AI is now pushing sales workers out of jobs, Israeli study finds
Artificial intelligence accounts for up to 18% of rising unemployment among telemarketing workers, according to new research from Israel's Taub Center for Social Policy Studies. The study, conducted by economist Michael Dvashoi and professors Gil Epstein and Avi Weiss, documents how AI is reshaping labor demand in roles most exposed to automation.
The impact is concentrated in occupations that recently enjoyed low unemployment and persistent hiring shortages: software development, content creation, and lower-wage sales roles like telemarketing. These fields recorded particularly low joblessness in 2022 but are now experiencing the sharpest increases.
As of June 2025, employers of about 3% of Israeli workers reported reduced demand for employees due to AI use. Half of this decline comes from hiring freezes; the other half from workforce reductions. In high-tech and finance sectors, employers reported a 5.5% cut in staffing levels.
Unemployment composition is shifting
Workers in occupations at high risk of automation now represent 20% to 25% of all unemployed in Israel, up from 14% to 16% between 2019 and 2022. Job vacancies in these professions have declined accordingly.
"The occupational composition of the unemployed in Israel is changing before our eyes," Dvashoi said. "We are seeing more and more people who previously worked in high-tech, finance, sales, customer service and content creation, fields where artificial intelligence is beginning to play a significant role."
Among sales representatives, AI accounts for between 10% and 26% of the unemployment increase recorded between 2022 and 2024-2025.
Junior workers face steeper competition
A related trend is emerging: companies increasingly prefer experienced workers over junior employees entering the field. AI enables skilled, veteran employees to become significantly more productive, reducing the need for entry-level hires.
A U.S. study found a 13% decline in employment among workers aged 22 to 25 in occupations at risk of automation, while older workers were largely unaffected. In Israel, this pattern is particularly visible among programmers.
"Juniors are the first to pay the price," Epstein said.
What this means for sales workers
The shift reflects a broader structural change in how technology affects employment. AI is not simply replacing workers - it is fundamentally changing the competitive dynamics of job markets.
For sales professionals, this means job competition is intensifying and workers without AI-relevant skills face greater risk of displacement. Learning how AI is reshaping sales roles can help workers adapt. Consider exploring AI for Sales or taking an AI Learning Path for Sales Representatives to develop skills that align with how the profession is evolving.
"We are seeing a process in which technology not only replaces labor but fundamentally changes the rules of the game," said Avi Weiss, president of the Taub Center. "For the unemployed, this means competition for existing jobs is becoming much tougher, and those who do not adapt their skills to the AI era risk being pushed out."
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