Young people will be the worst affected by an artificial intelligence “tsunami hitting the labor market,” according to Kristalina Georgieva, managing director of the International Monetary Fund.

According to the Guardian, Georgieva warned the World Economic Forum in Davos on January 23 that the IMF’s own research suggested there would be a big transformation of demand for skills, as the technology becomes increasingly widespread.

“We expect over the next years, in advanced economies, 60% of jobs to be affected by AI, either enhanced or eliminated or transformed – 40% globally,” she said. “This is like a tsunami hitting the labor market.”

Although jobs currently being “enhanced” by AI tend to see a boost in wages for those jobs, by contrast, AI will eliminate entirely many roles traditionally taken by younger workers. Further, people whose jobs are not directly changed by artificial intelligence risked being squeezed, Georgieva said, with their pay potentially falling without a productivity boost from AI.

“So the middle class, inevitably, is going to be affected,” Georgieva predicted.

She said her greatest fear was that AI was insufficiently regulated. “This is moving so fast, and yet we don’t know how to make it safe. We don’t know how to make it inclusive. Wake up, AI is for real, and it is transforming our world faster than we are getting ahead of it,” she said.