White House AI and Crypto Czar David Sacks has rejected the narrative that artificial intelligence (AI) is a threat to the American workforce, citing new data from Vanguard that suggests the technology is currently a significant driver of hiring and wage increases.
Data Contradicts Displacement Fears
In a statement posted to social media platform X, Sacks dismissed the fear of widespread labor displacement as a “hoax,” pointing to statistics showing that occupations with the highest exposure to AI automation are essentially outperforming the rest of the labor market.
The data, originating from a recent Vanguard study covering the post-COVID period from the second quarter of 2023 to the same quarter of 2025, indicates a sharp divergence between roles heavily integrated with AI and the rest of the economy.
According to the figures shared by Sacks:
- Job Growth: Occupations with high AI exposure grew by 1.7%, more than double the 0.8% growth seen in all other occupations.
- Wage Growth: The gap was even wider in compensation. Real wages for AI-exposed roles jumped 3.8%, compared to a modest 0.7% rise for other workers.
“Rather than causing job loss, AI is making workers more productive, driving gains in both jobs and wages,” Sacks wrote, arguing that the technology is acting as a career accelerant rather than a replacement.
See Also: Jobs Data Disappoints: Unemployment Rises To Over 4-Year Highs
Policy Goals Face Cooling Market
Sacks’ commentary underscores the Donald Trump administration’s broader agenda of deregulation and “acceleration” to maintain global tech dominance. However, this optimism arrives as the broader U.S. labor market shows signs of strain, creating a complex backdrop for the administration’s policy push.
The delayed November jobs report, released Tuesday, revealed a labor market that is cooling, if not cracking. The unemployment rate rose to 4.6%—the highest level since September 2021—while private-sector hiring remained sluggish with only 69,000 jobs added.
While Sacks points to AI as a competitive advantage, other experts see it as a contributing factor to the current weakness. Navy Federal Credit Union Chief Economist Heather Long described the current environment as a “hiring recession,” noting there are 710,000 more unemployed Americans than a year ago.
Notably, Long explicitly attributed this stagnation to a combination of tariffs, corporate cost-cutting, and “artificial intelligence adoption.”
Here are a few AI-linked ETFs for investors to consider amid these discussions.
| ETF Name | YTD Performance | One Year Performance |
| iShares US Technology ETF (NYSE:IYW) | 22.85% | 22.86% |
| Fidelity MSCI Information Technology Index ETF (NYSE:FTEC) | 19.50% | 19.33% |
| First Trust Dow Jones Internet Index Fund (NYSE:FDN) | 9.97% | 8.73% |
| iShares Expanded Tech Sector ETF (NYSE:IGM) | 24.31% | 24.42% |
| iShares Global Tech ETF (NYSE:IXN) | 21.02% | 20.96% |
| Defiance Quantum ETF (NASDAQ:QTUM) | 32.16% | 40.40% |
| Roundhill Magnificent Seven ETF (BATS:MAGS) | 22.95% | 19.25% |
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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