Europe must ensure that artificial intelligence strengthens jobs, productivity, and public services rather than undermining workers and the European social model, trade unionists said today during discussions with policymakers.
The topic of the EU’s ‘macroeconomic dialogue’, set by the Cyprus Presidency was Artificial Intelligence and the Future of the EU labour market: Safeguarding EU Competitiveness and Social Cohesion.
Speaking at the event, the General Secretary of the European Trade Union Confederation (ETUC), Esther Lynch, said the rollout of AI is too important to be left solely to CEOs who have failed to reinvest rising profits in the technology or training needed to raise productivity.
Instead, she called for EU action to ensure that the benefits of AI are shared beyond boardrooms, through increased investment in our companies, workers and public services. The ETUC is calling for:
- Legislation as part of the Quality Jobs Act that ensures AI is introduced in workplaces in a way that respects workers’ rights and is based on the human in control principle;
- A stronger European industrial policy, backed by investment and clear social conditions, to ensure technological change protects jobs, supports reskilling, and creates new quality jobs;
- Productivity gains from AI to be used to create new quality jobs in sectors which have labour shortages, including care, health, education, public services and public broadcasting.
The ETUC’s call comes amid warnings that AI could cause an unemployment shock in Europe larger than that which followed the financial crisis. That would have severe implications, not only for workers, but also for Europe’s public finances as more than half of EU tax revenues come from labour income taxes and social contributions, which fund pensions, healthcare, education and public services.
ETUC General Secretary Esther Lynch said:
“Artificial intelligence will transform our economies. The real question is whether it will strengthen jobs and wages, or simply increase profits while workers pay the price. Technology alone does not increase productivity. Its rollout is key. Companies must invest in skills, training and work organisation so that AI improves jobs and working conditions rather than replacing workers and creating new psychosocial risks.
“Enormous investment is currently going into building AI infrastructure, including computing power, data centres and digital platforms, but far less investment is being directed towards using AI productively in workplaces. The transformation driven by artificial intelligence is too important to be left solely to corporate decision-making. Laws and collective bargaining must also play a central role in shaping how these technologies are introduced in workplaces.
“Europe’s economy depends on strong employment and decent wages. The EU needs a plan to create new jobs, not just manage job losses. AI must be used to improve productivity in ways that support quality employment, fair wages and strong public services. If taxpayers fund the transition, workers must help shape it. Companies receiving public support such as subsidies, public contracts, investment or tax breaks, should be required to agree transformation plans with trade unions.
“Artificial intelligence should help Europe become more productive and competitive. But it must also strengthen jobs, wages and the public services that sustain our societies and our democracies.”
ETUC Confederal Secretary Ludovic Voet said :
“Europe has already shown with Next Generation EU that common financing works. The next step is to build a permanent European investment capacity financed by common debt capable of supporting the energy transition, strengthening industrial resilience and ensuring that technological change delivers quality jobs for workers across Europe.
“Europe now needs a real investment leap to secure affordable energy, strengthen its industrial base and create quality jobs. Reforming electricity market design and preventing windfall profits must go hand in hand with large-scale public investment in clean energy and grids so that Europe can finally break its dependence on volatile fossil fuel prices.
“Europe must also build a stronger ‘Made in Europe’ strategy that anchors production, innovation and strategic value chains on our continent. This means supporting key sectors not only in manufacturing but also in digital infrastructure, cloud services, payments and other technologies that are critical for Europe’s economic sovereignty.”
Notes:
According to IMF estimates, up to 60% of jobs in advanced economies could be affected by AI, with around 50–60 million jobs in the EU exposed to significant change. Not all of these jobs will disappear, but even if only a fraction were replaced the impact could be substantial. If 10–15% of exposed jobs were lost, Europe could see between five and nine million jobs disappear if you comparable that to the labour market shock after the 2008 financial crisis, when around six million jobs were lost across the EU.
