The Erosion of Public Trust in Artificial Intelligence and Its Impact on the Labor Market in the United States
As I continue to use my personal experience facing a changing hiring landscape backed by alarming research to shed light on an unseen crisis, I hope to be a catalyst for AI regulation in the United States. What we are witnessing in today’s labor market is unprecedented: a collision between rapid technological innovation and a workforce increasingly left behind, displaced, or outright excluded.
Artificial intelligence, once celebrated as the great equalizer and productivity booster, is now eroding public trust and undermining the stability of our labor market. As a data analyst with over a decade of experience, I have been searching for employment for over a year without landing a single interview. I am not alone. According to Fortune, 40% of job seekers have not landed a single interview in the past year, and a staggering 71% describe the process of applying for jobs as feeling like "sending a resume into a black box."
This crisis is not only about jobs lost to AI and automation but also about the growing sense of helplessness, inequality, and despair that accompanies it.
A Labor Market in Disarray
AI and automation are not just tools; they are reshaping industries and the economy at an alarming rate. In 2024, tech companies poured billions into AI development while simultaneously laying off tens of thousands of workers. CNN aptly described this trend back in January 2024: “The tech sector is pouring billions of dollars into AI. But it keeps laying off humans.”
What’s worse, the hiring landscape has become nearly impenetrable for displaced workers, particularly those over 50. According to a recent article from Forbes, ResumeBuilder.com recently surveyed 1,000 hiring managers to understand the prevalence of ageism in the workplace.
Some of their findings included:
42% consider age when evaluating resumes
40% have age bias against Gen Z candidates
30% admit to age bias against older applicants
”Ageism remains a prevalent issue in the workforce, affecting individuals both early and later in their careers,” says Resume Builder’s Chief Career Advisor Stacie Haller. “Regrettably, many hiring managers continue to rely on age as a determining factor in their recruitment decisions. This practice presents a significant disadvantage, as one’s age should never dictate their potential for success in a role, provided they possess the requisite skills and experience.”
Social media influencers, such as @the_realestrecruiter, have highlighted how ageism, combined with automation, has rendered older professionals "unhireable" due to stereotypes about their ability to adapt to technology. These workers, with decades of experience, are finding themselves sidelined in favor of automated systems or younger, cheaper talent.
Even for younger workers, the outlook is grim. More people are out of work for a longer period of time. In November, the number of people in America who are considered “long-term unemployed” — that is, out of a job and looking for one for at least 27 weeks — was about 1.7 million. That’s around half a million more than the same time a year ago. Mass layoffs and a saturated job market have forced many into low-wage jobs outside their fields. I myself transitioned from a career as a data analyst to working as a part-time cashier at BevMo, only to find myself needing to reapply for similar roles just to survive. This is not the promise AI made—it’s the unintended consequence of unregulated implementation.
Public Distrust of AI in Hiring
The use of AI-powered Applicant Tracking Systems (ATS) is a major contributor to the erosion of public trust in AI. These systems, designed to streamline hiring, are inadvertently disqualifying countless qualified candidates. ATS bots scan resumes for keywords and formatting, often rejecting applications before a human ever sees them. As I commented on social media:
"It’s not your lack of skills causing bots to reject your application—it’s likely due to formatting issues in your PDF resume. Leveraging AI to make your resume ATS-friendly has ironically become a necessity just to beat the very AI systems designed to assess candidates fairly."
The irony is staggering: job seekers are now turning to AI tools like “AI Apply” to tailor their resumes to bypass ATS bots, effectively creating a system where bots are speaking to bots. This vicious cycle undermines the credibility of AI in hiring and amplifies frustration among job seekers. It’s no wonder public trust in AI is eroding when people feel dehumanized by the very systems meant to help them.
The Human Cost of Unregulated AI
Beyond hiring, the unchecked adoption of AI is driving a cascade of crises that threaten the fabric of American society:
Labor Crisis: Entire industries are automating roles faster than workers can reskill, leaving thousands unemployed or forced into low-paying jobs and soon millions to face rejection in years to come as unregulated AI and automation dominates the labor market.
