Navigating Fobo: Coping with AI-Driven Job Insecurity in the Public Sector

Earlier this year Paul* discovered via a flurry of media stories that his business group had been targeted for job cuts, alongside a number of other public-sector agencies. For him, this was the second time, after his technical management role was restructured in 2024. While that process was difficult enough, the comms this time were highlighting the integration of AI as a cost-saving tool. “They say it’s not about firing people, but hey, my whole team will go.”

For Paul, the timing could not have been worse. He and his partner are expecting a child and recently bought their first house.

“I’ve worked so hard to stay up to date and relevant, lots of tech training, ironically including AI, and I’ve advocated for the strategy that management roles can be assisted by AI, not replaced by them. So I feel a bit stupid now.”

Exacerbating Paul’s distress has been the very public nature of the cuts. Headlines such as “Plans to replace thousands of public service jobs with AI” or quotes from politicians like “The overhaul will lower costs, tighten agency budgets and make government operations more efficient” have felt insulting.

The experience Paul is having has been described as Fobo – fear of becoming obsolete – and it’s a very real fear.

Recent commentary has noted that Fobo is a growing workplace anxiety. People worry their roles will become irrelevant due to technology and many aren’t sure how to prepare for the shift. This is exactly Paul’s dilemma. He sought our help to figure out his career next steps as well as how to cope with the emotional fallout of the announcements.

As we explored Paul’s options, several constraints became clear. His profession has been hit hard by people cutbacks, with more expected. He could find a way to retrain for a different role or start again in an alternative industry but has no financial buffer to do so. Even if he did there are no guarantees that the AI trend for replacing workers won’t impact him in a new role.

Given this is such a rapidly evolving field it’s smart to seek expert input.

Don’t get stuck in doom, do prepare actively

In April researchers at MIT Future Tech published results of empirical examinations of AI’s real world impact, analysing what tasks are faster or could be replaced by AI. The researchers say predictions of doom are not accurate or helpful. Rather the takeaway from this data is for workers to view AI developments as a rising tide – you can see it coming and have time to prepare. Paul, of course, is already doing this by seeking help and thinking ahead.

As for what to prepare, experts suggest that as AI automates more technical and analytical tasks, uniquely human capabilities are becoming more critical. In a recent paper Dr Tomas Chamorro-Premuzic and Dr Reece Akhtar recommend that we all cultivate the following human skills that machines can’t replace:

Curiosity: Seek new learning, perspectives and interests, look outside your usual sources for inspiration. You can use AI to widen your perspective and spark ideas but stay engaged with the world beyond the screen.

Humility: Grow your self-awareness. Reflect on what comes naturally, what energises you and where you get stuck. Then invite honest feedback. AI learns through feedback – you can too. Ask people you trust what to start, stop and keep doing.

Emotional intelligence: Your ability to connect, show empathy and communicate with care will only become more valuable.

Alongside active preparation and improving our super-talents we recommend two other strategies:

Network and collaborate

In our experience people are more likely to be successful navigating a rising AI tide and cultivating uniquely human skills when they stay strongly connected with others, rather than making this a solo quest.

For Paul this has meant prioritising talking with current and potential new colleagues, attending professional events and conferences, and trying reverse mentoring – linking up with younger or more tech-savvy colleagues to exchange ideas, knowledge and contacts.

With his team, Paul needed to show genuine compassion for their distress, while also managing his own anxiety. A recent piece recommends that managers do talk directly about AI, so this is the approach he is taking with them.

Seek out the best organisations

While it may feel that organisations are holding all the cards, actively seeking out organisations that are using AI strategically as well as checking out company culture is a key consideration for Paul as he looks for future jobs. Because AI tends to accelerate organisational factors, for better or worse, the pre-existing culture can make or break an AI rollout.

For Paul – and actually for us all – the best strategy for managing Fobo is validating that the fear is real, while embracing and enhancing our uniquely human super-talents. Staying connected with others and seeking out opportunities with organisations which are using AI well will also help us to stay above the tide.

* Paul is an amalgam of a few different people and details have been changed for privacy