A look beyond MIT's sensational Headline grabbing article - AI cannot do the work of 12% of America's workforce
A recent CBS article grabbed attention with its clickbait title: " AI can already do the work of 12% of America's workforce, MIT researchers find. " While eye-catching, this framing oversimplifies a groundbreaking study from MIT and Oak Ridge National Laboratory. Their Iceberg Index reveals that current AI tools can technically handle tasks worth about 11.7% of U.S. wages—roughly $1.2 trillion—across the $9.4 trillion labor market. What the Iceberg Index Reveals Imagine the U.S. workforce as an iceberg: the visible "tip" is AI's disruption in tech jobs, like software coding, where adoption is already underway. This Surface Index covers just 2.2% of wages ($211 billion) and clusters in coastal states such as Washington (4.2%) and California (3.0%). Below the surface lies the real story—a fivefold larger hidden mass in everyday cognitive work: administrative paperwork, financial analysis, and professional services. These tasks span all 50 states, with surpr...