Exploring the Future of Work: Can Cash Payments Reshape Job Choices?

Sam Altman, the CEO of OpenAI, has financed the largest basic income study conducted in the United States to date through his nonprofit, OpenResearch. The initiative involved research aimed at providing unconditional cash payments to individuals living below the poverty line over a period of three years.

The study included approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom had annual incomes below $30,000. A third of the participants received $1,000 each month, while the remaining individuals in the control group were given $50.

According to the study’s findings, those who received the larger cash payments experienced greater flexibility in their job searches, enabling them to pursue roles that aligned with their preferences. The researchers noted, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values. Recipients were more likely to be searching for a job, but they were more selective.”

One participant shared, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky,” emphasizing that they no longer had to accept undesirable jobs for immediate income. Another participant mentioned that the financial support allowed them to accept a lower-paying entry-level position in their desired field, leading to a six-figure salary within two years, stating, “If I didn’t have the cash transfers there is no way I could have taken that pay cut.”

The study revealed no significant differences in employment levels between the recipients and the control group. Recipients primarily increased their spending on essential needs such as food, housing, and transportation. The payments also enabled them to address health needs, including dental braces and treatment for alcoholism. While the cash transfers initially alleviated stress, many of the health benefits diminished after two years.

Altman advocates for universal basic income amid the evolving landscape of the labor market, particularly as artificial intelligence continues to transform job availability.

A previous version of this article inaccurately credited the study to OpenAI rather than OpenResearch.

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