Published by the Brookings Institution in July 2025 and authored by Tania Babina and Anastassia Fedyk, this research review concludes that AI has not yet caused widespread job loss, but is contributing to rising industry concentration and a more skill-biased labor market that favors workers with AI-complementary skills over those without them.
The report's academic grounding, drawing on firm-level and labor-market data rather than survey sentiment, makes it a frequently cited counterpoint in debates over whether AI's labor-market effects have been overstated in either direction.