The populist wing of the Republican Party is voicing concerns that its support for artificial intelligence (AI) and decreased regulation of the tech sector may result in significant job losses, ultimately benefiting billionaires at the expense of the working class. Prominent figures within the MAGA coalition are raising alarms as President Donald Trump intensifies efforts to advance AI initiatives in a critical competition against China.
This week, Trump directed the nation’s scientific agencies to utilize AI as part of a broader initiative aimed at dismantling regulatory barriers for the industry. Reports indicate that his administration is contemplating an executive order that would prevent individual states from enacting their own regulations on AI—a move that has ignited discontent among some Republicans who advocate for state rights.
Senator Josh Hawley (R-Mo.), who opposes a moratorium on state regulation, expressed skepticism about the prevailing approach to AI. “I don’t think we are doing enough to protect workers,” he remarked in an interview with HuffPost. “We need to do more because I’m confident Silicon Valley will get rich from this… But what about blue-collar workers in my state?”
Steve Bannon, a key ally of Trump, described AI as potentially the “most dangerous technology in the history of mankind.” He stated on his show, “The War Room,” that the current approach reflects corporatism rather than capitalism, warning that inadequate safeguards could lead to a “jobs apocalypse” that adversely affects many of Trump’s supporters.
Dissent within the MAGA ranks also extends to the construction of large data centers essential for AI operations and the proposed ten-year ban on state-level regulation of AI. Representative Marjorie Taylor Greene (R-Ga.), who is retiring in January, criticized the moratorium, calling it “a gift to Big Tech and a disaster for American workers and states’ rights.”
Interestingly, these apprehensions regarding AI resonate with progressive critics who have similarly warned about its implications. Senator Bernie Sanders (I-Vt.) has highlighted the disproportionate benefits that wealthier individuals, such as Elon Musk and Mark Zuckerberg, may reap from automation, potentially at the cost of working-class jobs. “Working people will see a significant decline in their standard of living unless we turn this around,” Sanders cautioned during a recent NBC News interview.
Recent mass layoffs in the tech sector have fueled fears that the U.S. may be heading towards a recession while AI technologies are making many jobs redundant. However, Dean Baker, a senior economist with the progressive Center for Economic and Policy Research, pointed out that current layoffs are minor relative to the typical labor market fluctuations. “The concern of mass unemployment, it seems kind of nuts,” he remarked, acknowledging that increased AI productivity could also lead to broader economic growth.
As economic uncertainty looms, Trump’s Silicon Valley allies, including crypto and AI czar David Sacks, are urging investors to maintain their support for companies heavily invested in AI, such as Nvidia. “According to today’s WSJ, AI-related investment accounts for half of GDP growth,” Sacks asserted, warning that any reversal could jeopardize economic stability.
Experts in the field, including AI industry leaders, recognize the extensive risks associated with these technologies and are calling for more robust government interventions and safety measures. Geoffrey Hinton, known as the “Godfather of AI,” highlighted the potential for widespread job losses, especially among entry-level workers. “If AI gets as smart as people, or smarter, any job they might do can be done by AI,” he cautioned during a recent event at Georgetown University.
Senator Brian Schatz (D-Hawaii) echoed concerns regarding potential mass unemployment in entry-level knowledge jobs, stating, “AI’s got a tremendous amount of potential, but we have to be clear-eyed about their primary selling proposition.” Senator Mark Warner (D-Va.) warned that unemployment among recent college graduates could surge, while Senator John Kennedy (R-La.) acknowledged the adverse effects on young professionals entering fields like law.
Despite the looming challenges, Congress has yet to establish a cohesive regulatory framework for AI. While efforts have been made, including a roadmap for AI released by a bipartisan group of senators, significant progress has stalled under Trump’s administration. Senator Bill Hagerty (R-Tenn.) noted that while new technologies can be disruptive, he remains optimistic about the productivity gains they may usher in.
The national security implications of AI adoption have also drawn scrutiny. Following a recent cyberattack attributed to a Chinese state-sponsored group using AI, Senator Chris Murphy (D-Conn.) emphasized the urgency of prioritizing AI regulation to avert potential crises. “Guys wake the f up. This is going to destroy us – sooner than we think,” he warned.
OpenAI’s Rogue AI Safeguards: Decoding the 2025 Safety Revolution
US AI Developments in 2025 Set Stage for 2026 Compliance Challenges and Strategies
Trump Drafts Executive Order to Block State AI Regulations, Centralizing Authority Under Federal Control
California Court Rules AI Misuse Heightens Lawyer’s Responsibilities in Noland Case
Policymakers Urged to Establish Comprehensive Regulations for AI in Mental Health
