The International Monetary Fund (IMF) has warned that nearly 40% of jobs across the globe could be affected by the rise of Artificial Intelligence (AI).
Guyana is not spared.
According to Vice President Dr Bharrat Jagdeo, the Government is monitoring the impact of AI on the local labour force.
During a press conference on Thursday, he spoke about this global phenomenon already impacting the regional BPO (Business Process Outsourcing) industry.
“There’s one thing that we have to look at, it’s these call centres around the Caribbean,” Jagdeo said.
Global outsourcing company Ibex has scaled back its operations in Jamaica, closing two centres, and eliminating one-third of its contact desks in the process.
The Jamaica Gleaner reported that “the group highlighted challenges related to inflation, and generative artificial technology, resulting in clients weighing their options. Ibex launched its own AI technology this year offering clients similar services.”
In Guyana, Jamaica-based call centre Itel has announced its exit from the local market, a move which will affect some 400 employees.
The company cited escalating expenses and difficulties in retaining qualified candidates and high-profile clients as the primary reasons for its closure.
But according to the Vice President, this is not necessarily the main factor.
He said, “what is happening globally is that there is a reorganisation of the business and a lot of AI is being used now to perform the functions that people used to perform…like answering phones.”
“That’s one of the negatives of AI , it will displace large numbers of people from labour intensive industries,” he noted.
Jagdeo said the Government is looking at ways in which it can reskill persons.
“We have to constantly look at those people, the ones who may lose jobs. I spoke with Ashni Singh (Minister with responsibility for Finance and Public Service) and the others already to see if we need to retrain people and find other opportunities for them,” the Vice President said.
Chief Investment Officer (CIO) and Head of the Guyana Office for Investment (GO-INVEST) Dr. Peter Ramsaroop, had assured that the BPO sector in Guyana remains robust.
With regards to Itel closure, the Ministry of Labour has already engaged the company on workers’ severance. The Ministry also said it will assist in finding alternative employment or training opportunities for the affected employees.
