One parameter is crucial to succeed with AI in the financial sector
One element in particular increases the benefits of artificial intelligence in companies. That is the outcome of a survey that also indicates that many employees in the financial sector worry about the development
Artificial intelligence is playing a more and more important role in many different parts of the hyper-digitalised financial sector, but there are many indications that the extent will intensify greatly in the next few years.
Many advantages are approaching in step with AI technology being matured and rolled out. But, on the horizon, the drawbacks faintly materialise, and a fear of what will actually happen in the years to come?
A large survey made by the OECD clearly indicates that the chances of success increase significantly if you succeed in getting the employees on-board.
A pivotal conclusion is that employees should be involved in the development and rollout of the technology. Much suggests that positive results with artificial intelligence appear to be significantly more pronounced when the employees are consulted and heard.
It also contributes to establishing ownership of the development that is sweeping across the sector.
"The workplaces that ask their employees or trade union representatives for advice on new technologies are the same workplaces that report the most positive impact on employee productivity and working conditions," the report reads.
Artificial intelligence in the financial sector
in the financial sector has experienced AI automation of tasks that used to be performed by employees.
of financial companies using AI do so for data analytics or fraud detection purposes.
of all financial sector employees report that their company's AI tools are collecting personal data about them or how they work.
One in five are concerned
The OECD analysis is based on responses from more than 5,000 employees and over 2,000 business representatives from the financial sector and manufacturing industry across Austria, Canada, France, Germany, Ireland, Great Britain and the US.
The survey was published at the end of March and is one of the first worldwide to paint a picture of what happens in an organisation when artificial intelligence is introduced, and not least how the employees react.
Another important element is that there are indications that many employees in the financial sector worry about the development in artificial intelligence.
Twenty per cent of employees in the financial sector are thus very or extremely concerned that it will lead to fewer jobs in the industry over the next ten years.
Many also reply (20 per cent) that they know of colleagues who have lost their jobs as a result of artificial intelligence. Similarly, just under 30 per cent states to know of employees whose job description has been changed as a result of artificial intelligence.
Dialogue is the way forward
In finance, only 43 per cent of companies that have adopted artificial intelligence report to have consulted employees or trade union representatives about the technology.
The Vice-President of Finansforbundet, Michael Budolfsen, who is also President of UNI Europa Finance, calls for inclusion of the employees when implementing artificial intelligence.
“Timely social dialogue is key to the successful implementation and use of artificial intelligence. Research supports that," he says, adding:
"We cannot wait for the authorities to solve the problem. We must constantly take note of developments, lead a constructive dialogue and adapt to changes in a sustainable way."
The advantages of the technology
Although some concern exists about the consequences of the technology for the labour market over the next few years, the situation is, nevertheless, that many take a positive view.
For example, almost 80 per cent of finance employees who use artificial intelligence find it to be positive for their work, while 63 per cent say that it has increased their job satisfaction.
Another fact appearing from the report is that, currently, the financial sector is primarily boosting artificial intelligence in data analytics and as an important tool in fraud detection.
Artificial intelligence also plays a key role in the credit assessment of customers.
According to the report, artificial intelligence has so far not brought about major job cuts in the financial sector.
Employees should be involved in the rollout of artificial intelligence
While a severe job decline has not presently been noticed as a result of artificial intelligence, many expect that, from 2025 and towards 2030, it will pick up speed, ensued potentially by major consequences for the labour market.
It is said that several employees are concerned that the development will lead to fewer jobs and lower pay in the financial sector.
Such concern deserves to be monitored closely, the report concludes; Michael Budolfsen believes that rollout in the financial sector should be carried out with "humans in control".
"AI must supplement rather than replace employees, and upskilling and retraining are necessary for both managers and employees. Social dialogue is more important than ever if we are to continue creating value for employees, companies and society," adds Michael Budolfsen.
Behind the survey
A major survey by the OECD sheds light on the effect of artificial intelligence on the workplace in the financial sector and in manufacturing.
5,443 employees and 2,053 business representatives participated in the survey across the two sectors in Austria, Canada, France,
The survey 'The impact of AI
on the workplace: Main findings from the OECD AI surveys of employers and workers' - find them here.