Report on the Gendered Implications of Artificial Intelligence on Sustainable Development Goals

The proliferation of Artificial Intelligence (AI) presents a dual challenge to global development objectives. While AI is projected to significantly boost economic productivity, aligning with aspects of Sustainable Development Goal 8 (Decent Work and Economic Growth), its implementation threatens to undermine progress on SDG 5 (Gender Equality) and SDG 10 (Reduced Inequalities). The current trajectory of AI adoption indicates that productivity gains may be achieved at the expense of gender equity, creating a “digital glass ceiling” and perpetuating economic disparities that contravene the core principles of the 2030 Agenda for Sustainable Development.

Threats to SDG 5: Gender Equality in the AI-Driven Labor Market

The transition to an AI-integrated workforce poses specific and disproportionate risks to women’s employment, career advancement, and economic empowerment, directly challenging the targets set forth in SDG 5.

Disproportionate Risk of Job Displacement

Analysis indicates that roles predominantly held by women are more susceptible to automation by AI, creating a significant risk of job loss that could reverse gains in female labor force participation.

• A study by the International Labour Organization (ILO) and Poland’s National Research Institute found that in high-income countries, women are nearly three times more likely than men to have their jobs impacted by generative AI.
• Globally, 4.7% of jobs held by women fall into the highest-risk category for automation, compared to only 2.4% of jobs held by men.
• This disparity threatens to widen the gender gap in employment and economic security, a direct setback for SDG 5.

Barriers to AI Adoption and Opportunity

Women face distinct barriers to leveraging new opportunities created by AI, which hinders progress toward SDG Target 5.b, aimed at enhancing the use of enabling technology to promote the empowerment of women.

• Studies show women are less likely than men to use AI tools in the workplace, often due to concerns about trust, accuracy, and ethical implications.
• This reluctance or exclusion from AI adoption can limit career advancement, leaving women behind in a rapidly evolving job market.
• The use of AI in hiring processes has also revealed significant biases. A Brookings study demonstrated that Large Language Models (LLMs) often disfavor female candidates based on name association, a practice that violates the principles of non-discrimination central to SDG 5 and SDG 10.

Implications for SDG 8: Decent Work and Economic Growth

The exclusion of women from the benefits of the AI transition carries substantial economic costs, jeopardizing the achievement of inclusive and sustainable economic growth as outlined in SDG 8.

The Economic Cost of the AI Gender Gap

Failing to ensure gender inclusivity in the AI-driven economy will exacerbate existing economic losses associated with gender inequality.

1. Diminished Career Advancement: When women are excluded from AI-related roles and tools, their career progression is stunted, limiting their contribution to leadership and innovation.
2. Reduced Business and Economic Growth: The global economy already loses an estimated $7 trillion annually due to gender inequality. A World Bank report indicates that full participation of women in the labor force could increase global GDP by 19%. AI’s disproportionate negative impact on women will perpetuate these losses, hindering the overall economic growth targeted by SDG 8.
3. Limited Influence on AI Development: The underrepresentation of women in the AI sector reduces the diversity of perspectives in its development, reinforcing biases and limiting the technology’s problem-solving capacity.

Addressing the Digital Divide for Sustainable Development

To harness AI for sustainable progress, policymakers and industry leaders must address its gender-specific implications. An inclusive approach is critical not only for upholding commitments to SDG 5 and SDG 10 but also for realizing the full economic potential envisioned in SDG 8 and fostering the responsible innovation central to SDG 9 (Industry, Innovation, and Infrastructure).

Policy and Stakeholder Recommendations

A multi-stakeholder approach is necessary to ensure that AI-driven productivity gains contribute to, rather than detract from, the Sustainable Development Goals.

• Promote Inclusive Education and Upskilling: Governments and organizations must invest in programs that equip women with the necessary AI literacy and technical skills, aligning with SDG 4 (Quality Education) and SDG 5.
• Combat Algorithmic Bias: Develop and enforce robust regulatory frameworks to audit and eliminate gender bias in AI hiring tools and other systems, ensuring equal opportunity as mandated by SDG 8.
• Ensure Female Representation in AI Governance: Actively include women in the design, development, and governance of AI technologies to create more equitable and effective solutions.

Without deliberate intervention, the AI revolution risks deepening gender inequality, thereby undermining global economic potential and hampering the achievement of a sustainable and equitable future for all.

