As Artificial Intelligence (AI) continues to advance at an unprecedented pace, its impact on the employment landscape in Malta has become increasingly apparent. From automation and optimisation to the development of new job opportunities, AI is reshaping industries and altering traditional work dynamics.
While there are concerns about potential job displacement, the overall impact of AI on employment in Malta showcases a mixed bag of challenges and opportunities. Policy actions should be a national imperative to ensure workers get future-ready and quickly acquire the new skills needed to adapt this changing world as the pace of change accelerates over the next decade.
Automation, a key feature of AI, could significantly transform various sectors in Malta. Industries such as manufacturing, logistics and customer service, health and education, can, if used effectively, witness an increase in efficiency and productivity with the integration of AI technologies.
Repetitive and mundane tasks that were once carried out by workers are now being automated, enabling businesses to allocate human resources to more complex and strategic roles. This shift has resulted in improved operational processes, reduced costs and enhanced customer experiences.
However, the automation-driven transformation has not been without challenges. Certain job roles that were primarily focused on manual labour will experience a decline. Workers in industries such as manufacturing, transportation and services face the risk of being displaced by AI-powered machines and autonomous vehicles.
An expert told me that within the next three years, AI can displace over 15 per cent of the workforce – that means between 30,000 to 40,000 jobs. To mitigate the negative consequences of automation, reskilling and upskilling programmes are crucial in helping the workforce adapt to the evolving demands of the job market.
On the flip side, AI can also create new job opportunities and stimulate the growth of emerging industries in Malta. As AI technologies continue to advance, the demand for professionals skilled in areas such as data science, machine-learning and algorithm development has skyrocketed. Tech companies and start-ups in Malta will need to recruit individuals with expertise in these domains to develop and deploy AI solutions across various sectors.
This can lead to a surge in employment opportunities for skilled workers, attracting talent and driving innovation in the country. But to be the best, we need to attract the best, and laws and policies to mitigate skills attraction are needed.
AI for many is still a black box. Over 60 per cent of the Maltese public are unaware of what it is, its effect, how it works or how it can help; few understand the challenges it will create and, unfortunately, we are still lagging in identifying how to address these challenges.
In three years AI can displace over 15% of Malta’s workforce- Ivan Castillo
While AI-driven automation and innovation present significant potential benefits, policymakers and industry leaders in Malta must address the challenges associated with the evolving employment landscape. The government needs to step up to prepare the workforce for the digital revolution driven by AI through education and training initiatives.
The time for discussion has elapsed – now is the time for action and Malta cannot afford to fall behind. We need education reform and we must offer our students digital literacy and AI, courses on judgement and problem-solving, creative and critical thinking, and interpersonal communication.
We must guarantee high-quality levels of education in AI – most countries in the EU have already developed policies to enhance teachers’ competencies in teaching and working with digital and AI technologies. We need a national strategy to promote a culture of lifelong learning, and the government needs to evaluate the future needs of the labour market in terms of digital and AI competences – possibly using AI to do so.
Collaboration between educational institutions and industry has become imperative to bridge the gap between academic knowledge and industry requirements. By developing tailored programmes that align with industry’s needs, Malta can nurture a workforce that is well-equipped to handle the challenges and capitalise on the opportunities presented by AI.
Additionally, a balanced approach is crucial to ensure that AI is implemented responsibly and ethically. Measures such as transparent AI algorithms, data-privacy regulations and robust ethical frameworks need to be in place to protect workers and consumers from potential risks and biases associated with AI systems.
While automation has led to certain job displacements, it has also generated new opportunities and stimulated the growth of emerging industries.
The country’s focus on upskilling, research and responsible AI implementation are key pillars in managing the effects of AI on employment.
By embracing these challenges and opportunities, Malta can position itself as a leader in the AI revolution, ensuring a sustainable and prosperous future for its workforce.
Ivan Castillo is the Nationalist Party’s spokesperson for employment and maritime affairs.