MIT simulation shows AI can replace 11.7% of U.S. workers worth $1.2 trillion in salaries — Iceberg Index tool shows jobs are affected in every state across the country

MIT and Oak Ridge National Laboratory developed the Iceberg Index, a labor simulation tool that predicts how AI and government policies impact the U.S. workforce. The tool suggests that 11.7% of U.S. workers could be replaced by AI, equating to $1.2 trillion in salaries. The simulation reveals that various industries, not just tech, are at risk of automation. While the tool doesn't specify which jobs will be replaced, it helps policymakers plan for an AI-driven future and mitigate risks on society. States like Tennessee, North Carolina, and Utah are already using the tool to assess policy impacts on employment and GDP, ensuring readiness for the AI era.