Salman Khan, CEO of Khan Academy, predicts the AI revolution will trigger mass unemployment. This follows warnings from Geoffrey Hinton, the "godfather of AI." Khan stresses that even a 10% contraction in white-collar jobs could feel like a depression. The shift could also cause an identity crisis for those who have enjoyed high salaries for years.

Concerns are mounting as AI's impact on the workforce becomes clearer. A 2025 MIT study suggests AI could replace nearly 12% of the U.S. workforce. Khan, speaking with Fortune, highlighted discussions within the tech industry about reducing teams. Automation is already impacting the gig economy, potentially affecting over 1 million rideshare drivers due to self-driving cars.

Khan proposes a solution: a 1% commitment from major corporations to fund a national reskilling initiative. He believes current programs are too specific. Reskilling is crucial to help displaced workers transition into new roles, such as radiology technicians or nurses' aides, to prevent major disruptions. Despite recent positive job numbers, AI's impact is already being felt.

Last year, approximately 55,000 layoffs were linked to AI, with Salesforce cutting 4,000 customer service positions. Khan emphasizes the need for immediate action, warning that waiting to address the problem will be too late. The economic future is uncertain, but the impact of AI is here.