Methodology

How we calculate the composite AI automation risk score for each occupation.

Composite Risk Score Formula

Risk = 0.30ยทF + 0.20ยทT + 0.20ยทB + 0.15ยทL + 0.15ยทG

Each component is normalized to a 0โ€“100 scale before weighting.

Frey & Osborne Automation Probability

30%

Based on the 2017 Oxford study that estimated automation probabilities for 702 occupations using machine learning classifiers trained on O*NET task data. We use the original probabilities mapped to SOC codes, normalized to a 0โ€“100 scale.

๐Ÿ“Ž Frey, C.B. & Osborne, M.A. (2017). The Future of Employment. Technological Forecasting and Social Change.

OECD Task-Based Analysis

20%

The OECD approach analyzes individual tasks within occupations rather than whole jobs. It counts the proportion of tasks that are routine (manual or cognitive) versus non-routine, using O*NET task importance and frequency ratings. Occupations with >60% routine tasks score higher.

๐Ÿ“Ž Nedelkoska, L. & Quintini, G. (2018). Automation, skills use and training. OECD Social, Employment and Migration Working Papers No. 202.

BLS Employment Projections

20%

10-year employment projections from the Bureau of Labor Statistics. Occupations projected to decline receive higher risk scores. We invert and normalize the projected growth rate: a -20% projection maps to ~90 risk; +20% maps to ~10 risk.

๐Ÿ“Ž Bureau of Labor Statistics, Employment Projections program (2022โ€“2032).

Layoff & Restructuring Signal

15%

Real-time signal derived from WARN Act filings, SEC 8-K restructuring disclosures, and news-reported layoffs mentioning AI or automation. We aggregate events by NAICS โ†’ SOC crosswalk, weighted by recency (exponential decay, ฯ„=90 days) and scale (affected headcount).

๐Ÿ“Ž State WARN Act databases, SEC EDGAR filings, verified news reports.

GenAI Exposure Index

15%

Measures how exposed an occupation's core tasks are to large language models and generative AI specifically. Based on Eloundou et al. (2023) methodology: each task is rated ฮฑ (no exposure), ฮฒ (LLM alone), or ฮณ (LLM + tools). The exposure score is the weighted proportion of ฮฒ+ฮณ tasks.

๐Ÿ“Ž Eloundou, T. et al. (2023). GPTs are GPTs: An Early Look at the Labor Market Impact Potential of LLMs. arXiv:2303.10130.

Score Interpretation

Score RangeLabelInterpretation
0โ€“20Low RiskCore tasks require human judgment, creativity, or physical dexterity that current AI cannot replicate.
21โ€“40ModerateSome tasks are automatable, but the role adapts through augmentation rather than displacement.
41โ€“60ElevatedSignificant task automation is underway. Workers should actively build complementary skills.
61โ€“80High RiskMajority of core tasks face automation pressure. Career transition planning is advisable.
81โ€“100Very High RiskMost tasks can be performed by current or near-term AI. Significant workforce reduction likely within 5โ€“10 years.

Limitations

  • Risk scores reflect task-level automation potential, not definitive job loss predictions.
  • Adoption speed depends on regulation, cost, and organizational inertia โ€” none of which are modeled.
  • The Frey/Osborne component may overestimate risk for some service occupations.
  • Layoff signals are noisy and may reflect economic cycles rather than automation.
  • Scores are updated periodically as new data becomes available, not in real-time.

Updates & Versioning

The current methodology is v2.0 (January 2025). Major updates occur when new BLS projections are released (typically every 2 years) or when significant new research warrants weight adjustments. All historical scores are preserved for longitudinal comparison.