Hearings to examine the impact of AI on the workplace

AI in Education and WorkforceSenate Health, Education, Labor, and Pensions Subcommittee on Employment and Workplace Safety · July 29, 2026 · 119th Congress
The Senate HELP Subcommittee on Employment and Workplace Safety, chaired by Sen. Begins at ▶ 0:15:40
Transcript
Highlights

Title

Examining AI's impact on jobs, hiring, and career pathways

Purpose

The Senate HELP Subcommittee on Employment and Workplace Safety, chaired by Sen. Jim Banks (R-IN) with Sen. John Hickenlooper (D-CO) as ranking member, held this hearing to examine how artificial intelligence is affecting the American workforce, including entry-level hiring, job task changes, and gaps in federal labor market data. Five witnesses — a workforce development board CEO, a university labor market researcher, a labor economist, a chamber of commerce/AI trainer, and a nonprofit researcher — testified on hiring trends, career-pathway disruption, and proposed legislation including the AI Workforce Prepare Act. Begins at▶ 0:15:40

Who spoke

• Chair Jim Banks (R-IN)▶ 0:15:40: Said AI will drive $7 trillion in worldwide investment over the next decade▶ 0:16:32 and outlined three observed trends — weaker entry-level hiring, task transformation rather than job replacement, and rapidly changing skill needs▶ 0:17:29; touted the AI Workforce Act he introduced with Hickenlooper, Husted, and Hassan▶ 0:19:42.

• Sen. John Hickenlooper (D-CO), Ranking Member▶ 0:20:57: Framed AI as a "fourth industrial revolution" following steam, electricity, and electronics▶ 0:21:26; described a bill funding regional workforce/education/employer partnerships▶ 0:24:22 and a separate bill with Banks, Hassan, and Husted directing the Department of Labor to study AI's labor-market impact▶ 0:24:54.

• Mr. Clark, President/CEO, EmployIndy▶ 0:27:03: Argued AI is "reshaping far more jobs than it is replacing" and cited a new Indianapolis hospital using AI to summarize patient records for nurses▶ 0:28:34; warned the bigger risk is destruction of entry-level career pathways▶ 0:29:05, and said Indiana now requires 75–150 hours of work-based learning for a high school diploma▶ 1:11:26.

• Ms. Rogers, Director, Indiana Business Research Center, IU Kelley School of Business▶ 0:32:48: Cited a Census Bureau survey finding nearly 20% of U.S. firms use AI in some business function▶ 0:34:36 and Harvard data showing 62% of adults 18–64 use generative AI, spending about 6.5% of work hours on it▶ 0:35:05; said her center found job postings in AI-exposed occupations shrank versus a 35% decline in less-exposed jobs, with exposed wages growing faster even as employment advantage was lost▶ 0:36:37▶ 0:37:06.

• Dr. Palagashvili, Mercatus Center, George Mason University▶ 0:39:09: Said 95% of AI-using firms report no change in total employment per Census data▶ 0:40:01, but young workers in highly AI-exposed occupations show declining employment without a matching unemployment rise, consistent with slower hiring not layoffs▶ 0:40:32; noted new business applications in AI-exposed sectors rose 27% since early 2024 while flat elsewhere, suggesting AI is lowering the cost of independent work▶ 0:43:01.

• Mr. Jonathan Liebert, CEO, Better Business Bureau of Southern Colorado▶ 0:45:17: Said he has trained over 5,500 business owners, employers, and educators on responsible AI use since 2025▶ 0:46:09; described AI as an "ideation engine" not an "oracle" that still requires human verification▶ 0:47:08, and detailed the BBB AI Hub's focus on literacy, governance, and marketplace trust▶ 0:48:01.

• Dr. Justin Heck, Senior Director of Research, Opportunity@Work▶ 0:50:50: Presented analysis of 130 million job transitions identifying "gateway jobs" — 60 million Americans work in them, 62% of whom are STARs (skilled through alternative routes)▶ 0:51:46; warned AI can "hollow out" gateway jobs by removing the hard tasks workers learn from, even without eliminating the job itself▶ 0:53:00; told Sen. Coons that women are 93% of secretaries/administrative assistants and 46% of Black women earning median wages or higher are in gateway occupations▶ 1:33:10.

