In developing economies, artificial intelligence (AI) is expected to have transformative—and potentially disruptive—effects on labour markets. Unlike previous waves of automation, which primarily affected routine or low-skilled jobs, AI now increasingly impacts high-skilled, educated workers, younger adults and women in certain roles.

Drawing on new research, this talk by Dr Pablo Egaña-delSol, Visiting Fellow on the Oxford Martin Future of Work Programme, explores how AI exposure in developing countries correlates not only with education and skills, but also with deeper structural inequalities. Employment growth is concentrated at the top and bottom of the wage distribution, while the middle class shrinks. At the same time, wages for high-exposure jobs do not necessarily rise, challenging traditional assumptions about education as a protective factor.

The talk will also examine broader patterns across low and middle-income countries. From large informal economies to gaps in digital infrastructure, many developing regions face distinctive vulnerabilities in the face of AI-driven change. As AI adoption expands unevenly, the potential for deepening inequality grows - unless met with proactive skill-building, inclusive policy, and regional cooperation.

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Dr Pablo Egaña-delSol
Visiting Fellow, Oxford Martin Programme - Future of Work

Dr Pablo Egaña del Sol holds a Ph.D. in Sustainable Development from Columbia University and is the founding director of the Master in Sustainable Business program at UAI Business School. With extensive experience advising governments, corporations, NGOs, and multinational institutions across Latin America, he currently leads the Future of Work expert working group in the Senate of Chile. Previously, he was an Assistant Professor at the Asia School of Business, Kuala Lumpur, and an International Faculty Fellow at MIT Sloan School of Management.

His research focuses on two main areas: exploring the future of work in developing economies and employing advanced methodologies to understand how workforce reskilling can address these emerging challenges. His findings have been published in prestigious journals such as the Journal of the European Economic Association (JEEA), Nature’s Scientific Reports, MIT Sloan Management Review, and Technological Forecasting and Social Change, among others.

He is a visiting scholar at the Wharton School, University of Pennsylvania, and an affiliated researcher at J-PAL, IZA, EGAP, and Fairwork at OII.

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