The world as we know it is rapidly changing as artificial intelligence (AI) reshapes so many layers of our society and culture. Our institutions and governments are struggling to cope with this rapid transformation and find ways to regulate the unintended consequences that AI technology is already bringing upon us.
There seems to be an overwhelming focus on the impact AI will have on white-collar jobs in the immediate future. But I worry deeply about the industries in New York that provide jobs to millions of low-income workers, many of whom are Black and Latino and are financially ill-equipped to face what might be coming. An AI wave is about to hit us, and our government leaders should begin redoubling their efforts to protect those who will be most at risk of financial calamity.
The latest unemployment figures underscore the urgency. According to the U.S. Bureau of Labor Statistics, the nation’s Black unemployment rate rose to 7 percent in September 2026—nearly double the 3.6 percent rate for white workers and well above the overall rate of 4.2 percent. That disparity should sound an alarm. A rise in Black unemployment can be a warning of broader labor-market weakness, not simply a problem confined to one community. One month’s figures do not establish a national trend or prove that AI is responsible. But they make clear that Black workers are confronting an already unequal labor market as this technological transformation unfolds. For New York, the challenge is to prevent AI-driven disruption from deepening that insecurity.
New York has already taken some steps to mitigate the negative impacts of AI technology on the labor market. Under the New York Worker Adjustment and Retraining Notification (NY WARN) Act, New York became the first state in the nation to require employers to disclose when artificial intelligence plays a role in mass layoffs. In March of this year, Governor Hochul also launched the FutureWorks Commission to Guide Response to Impacts of AI on Workers Across New York, which is tasked with proposing solutions to protect our workforce from the disruptive changes in the labor market caused by automation and the increased adoption of AI by companies.
At the legislative level, state lawmakers are also proposing new laws to address these challenges. One of those is the New York Workforce Stabilization Act, which would require certain businesses to conduct and submit AI impact assessments to the Department of Labor (DOL) before deploying AI systems. Another bill, the AI Labor Information Act, which passed both chambers earlier this year and awaits Governor Hochul’s signature, would require certain businesses to annually report to the DOL how they are using artificial intelligence and the impact it is having on hiring.
It’s hard to predict the exact magnitude of the AI wave that will inevitably hit our labor market. The Office of the New York City Comptroller has attempted to forecast a few scenarios for New York City in a report released earlier this year. The report estimates a 50 percent probability that AI could result in negative outcomes, including slower economic growth and job displacement, particularly among white-collar and entry-level workers.
The first signs of AI-driven job displacement may already be evident in the city’s stagnant job growth. According to a report by the Center for an Urban Future, the total number of available entry-level jobs in the city fell 37 percent between 2022 and 2024. And in 2025, only 33,400 new private-sector jobs were added, representing a 0.8 percent rate of growth that was largely driven by low-paying jobs that offer few benefits and limited stability.
There seems to be wide acknowledgment—and growing concern—about the impact AI could have on white-collar, knowledge-based jobs. Yes, these jobs may be among the most exposed to disappearing in the near future. But we cannot ignore the not-so-distant threat AI poses to the industries that employ millions of low-income New Yorkers, who already struggle to make ends meet and save for retirement, as revealed by the most recent data from the Community Service Society’s (CSS) 2025 Annual Survey of Housing and Economic Security.
Low-paying jobs might still be growing, but we don’t know for how long. We may still be far away from robots replacing health care aides, but what about those working in food preparation, cashiers at retail stores, rideshare drivers, food delivery couriers, and other platform-based workers?
The question is not whether AI will transform New York’s labor market—it already is—but whether we will be prepared for the consequences. New York has taken some important first steps, but transparency and data collection alone is not enough. We need a proactive strategy that puts workers, particularly those living on the financial margins, at the center of our response. That means investing in retraining and workforce development, strengthening the social safety net, and ensuring that companies benefiting from AI-driven productivity also contribute to the communities and workers who bear its costs. If the AI wave is coming, we cannot wait until it crashes over millions of New Yorkers before we act.
David R. Jones, Esq., is President and CEO of the Community Service Society (CSS), New York’s leading advocate for low-income New Yorkers for more than 175 years. The views expressed in this column are solely those of the author. The Urban Agenda is available on the CSS website at www.cssny.org
