The implications of AI on job displacement are significant, as automation and machine learning technologies increasingly perform tasks traditionally carried out by humans. While AI can lead to efficiency and productivity gains, it may also render certain jobs obsolete, particularly in sectors like manufacturing and administration. This shift necessitates workforce adaptation, highlighting the need for reskilling and upskilling programs to prepare affected workers for new roles. Additionally, AI can create new job categories that require specialized skills, which may offset some job losses. Balancing technological advancement with workforce development remains a crucial challenge.