Artificial intelligence is increasingly reshaping labor markets, with multiple recent analyses warning of significant job displacement and renewed interest in Universal Basic Income (UBI) as a policy response.

A report from the Gerald Huff Fund for Humanity projects that approximately 45.3 million U.S. jobs could be disrupted by AI by 2028. The study urges policymakers to adopt UBI as an income stabilizer, alongside investments in human-centric skills like adaptability, ethics, creativity, and emotional intelligence. It argues that retraining alone may be insufficient to address the scale of disruption. (businesswire.com)

Similarly, the World Economic Forum’s Future of Jobs Report 2025 indicates that 40% of employers expect to reduce their workforce as AI automates tasks traditionally performed by humans. The report suggests exploring UBI and automation taxes to ensure that the wealth generated by automation is shared more equitably. (economiclens.org)

On the international front, Chinese policymakers are reportedly weighing UBI as a buffer against AI-driven job losses. Data from the Ministry of Industry and Information Technology shows double-digit employment reductions in logistics, retail, and administrative roles, prompting economists to argue that UBI could preserve dignity without disincentivizing work. (thevoice.news)

However, not all policy voices favor UBI. Gene Sperling, a former economic adviser to multiple U.S. presidents, has launched the Economic Dignity Lab at Georgetown University. His “Economic Dignity Compact for the AI Age,” published in the journal Democracy, presents an alternative to unconditional cash transfers, advocating for targeted policies that preserve economic dignity without relying solely on UBI. (axios.com)

Academic research further enriches the debate. A 2025 study by Aran Nayebi models the conditions under which AI-generated profits could sustainably fund a UBI without new taxes or job creation. It finds that if AI productivity increases five- to six-fold, an 11%-of-GDP UBI could be viable; raising public revenue share from AI capital to around 33% could lower that threshold to threefold. (arxiv.org)

Another recent paper by Haocheng Lin argues that UBI should be considered as one component within a broader governance ecosystem. The study emphasizes the need for policies that support creativity, wellbeing, and equitable AI adoption, rather than treating UBI as a standalone solution. (arxiv.org)

In summary, as AI accelerates job disruption across sectors, UBI is gaining traction as a potential policy tool to stabilize incomes and preserve social cohesion. Yet, emerging frameworks like economic dignity compacts and nuanced academic models suggest that UBI may be most effective when integrated into a broader, multi-dimensional policy strategy.