Experts Discuss AI’s Impact on Jobs, Wages and Labour Market Regulation at Sofia Conference

The impact of artificial intelligence (AI) on employment, wages and labour market regulation was discussed at the fifth annual scientific conference of the Institute for Social and Trade Union Research and Training (ISTURT) at the Confederation of Independent Trade Unions in Bulgaria (CITUB). The conference took place in Sofia on Monday. 
Participants examined China’s experience with industrial automation and discussed how the European Union could support sustainable and inclusive employment while adapting social policies to technological change.
Assoc. Prof. Lyuboslav Kostov of ISTURT, who also teaches at the University of National and World Economy (UNWE), argued that the current technological transformation was changing the distribution of economic gains between capital and labour.
According to Kostov, the introduction of new technologies was increasing the share of added value going to capital while reducing the share received by workers.
“We are witnessing a reversal of the classical economic relationships taught at universities,” he said.
Kostov also highlighted the growing energy demands of AI, arguing that the ability to perform more computations per watt could become a key measure of technological progress.
He said data centres already accounted for 5% of electricity consumption in the United States, with the share reaching 25% in Virginia and 20% in Ireland. He warned that the concentration of energy demand could create local resource constraints and geopolitical dependencies on electricity networks.
Kostov maintained that even widespread restrictive regulation would not halt AI development because of the substantial competitive advantages the technology offered in economic, military and creative fields.
CITUB President Plamen Dimitrov expressed concern about international moves towards greater self-regulation of the labour market.
Although the issue had yet to receive significant attention in Bulgaria, the country should follow developments closely, he said.
Dimitrov noted that the effects of AI on employment remained to be fully analyzed and assessed, while the pace of digital transformation differed considerably between countries.
Kalina Drenska of the Friedrich Ebert Foundation in Bulgaria also raised concerns about self-regulation, arguing that scientific research could help society better understand technological changes and address public anxiety.
“I cannot imagine giving someone so much power and then telling them to control themselves,” she said.
UNWE Secretary General Prof. Venelin Boshnakov said that despite the ongoing transformation of the labour market, human workers would continue to be needed for a long time.
He nevertheless expected digitalization to affect employees across all occupational levels, including those in lower-skilled positions.
China’s experience with industrial robotics was another focus of the conference.
Participants noted that China had been the world’s largest user of industrial robots since 2013, with the automotive industry accounting for a major share of their deployment.
Presenting a report on automation in China, Assoc. Prof. Teodora Peneva said assembly-line operations, welding, painting and loading were among the first activities to be automated.
As robots take over these tasks, workers increasingly move into production-line supervision, while demand grows for robot maintenance and programming, she explained.
According to the findings presented by Peneva, middle-skilled workers in China experienced the largest declines in wages associated with robotization, while automation also contributed to more frequent job changes.
The report further indicated that companies with higher levels of robotization faced more disputes concerning dismissals, transfers and wages.
Participants also exchanged views on labour market developments in the EU and the United States.

Experts Discuss AI’s Impact on Jobs, Wages and Labour Market Regulation at Sofia Conference THE NEWS FROM BULGARIA – NEWS AGENCY 2009-2025 2026-10-19 10:39:19

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