and the experience of those services to significantly improve outcomes for service users. Integrated services are particularly valuable for those with multiple and complex needs who require a range of tailored and, in some cases, specialised supports and services from more than one agency or service provider. Service specialisation can make it difficult for these service users to get the right mix of services and at the right time that best meet their needs. This paper provides a summary of how countries are integrating services to improve the lives and outcomes of care experienced by young people, people with disabilities, and people leaving prison. The paper is intended for policymakers who are seeking new or improved approaches to improving the outcomes of those who rely on personalised services.

The transition towards a green economy, the rapid development of new digital technologies and cultural change are some of the forces disrupting traditional career paths, resulting in more fluid and diversified career trajectories. To benefit from increased longevity, workers will increasingly have to consider job mobility at middle and older ages, changing jobs or careers more frequently than in the past. Making successful career transitions, however, tends to be more difficult for workers at older ages due to health issues, unfamiliarity with relevant technology or a lack of recent job search experience. This may result in a mismatch between the types of jobs they want and the jobs that employers may provide. This report presents evidence on recent trends in career mobility and the consequences for individual workers in terms of pay and other job characteristics. It identifies key employer and public policies that can help facilitate career mobility that results in better employment choices at older ages. This requires overcoming discriminatory views towards older workers, improving job flexibility choices and ensuring that government policy supports voluntary career mobility.