What is a potential consequence of AI increasing efficiency in the workplace?

The reason the reduction in necessary workforce is considered a potential consequence of AI increasing efficiency in the workplace stems from the nature of automation and its impact on labor needs. As artificial intelligence systems are introduced to handle various tasks more quickly and effectively than human workers, organizations may find that fewer employees are needed to achieve the same level of productivity.

With increased efficiency—such as processing data, executing basic tasks, or managing repetitive functions—companies can streamline operations, leading to a potential downsizing of their workforce. This dynamic presents a challenge in many industries, as workers may face displacement due to their roles becoming redundant in the wake of AI advancements.

The other choices point to more positive outcomes; while increased collaboration and enhanced job satisfaction can occur due to the freeing up of employees' time from mundane tasks, and the development of new job roles may result from shifting job requirements in a tech-driven environment, they do not directly address the primary and immediate threat of workforce reduction that efficiency gains through AI could cause.