The Effects of Artificial Intelligence on Labor Market Outcomes, Job Satisfaction and Perceived Health: Evidence from Australia [with Dora Tuda]

This paper examines the impact of artificial intelligence (AI) exposure on labor market outcomes and workers’ well-being in Australia. Using longitudinal microdata from the Household, Income and Labour Dynamics in Australia (HILDA) survey (2002–2022), the AI Impact index proposed by Tolan et al. (2020), difference-in-difference and event study estimates, we examine the effects of AI exposure on employment, wages, work hours, job satisfaction, and perceived health. Our findings suggest that AI exposure is positively associated with wages but negatively linked to worked hours and satisfaction with job security and job complexity. While older workers experience fewer reductions in work hours, women appear to benefit more from wage increases. These results contribute to the emerging literature on AI-driven labor market changes by providing empirical evidence from a detailed panel dataset.