Artificial Intelligence and Türkiye's Labor Market: Managing Exposure, Expanding Opportunity

Gunes Arkadas Asik Erpek, Siddharth Hari, Efsan Nas Ozen and Dhushyanth Raju

No 212940, The Social Policy and Labor Discussion Paper Series from The World Bank

Abstract: Artificial intelligence (AI) is reshaping labor markets globally, less through immediate, economywide displacement than through a gradual and uneven reconfiguration of what workers do and how they do it. For Türkiye, the central question is not whether AI will matter, but whether the country is positioned to capture its productivity dividends while managing its distributional risks. This question is especially important because Türkiye combines substantial occupational exposure to AI with still-limited firm adoption, persistent skills mismatches, large gaps in labor market inclusion, and a constrained domestic AI talent base. The near-term policy challenge is therefore one of uneven adjustment. Some exposed workers may be well placed to benefit from AI-enabled productivity gains, while others face greater substitution risk or may remain excluded from the productivity gains that AI can generate. This note synthesizes global evidence with quantitative and qualitative findings for Türkiye and translates them into a targeted policy agenda.

Date: 2026-07-21
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