TechFlow news: On March 5, according to Fortune, new research by Stanford economist Erik Brynjolfsson shows a significant correlation between minimum wage increases and industrial robot adoption rates. Data indicate that for every 10% rise in the minimum wage, manufacturing firms’ likelihood of adopting robots increases by approximately 8%. This finding echoes his study published in August 2025, which showed that AI has had a “significant and disproportionate impact” on entry-level white-collar jobs, leading to a relative 13% decline in employment among young workers in industries highly exposed to AI.
Together, these two studies paint a picture of a labor market being squeezed from both ends: AI eroding white-collar jobs from above, while automation replaces blue-collar positions from below. Researchers recommend that policymakers consider retraining programs and targeted support for small businesses to mitigate potential job displacement effects.