Mental Health Crisis: The stress, anxiety, and hopelessness experienced by displaced workers are fueling a silent epidemic. Many, like the social media influencer @the_realestrecruiter, turn to unhealthy coping mechanisms using sarcasm, such as alcohol, to manage the frustration of endless rejections.
Housing Crisis: With fewer jobs and lower wages, more Americans are unable to afford housing, exacerbating an already dire situation.
The convergence of these crises underscores the urgent need for AI regulation. Without intervention, we risk creating a society where opportunity is limited to those who can navigate or exploit automated systems, while millions are left behind.
A Call for Bold Leadership
In a letter I wrote to President Joe Biden, I emphasized the need for immediate action, including:
Implementing a percentage cap on how much private companies can replace their workforce with AI and automation.
Establishing the Artificial Intelligence Accountability Act of 2024 as part of the U.S. Constitution, ensuring federal support for reskilling and upskilling programs.
Providing tax incentives to businesses that retain their human workforce and invest in employee development.
These measures are not about stifling innovation—they are about ensuring that AI serves humanity rather than undermining it. Just as we acted decisively during the COVID-19 pandemic, we must now confront this new crisis with urgency, foresight, and compassion.
Correspondence to President Joe Biden:
Dear President Joe Biden,
We are at a decisive moment in history, a moment that will define the future of our great nation for generations to come. Just as we faced the urgency of the COVID-19 pandemic and acted swiftly to protect the lives and livelihoods of Americans, we now face another pandemic—one that could erode the core of our American values, humanity, and economic stability: the unchecked implementation of artificial intelligence and automation.
This is not merely a technological challenge; it is a crisis of identity, fairness, and opportunity. Without immediate action, the livelihoods of millions of Americans are at risk of being displaced by a technology that, while promising innovation, could end up doing more harm than good.
To safeguard our workforce and economy, I urge the Biden-Harris administration to take expedited action before January 20th, 2025. Whether through:
Implementing a percentage cap on how much private companies can replace their current workforce with artificial intelligence and automation,
Establishing the Artificial Intelligence Accountability Act of 2024 as part of the U.S. Constitution, ensuring federal support for reskilling and upskilling programs, and
Providing tax incentives to businesses that prioritize retaining their human workforce.
We must act NOW. History has shown us what happens to great nations that fail to adapt and protect their people. If we delay, we risk seeing the United States lose its standing as the world’s superpower, just as the Roman Empire fell when it underestimated the forces threatening its foundations.
This moment requires bold leadership. Policies must be implemented immediately to ensure that AI serves humanity rather than undermines it. These regulations will not stifle innovation but instead balance progress with human dignity, fairness, and economic stability.
Unregulated AI and automation threaten to displace millions, provoke a mental health crisis, and create a labor and housing catastrophe of unprecedented proportions. As a nation, we have no choice but to confront this reality with the same vigor we applied during the COVID-19 pandemic.
The Biden-Harris administration still has the opportunity to solidify its legacy by safeguarding the livelihoods and futures of millions of Americans. Failure to act could lead to an irreversible crisis under a future administration that may lack the foresight to address these critical issues.
Let us not underestimate what unregulated AI could do to the workforce, the economy, and the very fabric of our society. Together, we can build a future where AI works for us—not against us.
I implore you, Mr. President, to use your leadership and influence to drive immediate action. The time is now. Let us move forward with courage, compassion, and unwavering conviction.
Sincerely,
Kevin Bihan-Poudec
The Time to Act is Now
The erosion of public trust in AI is not just a warning sign—it’s a wake-up call. We have the opportunity to shape the future of AI in a way that preserves human dignity, fairness, and opportunity. If we fail to act, the consequences will be catastrophic: a labor market in disarray, a society plagued by inequality, and an economy that no longer works for its people.
This is a decisive moment in history. Let us not be remembered as the generation that allowed unregulated AI to dismantle the American Dream. Instead, let us lead with courage, compassion, and conviction. The time to act is now.
Sincerely,
Kevin Bihan-Poudec
A Voice for Change
President Joe Biden’s response can be found here.
