Unequal Impacts of AI on Colombia's Labor Market: An Analysis of AI Exposure, Wages, and Job Dynamics

Andres Garcia-Suaza, Alexander Sarango Iturralde, Pamela Caiza-Guamán, Mateo Gil Díaz and Dana Acosta Castillo

Working papers from Red Investigadores de Economía

Abstract: The rapid advancements in the domain of artificial intelligence (AI) have exerted a considerable influence on the labor market, thereby engendering alterations in the demand for specific skills and the structure of employment. This study aims to evaluate the extent of exposure to AI within the Colombian labor market and its relation with workforce characteristics and available job openings. To this end, we built a specific AI exposure index or Colombia based on skill demand in job posts. Our findings indicate that 33.8% of workers are highly exposed to AI, with variations observed depending on the measurement method employed. Furthermore, it is revealed a positive and significant correlation between AI exposure and wages, i.e., highly exposed to AI earn a wage premium of 21.8%. On the demand side, only 2.5% of job openings explicitly mention AI-related skills. These findings imply that international indices may underestimate the wage premium associated with AI exposure in Colombia and underscore the potential unequal effects on wages distribution among different demographic groups.

Keywords: Artificial intelligence; labor market; job posts; occupations; skills; Colombia (search for similar items in EconPapers)
JEL-codes: E24 J23 J24 O33 (search for similar items in EconPapers)
Pages: 31
Date: 2025-05
New Economics Papers: this item is included in nep-ain and nep-lma
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Working Paper: Unequal impacts of AI on Colombia's labor market: an analysis of AI exposure, wages, and job dynamics (2025)
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Persistent link: https://EconPapers.repec.org/RePEc:rie:riecdt:113

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