The most recent survey conducted by the Federal Reserve Bank of New York reveals a notable surge in the utilization of artificial intelligence (AI) among the companies surveyed. Over the past year, there has been an uptick in the percentage of companies, spanning both the service and manufacturing sectors, that have incorporated AI into their operations, as compared to prior time frames.

The majority of these companies have chosen to invest in retraining their existing workforce to ensure compatibility with AI technology, instead of immediately resorting to workforce reductions. Looking ahead, almost half of the companies in the service sector and one - third of those in the manufacturing sector have plans to integrate AI into their businesses in the near future.

Nevertheless, the Federal Reserve Bank of New York issues a cautionary note. As AI technology becomes more deeply embedded in various industries, it could potentially trigger a greater number of layoffs and a slowdown in new hiring down the line. This impact may be particularly pronounced in high - paying job roles.