While artificial intelligence is the primary concern for white-collar workers, a less publicized crisis is unfolding for blue-collar employees in 2025. Despite promises of a resurgence, recent data reveals a continued decline in blue-collar employment, with losses in manufacturing, transportation, and warehousing. Experts attribute this trend to factors like economic slowdowns, restrictive immigration policies, and the effects of tariffs on manufacturing. Although manufacturing output is up, a reduced workforce suggests improved productivity through automation, indicating a long-term shift away from traditional blue-collar jobs.
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Amazon is poised to eliminate up to 30,000 corporate jobs starting Tuesday, a move intended to curb costs and rectify overhiring that occurred during the pandemic. These cuts could affect several divisions, including human resources, devices, and operations, representing a significant reduction of nearly 10% of its corporate workforce. Managers are undergoing training to communicate the changes, with notifications set to be delivered via email. This initiative is part of CEO Andy Jassy’s effort to reduce bureaucracy and leverage AI, potentially leading to further job reductions.
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New Jersey Representative Bonnie Watson Coleman has introduced the Guaranteed Income Pilot Program Act of 2025, which aims to establish a large-scale basic income experiment across the United States. The legislation proposes a three-year pilot program providing monthly payments to 10,000 Americans aged 18-65, equivalent to the fair market rent for a two-bedroom home. This initiative seeks to shield Americans from economic instability, including potential impacts of automation and the AI revolution. While Democrats generally support such programs, the bill faces potential challenges due to concerns about costs and work incentives among some Republicans.
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GE Appliances announced a $490 million project that will bring the production of clothes washers from China to its Louisville, Kentucky complex, creating 800 new jobs. This investment will make the company the largest U.S. manufacturer of washing machines and aligns with its “zero-distance” business strategy to manufacture appliances closer to consumers. The project will involve shifting production of combo washer/dryers and front-load washers, expanding the production area to the equivalent of 33 football fields by 2027. This move is part of the company’s broader strategy to increase U.S. manufacturing and builds on previous investments in its Appliance Park facilities.
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Amazon CEO Andy Jassy announced that the company anticipates a smaller workforce in the coming years due to increased efficiency from AI implementation. This reduction will result from AI-driven automation of existing tasks, necessitating fewer employees in certain roles while creating new opportunities elsewhere. Jassy emphasized that this impact extends beyond Amazon, predicting widespread changes across industries due to the rapid advancement of AI. However, the exact extent of AI’s impact on employment remains uncertain, with some critics questioning the validity of such predictions.
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John Q. Hosedrinker