Analysis of the Article in Relation to Sustainable Development Goals (SDGs)

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 5: Gender Equality
• SDG 8: Decent Work and Economic Growth
• SDG 10: Reduced Inequalities
• SDG 9: Industry, Innovation, and Infrastructure

2. What specific targets under those SDGs can be identified based on the article’s content?

1. SDG 5: Gender Equality

   • Target 5.5: Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision-making in political, economic and public life. The article highlights that an AI-driven gender gap will diminish “women’s influence over the development of AI” and notes that excluding women from leadership “reduces innovation and problem-solving capacity.”
   • Target 5.b: Enhance the use of enabling technology, in particular information and communications technology, to promote the empowerment of women. The article discusses the adverse effect of AI, an enabling technology, which is currently poised to disempower women. It notes that women are less likely to use AI tools, which could hurt their careers, and that AI in hiring can be discriminatory, running counter to the goal of using technology for empowerment.

2. SDG 8: Decent Work and Economic Growth

   • Target 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading and innovation… The article begins by stating that “Artificial intelligence (AI) is projected to increase U.S. GDP growth to almost three percent in the next 10 years,” directly linking AI innovation to economic productivity. However, it warns that these gains may not be inclusive.
   • Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men… and equal pay for work of equal value. The article directly addresses threats to this target, stating that AI-driven productivity gains may occur with “millions of people facing unemployment and reduced wages.” It specifically points out the disproportionate impact on women, noting they are “nearly three times more likely than men to lose their jobs due to generative AI,” which undermines the goal of full employment and equal opportunity for women.

3. SDG 10: Reduced Inequalities

   • Target 10.2: By 2030, empower and promote the social, economic and political inclusion of all, irrespective of… sex… The article’s central theme is that “the gendered effects of AI adoption at work will likely only increase economic gender inequality.” It details how AI could deepen the exclusion of women from economic opportunities, from job retention to participation in new AI-generated roles.

4. SDG 9: Industry, Innovation, and Infrastructure

   • Target 9.b: Support domestic technology development, research and innovation… and ensuring a conducive policy environment… The article discusses the need for U.S. leadership in AI innovation but argues that this requires a policy environment that considers the “gender-specific implications of the labor transition.” It suggests that failing to address gender inequality will “harm America’s ability to reap the economic benefits of AI and lead in global AI innovation.”

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

1. Indicators for SDG 5 (Gender Equality)

   • Proportion of jobs at high risk of automation, disaggregated by gender: The article explicitly states that “4.7 percent of women’s jobs fall into the highest-risk category, compared with 2.4 percent for men.” This serves as a direct indicator of gender-based vulnerability to technological change.
   • Gender gap in the adoption and use of new technologies: The article mentions that “women are less likely than men to use AI at work” and “deploy AI with less frequency than men,” which can be measured to track progress in closing the digital skills gap.
   • Evidence of bias in AI-driven recruitment processes: The Brookings study cited in the article, which found a “significant imbalance in the rates at which male and female names were selected” by LLMs, provides a methodology for an indicator measuring algorithmic bias in hiring.

2. Indicators for SDG 8 (Decent Work and Economic Growth)

   • GDP growth rate: The article mentions the projection that AI will increase “U.S. GDP growth to almost three percent,” a primary indicator of economic growth.
   • Relationship between productivity growth and wage growth: The article refers to the “decoupling of productivity growth and real compensation growth in the past decade” as a key concern, making this relationship a crucial indicator of whether economic gains are shared with workers.
   • Gender-disaggregated unemployment/job loss rates due to automation: The article’s finding that women are “nearly three times more likely than men to lose their jobs due to generative AI” is a specific indicator for measuring the gendered impact of AI on employment.

3. Indicators for SDG 10 (Reduced Inequalities)

   • Economic losses attributed to gender inequality in the workforce: The article provides a quantifiable indicator by stating, “The global economy loses more than $7 trillion annually due to gender inequality in the workforce.”
   • Potential GDP gains from full women’s labor participation: The World Bank report cited in the article found that “global GDP would be 19% higher with full women’s labor participation,” which can be used as a benchmark indicator to measure the economic cost of gender gaps in employment.

4. Table of SDGs, Targets, and Indicators

Source: stimson.org