CNN —
Michael Tubbs, a native of Stockton, California, located just an hour’s drive from Silicon Valley, the epicenter of the Artificial Intelligence revolution poised to transform the American way of life permanently, recounts his upbringing in a landscape overshadowed by “scarcity and poverty.” Despite being immersed in the technological hub of Silicon Valley, Tubbs, now 33, vividly remembers his youth marked by financial struggles. He recalls his mother constantly working, yet the income was never sufficient to make ends meet.
His personal experiences spurred Tubbs to explore innovative approaches to addressing poverty in the wealthiest nation globally. In 2019, he initiated a groundbreaking guaranteed income pilot program that involved distributing unrestricted cash payments—a simple yet impactful intervention. Notably, Tubbs made history as the first Black mayor of Stockton in 2016.
With the increasing threat posed by Artificial Intelligence to employment opportunities, the concept of guaranteed income has garnered renewed interest. As AI advancements loom over the labor market, forecasts suggest a significant disruption that could displace millions of workers while simultaneously creating new job prospects. The International Monetary Fund projects that AI could affect up to 40% of jobs worldwide, exacerbating the existing socioeconomic disparities.
Amid the looming AI-induced job insecurities, Tubbs and advocates of guaranteed income propose this approach as a safety net to mitigate the repercussions on employment. Tubbs emphasizes the urgency of implementing such programs proactively to cushion the potential impact of AI on global job markets.
Commencing in 2019, Stockton initiated a program disbursing $500 monthly to 125 randomly selected residents in low-income neighborhoods, without any usage restrictions or employment prerequisites. Initial findings from the pilot revealed substantial improvements in recipients’ job prospects, economic stability, as well as enhanced physical and mental well-being.
The momentum behind guaranteed income traces back to civil rights leader Martin Luther King, Jr., who advocated for this concept in his 1967 publication, “Where Do We Go From Here: Chaos or Community.” Tubbs drew inspiration from King’s vision of immediate action to eradicate poverty through a guaranteed income mechanism.
In the wake of technological disruptions, Silicon Valley luminaries such as Elon Musk, Mark Zuckerberg, and Sam Altman have championed the concept of universal basic income. Musk foresees the necessity of universal income in an AI-dominated future, while Zuckerberg and Altman have echoed similar sentiments, emphasizing the need to explore innovative social policies like guaranteed income.
The discourse on guaranteed income has gained traction, with ongoing studies exploring the impact of unconditional cash transfers on individuals and communities. Elizabeth Rhodes, research director at OpenResearch, anticipates insights from a multi-year study involving 3,000 participants across two states, shedding light on the implications of cash disbursements on work incentives and broader societal benefits.
In parallel, tech industry leaders like Jack Dorsey have extended substantial support to guaranteed income initiatives. Despite the growing advocacy for such programs, challenges persist, with critics raising concerns about disincentivizing work and potential hindrances to innovation through taxation.
The narrative of guaranteed income transcends mere financial assistance, as exemplified by Tomas Vargas Jr., a beneficiary of Stockton’s pilot program. Vargas debunked stereotypes of laziness associated with cash transfers, emphasizing how the opportunity provided by guaranteed income empowered him to pursue better employment prospects and break free from the cycle of poverty.
Vargas’s transformative journey underscores the multifaceted impact of guaranteed income, not only offering financial stability but also fostering personal growth and breaking generational cycles of hardship within communities. His story, akin to Tubbs’s advocacy, highlights the transformative potential of guaranteed income as a proactive measure in navigating the evolving landscape shaped by AI advancements.
