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Daily Alpha · Substack

The strongest public Substack evidence challenged a simple AI job-loss narrative by tracing hiring into the physical buildout.

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Physical AI labor

Data-center construction is lifting demand for electrical contractors and equipment manufacturers even as AI slows some back-office hiring.

Substack - Noahpinion

AI infrastructure driving physical labor demand

Contrary to fears of job displacement, AI is acting as a net job creator, particularly in physical infrastructure sectors like electrical contracting and equipment manufacturing, which have seen employment growth significantly above trend.

The massive build-out of data centers creates sustained demand for physical infrastructure services and equipment, providing a tangible economic tailwind for companies in these sectors.

Watch Monitor employment and wage growth data in electrical contracting and industrial equipment manufacturing as a proxy for the pace of data center infrastructure expansion.

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