AI is reshaping Australia's workforce, but not all jobs face the same threat. Some roles risk being replaced or transformed by automation by 2026, while others will evolve alongside AI. Here's a clear look at which jobs could change and what it means for workers and businesses.
Current State of AI and Jobs in Australia
Australia’s economy relies heavily on the service sector, which accounts for around 70% of GDP and employs the majority of the workforce. This makes the country more exposed to AI-driven changes compared to economies with a larger manufacturing base. Research from the Australian Bureau of Statistics (ABS) combined with CSIRO projections estimates that AI adoption could add up to $315 billion to the Australian economy by 2030, a substantial boost equivalent to about 15% of current GDP.
However, this economic growth comes with disruption. Some jobs face higher risks of being automated or significantly changed. Importantly, AI tends not to replace entire jobs outright but rather specific tasks within roles. For example, routine data processing or simple customer queries can be automated, while tasks involving empathy, creative problem-solving, physical dexterity, and complex decision-making remain mostly human domains.
Understanding which jobs are most vulnerable helps workers and employers prepare for the coming shifts. It also highlights the need for upskilling and reskilling in areas where AI will augment human work rather than replace it. The ABS and CSIRO data show that more than 40% of Australian jobs could see 30% or more of their tasks automated by 2030, but complete automation of entire occupations is less common.
Key Developments in AI Adoption Across Industries
Several Australian industries have already begun adopting AI technologies, each with different impacts on jobs. The mining sector stands out as a leader in AI use. Companies like Rio Tinto and BHP have invested heavily in autonomous haul trucks and drilling systems. For instance, Rio Tinto’s autonomous trucks operate around the clock at their Pilbara operations, improving efficiency and safety by reducing human error.
This shift has led to a decline in demand for truck drivers but increased roles in robotics maintenance and data analysis.
In banking, major players such as Commonwealth Bank (CBA) and National Australia Bank (NAB) have deployed AI-powered chatbots and virtual assistants to handle routine customer inquiries. These tools can process thousands of requests At the same time, cutting down wait times and reducing the need for entry-level teller positions. However, banks are also creating new roles focused on AI oversight, cybersecurity, and customer experience design.
Telstra, Australia’s largest telecommunications provider, uses AI to automate routine customer support tasks like password resets and billing questions. This not only improves service speed but shifts the workforce towards more complex technical support and network management roles. Other sectors such as retail and logistics are also increasing AI use for inventory management, demand forecasting, and delivery optimisation.
The Australian government has recognised AI's growing role in the economy and launched initiatives like the AI Action Plan, aiming to support research, foster industry collaboration, and develop ethical AI frameworks. Funding of $124 million was allocated in 2022 to boost AI skills training and innovation hubs across the country, signalling strong public sector commitment to managing AI’s impact on jobs.
Which Jobs Are Most at Risk?
Drawing on analysis from the Productivity Commission and ABS occupational data, jobs in Australia face varying levels of AI risk by 2026:
- High Risk: Roles such as data entry clerks, bank tellers, bookkeepers, travel agents, telemarketers, basic administrative staff, insurance underwriters, and basic accounting positions are among the most vulnerable. These jobs involve repetitive, rule-based tasks that AI systems can perform faster, more accurately, and at lower cost. For example, data entry clerks’ roles have already shrunk by nearly 20% over the past five years due to automation.
- Medium Risk: Positions like paralegals, junior accountants, radiologists, financial analysts, translators, and customer service agents face moderate risk. While AI can assist in research, diagnostics, and language processing, these jobs require specialised knowledge and judgement that AI can't fully replicate. Radiologists, for instance, use AI to support image analysis but still rely heavily on expert interpretation.
- Low Risk: Tradespeople, healthcare workers, educators, and creative professionals are less likely to be replaced by AI. Jobs requiring physical dexterity, emotional intelligence, and complex human interaction remain largely secure. For example, electricians and plumbers perform tasks in unpredictable environments that AI and robots can't easily handle.
For numbers, the ABS projects that approximately 1.5 million Australian workers could be in high-risk roles by 2026. Many of these workers will need to adapt through retraining or transitioning into roles where AI acts as a tool rather than a replacement.
Industry Impacts and Workforce Changes
AI's impact varies widely across industries. In manufacturing, smart automation has led to the loss of some assembly line jobs but created demand for skilled technicians who maintain robots. The agriculture sector uses AI-driven drones and sensors for crop monitoring, changing the nature of farm work.
In healthcare, AI supports diagnostics and patient data management but hasn’t reduced the need for nurses and doctors. Instead, it shifts their focus toward patient care and complex decision-making. Education sectors are experimenting with AI for personalised learning, freeing teachers to focus on mentoring.
Retail is seeing a rise in cashier-less stores using AI-powered checkout systems, which could reduce cashier roles but increase jobs in supply chain management, AI maintenance, and customer experience.
Expert Views on AI and Job Security
Experts remain divided but generally agree that AI will transform rather than eliminate jobs. Professor Mark Dodgson from Queensland University of Technology stresses the importance of lifelong learning. “Workers need to develop skills that complement AI—critical thinking, creativity, and interpersonal abilities,” he says.
Economist Dr. Lisa Waller points to the risk of uneven impacts. “Regions reliant on high-risk jobs, like call centres or clerical work, may face economic hardship without targeted support and reskilling programs.”
The government’s $124 million AI skills fund aims to address this by providing courses in AI literacy, data analytics, and digital skills to help workers stay relevant.
What’s Next for AI and Australian Jobs?
Looking ahead to 2026 and beyond, AI will continue reshaping the workforce. More jobs will integrate AI tools, making human roles more productive but also requiring new skills. The challenge for Australia is balancing innovation with social support to ensure workers aren’t left behind.
Businesses will likely increase investment in AI technologies that automate routine tasks while creating new roles in AI management, ethics, and development. Governments and education providers will play a key role in retraining workers and fostering industries where human skills remain essential.
While predictions vary, most agree that AI is a tool to augment rather than fully replace human labour. For Australian workers, staying adaptable and embracing lifelong learning will be the best defence against AI-related job risks.
By 2026, Australian jobs involving repetitive, routine tasks — like data entry, bank tellers, and basic administrative roles — face the highest risk from AI automation. Meanwhile, trades, healthcare, education, and creative sectors remain more secure, relying on uniquely human skills. The government’s $124 million AI skills fund and industry initiatives show a clear focus on managing the transition. The coming years will test Australia’s ability to adapt its workforce to a future where humans and AI work side by side.
This article was created with AI assistance.