• Sen. Roger Marshall (R-KS)▶ 0:55:45: Asked all witnesses for 30–45 second answers on how community and technical colleges can quickly retrain displaced data-entry/tech workers▶ 0:56:10.

• Sen. Tammy Baldwin (D-WI)▶ 1:01:22: Asked Dr. Heck and Ms. Rogers what data gaps at the federal level are most urgent to address▶ 1:01:53, and pressed Mr. Liebert on ensuring AI complements rather than displaces workers▶ 1:05:45.

• Sen. Jon Husted (R-OH)▶ 1:07:14: Noted Ohio's unemployment rate is near historic lows and last month saw the fewest national jobless claims since 1969▶ 1:07:42; described using AI with his nephew to map career paths into aerospace and cited Ohio's TechCred program for fast employer-sponsored credentials▶ 1:08:27▶ 1:10:01.

• Sen. Maggie Hassan (D-NH)▶ 1:12:44: Highlighted her bipartisan AI Workforce Prepare Act with Banks, which would require companies to publicly disclose mass layoffs tied to AI replacement▶ 1:13:13; also referenced the Gateways to Career Act with Sens. Young, Collins, and Kaine▶ 1:14:39.

• Sen. Tim Kaine (D-VA)▶ 1:22:49: Raised concern about young-adult (24–30) unemployment ticking up, partly tied to remote work reducing entry-level mentoring roles▶ 1:24:01; suggested studying how the military trains entry-level personnel (MOS system) as a model for AI-augmented skill-building▶ 1:25:04.

• Sen. Lisa Blunt Rochester (D-DE), waived onto the subcommittee▶ 1:28:42: Noted Black women experienced one of the steepest unemployment declines in a quarter century last year▶ 1:31:51 and cited findings that women make up over half of workers in the most AI-vulnerable occupations, with women of color nearly a third▶ 1:32:10; asked Dr. Heck about mobility impacts on women and workers of color▶ 1:32:40.

Key moments

• Banks noted the "$7 trillion question" of who benefits from AI-driven global economic activity over the next decade, per Goldman Sachs▶ 0:16:32.

• Rogers reported job postings in AI-exposed occupations shrank while postings in less-exposed, human-touch occupations fell 35%, even as wages in exposed occupations grew faster▶ 0:36:37▶ 0:37:06.

• Palagashvili said 95% of AI-using firms report no change in total employment, but flagged a Census survey wording change that made adoption estimates jump from 10% to 17% overnight, illustrating measurement noise▶ 0:40:01▶ 0:42:01.

• Palagashvili's research found new business applications up 27% since early 2024 in AI-exposed sectors versus flat in others, suggesting AI is spurring independent work rather than employment loss▶ 0:43:01.

• Dr. Heck warned AI can "hollow out" gateway jobs by removing the hard tasks that build skills — a worker "quietly removed" from learning may not discover the loss for years, until they no longer qualify for the next job▶ 0:53:00▶ 0:53:58.

• Multiple witnesses and Sen. Kaine/Sen. Baldwin discussed restoring "tax neutrality" between capital investment (easy to deduct) and worker training investment as a policy fix▶ 0:58:29▶ 1:23:13.

• Husted cited a Wall Street Journal report on $200,000/year technicians being recruited to build AI data centers, illustrating rapidly shifting skill demand▶ 1:08:27.

• Blunt Rochester cited analysis that women make up over half of the most AI-vulnerable workers and women of color nearly a third▶ 1:32:10; Heck responded that women are 93% of secretaries/administrative assistants, a heavily AI-exposed gateway occupation▶ 1:33:10.

• Hickenlooper and Heck debated whether reduced first-year workloads (e.g., young lawyers) could accelerate skill-building for remaining junior staff — Heck called it "possible" but cautioned that "learning requires friction and time," both of which AI reduces▶ 1:35:35▶ 1:38:35.

• Banks proposed studying the U.S. military's MOS training system, given its universal entry-level structure, as a model for AI-augmented workforce pathways▶ 1:25:04.

Metadata

CommitteeSenate Health, Education, Labor, and Pensions Subcommittee on Employment and Workplace Safety
Chamber / CongressSenate · 119th Congress
DateJuly 29, 2026
TypeOpen Hearing
Witnesses
(none listed in event metadata)
Videosenate-isvp
Transcript216 caption blocks · 12,564 words · 1:41:06 runtime
EventCongress.gov 338686