AI Boosts Productivity Without Triggering Job Cuts in Eurozone

Artificial intelligence is driving productivity gains in the eurozone, says European Central Bank President Christine Lagarde. Although AI has not yet resulted in significant layoffs, vigilance is necessary regarding its future impact on the labor market. Lagarde emphasized a cautious but observant approach during her address to the European Parliament.


Devdiscourse News Desk | Frankfurt | Updated: 26-02-2026 14:38 IST | Created: 26-02-2026 14:38 IST
AI Boosts Productivity Without Triggering Job Cuts in Eurozone
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  • Country:
  • Germany

Artificial intelligence is enhancing productivity in the eurozone, according to European Central Bank President Christine Lagarde. Though concerns about job losses due to automation persist, such effects have not yet materialized, she indicated.

Lagarde addressed the European Parliament, revealing that AI is currently boosting economic productivity. However, she assured that the anticipated surge in redundancies has not occurred.

Despite these positive developments, Lagarde stressed the need for continuous monitoring of AI's impact on employment. She promised that the ECB will remain vigilant about potential future labor market disruptions due to automation.

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