
Topic: AI and Labor Market Outcomes: Evidence from China
Date: June 17, 2026 (Wednesday) 10:00-11:00
Venue: T1-302-R1
Language: English
Abstract:As artificial intelligence (AI) spreads worldwide, its impact on labor markets is still unfolding and remains uncertain, yet potentially far-reaching in developing economies undergoing rapid structural transformation. This paper provides the first large-scale evidence from China, where AI investment and adoption have expanded rapidly, linking local AI labor demand to individual wage outcomes. We construct city-year measures of AI labor demand from 1.6 million online job postings between 2016 and 2024, capturing the intensity, breadth, and diversity of AI-related hiring, and merge them with nationally representative microdata from the China Family Panel Studies (2016–2022). Fixed-effects estimates show that local AI labor demand has positive impacts individual wages: a one-unit increase in AI demand (1,000 postings, firms, or job titles) raises wage by about 0.2-0.3 percent. The benefits, however, are uneven. Women experience stronger gains-about 0.5-0.7 percent per unit increase-while men show no measurable effect. Wage effects are largest in Western provinces and in China’s major AI-cluster cities-Jing-Jin-Ji, Yangtze River Delta, Pearl River Delta, and the Southwest-Central corridor-where complementary production factors and digital infrastructure are most developed. Occupational analysis further shows that women’s gains are concentrated in service-oriented and less skill-intensive jobs where AI complements interpersonal and coordination tasks rather than substituting them. Overall, AI diffusion generates meaningful but unequal labor market spillovers, with wage gains concentrated among women, dynamic regions, and human-AI complementary occupations, underscoring both the opportunities of technological transformation and the challenges of achieving inclusive growth.
Biography: Professor Tao FANG has a Ph.D. in Industrial Relations and Human Resources from the University of Toronto. Professor Fang is the Stephen Jarislowsky Chair in Economic and Cultural Transformation at Memorial University of Newfoundland and an Adjunct Professor with the University of Toronto. Currently he holds the J. Robert Beyster Faculty Fellowship at Rutgers University-the State University of New Jersey, a Research Fellowship at IZA - Institute for the Study of Labor, and sits on a World Bank's Expert Advisory Committee on Migration and Development. Prior to joining Memorial, he was the Director of the Master of International Business Program at Monash University in Melbourne, Australia. He served as the President of the Chinese Economists Society (2012-13) and the Domain Leader at CERIS, Ontario Metropolis Centre (2009-12). He was a visiting professor at Harvard University and NBER, the Wharton School of Business of the University of Pennsylvania, City University of Hong Kong, Chinese University of Hong Kong (Shenzhen), University of Macao, Tsinghua University, Fudan University, University of Science and Technology of China, Hanyang University (South Korea). In 2017, he was made a Fellow of the Royal Society of Arts (FRSA). He won the Morley Gunderson Prize from the University of Toronto in 2025.
Professor Fang’s areas of research interest encompass issues of immigration, diversity, and cultural changes, pension, retirement policy and the ageing workforce, minimum wages and youth employment, union impact on wages, innovation and firm growth, pay equity and employment equity. He has published in such journals as Strategic Management Journal, Industrial and Labor Relations Review (Cornell), Industrial Relations (Berkeley), British Journal of Industrial Relations (LSE), Relations Industrielles/Industrial Relations, International Journal of Human Resource Management, International Migration, Journal of Immigrants and Refugee Studies, Refuge: Canada's Journal on Refugees, Equity, Diversity, and Inclusion: An International Journal, Canadian Journal of Economics, Canadian Public Policy, China Economic Review, World Economy, Asian Economic Paper, Review of Development Economics, Journal of Economic Psychology, Journal of World Business, Journal of Labor Research, IZA Journal of Labour Policy, International Journal of Manpower, Journal of Management History, and Social Indicators Research.
Professor Fang has received 17 awards from Social Sciences and Humanities Research Council of Canada (SSHRC) and 5 research grants Employment and Social Development Canada (HRSDC), totaling over $10 million. He was invited by the Government of Canada as for the Expert Consultation on Private Pensions in Canada, and for the Review of Employment. Equity Act.
Professor Fang has also provided consultative services to Human Resources and Social Development Canada, Statistics Canada, the Government of Ontario, and the Government of Newfoundland and Labrador. In 2015, he was appointed as the Jarislowsky Chair at Memorial University, with $2 million endowment support from the Jarislowsky Foundation, the Government of NL, and private donations.