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A New White-Collar Gig Economy: Training AI To Take Over

3 months ago
AI labs are paying skilled professionals hundreds of dollars per hour to train their models in specialized fields. Companies like Mercor, Surge AI, Scale AI and Turing recruit bankers, lawyers, engineers and doctors to improve the accuracy of AI systems in professional settings. Mercor advertises roles for medical secretaries, movie directors and private detectives at rates ranging from $20 to $185 per hour for contract work and up to $200,000 for full-time positions. Surge AI offers as much as $1,000 per hour for expertise from startup CEOs and venture capital partners. Mercor pays out over $1.5 million daily to professionals it hires for clients including OpenAI and Anthropic. Some contractors are former employees of Goldman Sachs and McKinsey. Others moonlight in this work while keeping their regular jobs. Brendan Foody, Mercor's 22-year-old CEO, acknowledged at a conference last week that trade secrets could potentially be compromised given the volume of work submitted. Uber CEO Dara Khosrowshahi said on this week's earnings call that some AI training gigs on its platform require PhDs.

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Senate bill would require companies to report AI layoffs as job cuts reach 20-year high in October

3 months ago
Government agencies would also have to report losses due to automation.

ai-pocalypse  A bipartisan pair of US Senators has introduced a bill that would require companies and government agencies to report AI-related layoffs, and it couldn't come at a better time. October jobs data suggests AI is driving the largest wave of layoffs headed into the end of the year that we've seen since 2003. …

Brandon Vigliarolo

Why Manufacturing's Last Boom Will Be Hard To Repeat

3 months ago
American manufacturing's postwar boom from the 1940s through the 1970s resulted from conditions that cannot be recreated, a story on WSJ argues. Global competitors had been destroyed by war. Energy was cheap. Unions could demand concessions without fearing job losses to foreign rivals. Strikes were frequent in steel, auto, trucking, rubber and coal mining. That relentless pressure from an organized working class raised real wages and created fringe benefits including health insurance and retirement pay. Government support for unions kept executive salaries at just a few times median income. Stock buybacks were illegal or frowned upon. President Eisenhower declared at the 1956 dedication of the AFL-CIO national headquarters that "Labor is the United States." The system began unraveling by the mid-1960s. The Vietnam War drained federal coffers. Inflation accelerated as government deficits exploded. Nixon abandoned the gold standard in 1971, unleashing currency volatility. The 1973 OPEC oil embargo quadrupled energy prices. Foreign competition returned from Japan, Korea and West Germany. American companies carried mounting legacy costs like pensions that discouraged investment in upgrades and research. Milton Friedman declared in a 1970 New York Times essay that the social responsibility of business is to increase its profits. Clinton signed NAFTA in 1993 and championed the World Trade Organization in 1995. Bethlehem Steel employed around 150,000 people in the mid-1950s. The company filed for bankruptcy in 2001. Its former hometown plant in Bethlehem, Pa., is now a casino.

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