2024 ASU International Conference in Emerging Technologies for Sustainability and Intelligent Systems (ICETSIS)
Labor Market Prediction Using Machine Learning
Methods: A Systematic Literature Review
2024 ASU International Conference in Emerging Technologies for Sustainability and Intelligent Systems (ICETSIS) | 979-8-3503-7222-9/24/$31.00 ©2024 IEEE | DOI: 10.1109/ICETSIS61505.2024.10459632
Fawzah Alharbi
Department of Management & Marketing
University of Bahrain
Sakhair, Kingdom of Bahrain
fawzah.alharbi@gmail.com
202100129@stu.uob.edu.bh
Abstract— This study systematically reviews the literature
in the field of labor market prediction. The main aim is to
identify the most recently applied machine learning methods
used to predict the job market’s future. A comprehensive
search was conducted across multiple databases, including
Scopus, Google Scholar, IEEE, and Web of Science, resulting
in a final selection of 10 relevant articles published between
2018 and 2023. The findings of this study found that the used
machine learning methods are Long Short-Term Memory
(LSTM), Bidirectional Long Short-Term Memory (BiLSTM),
Long Short-Term Memory-Gated Recurrent Unit (LSTM-
GRU), and Autoregressive Integrated Moving Average
(ARIMA) besides text mining techniques such as word
embedding and sentiments analysis. These findings suggest
that, in general, hybrid models have the potential to
outperform individual models, especially in the case of multiple
types of data. The results of this review also emphasize the
importance of using integrated datasets when applying
machine learning methods. Another important finding was
that the key applications of machine learning in labor market
prediction are predicting unemployment, predicting needed
educational programs, and predicting market demand. This
study contributes to labor market forecasting by providing an
extensive synthesis and analysis of the existing literature on the
future of the labor market and the use of machine learning
methods. However, future research must include qualitative
and external factors affecting the prediction of the job market
future. The major limitation of this study is the number of
reviewed publications.
Keywords— Artificial intelligence, Machine Learning,
Prediction, Labor Market, Job Forecasting
I. INTRODUCTION
Recently, Artificial Intelligence (AI) and employment have
become a contemporary research issue since automation,
advanced technologies, and digitization are expected to alter
the global labor market [1]. AI's impact on the workforce is
expected to displace jobs in many sectors, particularly after
the COVID-19 pandemic that accelerated technology
adoption [2]. According to a study by [3], presently, the
percentage of tasks that have the potential to be automated is
22.0%. After five years, this rises to 40.0%; after ten years, it
shifts to 60.0%. However, this transformation will create new
job opportunities and encourage upskilling [2].
Consequently, predicting the future of employment is
essential to set strategies and plan processes and policies [4].
This paper aims to review the latest research in forecasting
future jobs that apply machine learning methods, giving a
broad perspective on the latest applied machine learning and
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979-8-3503-7222-9/24/$31.00 ©2024 IEEE
Prof. Adel Ismail Al-Alawi
Department of Management & Marketing
University of Bahrain
Sakhair, Kingdom of Bahrain
aialalawi@uob.edu.bh
adel.alalawi@gmail.com
big data models and technologies. Using such models allows
researchers to discover patterns and emerging trends that
may not be apparent through traditional methods [4].
Machine learning models can provide insights into which
jobs will likely grow or decline in the future [1, 3]. This
study's objective is to answer the following research
questions:
Question 1: What are the recent machine learning methods
that have been utilized in predicting the future of the labor
market?
Question 2: What datasets are used for predicting the future
of the labor market?
Question 3: What are the main applications of machine
learning in labor market prediction?
By answering the research questions, this study aims to
provide a comprehensive overview of recently used machine
learning methods in predicting the labor market's future and
highlight the data types used in the applications. Moreover, it
provides a prescriptive of the research trends in the field of
labor market forecasting.
The paper is structured as follows: section II explains the
methodology used; Section III presents an overview of the
selected papers; Section IV outlines and discusses the results
obtained; and Section V concludes the paper.
II. METHODOLOGY
The Systematic Literature Review (SLR) method is used to
review and analyze the literature in predicting the future of
the labor market. This study followed the Preferred
Reporting Items for Systematic Reviews and Meta-Analyses
(PRISMA) method as a guideline, which is a standardized
approach for conducting and reporting systematic literature
reviews [5]. To identify the relevant articles, a search
strategy was employed based on the following criteria:
A. Inclusion of articles criteria
• Conferences and journals’ papers published from
2018 to 2023.
• The included papers focused on machine learning,
big data, and AI applications in predicting the future
of the labor market.
• Search terms and keywords included the titles,
abstracts, “Artificial intelligence,” "Big data,"
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 2024 ASU International Conference in Emerging Technologies for Sustainability and Intelligent Systems (ICETSIS)
“Machine learning," "future jobs," and "labor
market."
• Papers in English
B. Exclusion of Articles
• Papers published before 2018, Books.
• Papers use traditional research approaches for
predicting (focus group, statistical analysis,
surveys).
C. Article Selection Process
• Define appropriate keywords, which are
“forecasting jobs,” “machine learning’, ”predicting
jobs,” and “Big data.”
• Use multiple electronic databases, such as Scopus,
Google Scholar, IEEE, and Web of Science.
• Screen Titles and Abstracts: Evaluate the titles and
abstracts using the previously set inclusion and
exclusion criteria. The irrelevant articles are
excluded during this screening phase.
The steps of PRISMA are illustrated in Fig. 1. The
selected papers for this systematic literature review are ten
conferences and journal papers. Conference papers have
several advantages over journal articles, providing
researchers with in-depth insights into their specialized
areas. They present the latest research findings before
publication and allow the sharing of scientific work in
progress or initial results. Also, they show new ideas and
early-stage studies that may not be fully explored or
published in journals yet [6].
Fig. 1: Preferred Reporting Items for Systematic Reviews and Meta-
Analyses method (PRISMA) Flow Chart: Adapted from [5]
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479
III. OVERVIEW
The following section summarizes recent studies that
used machine learning tools to predict the future of the labor
market. The reviewed papers used various techniques, data
sources, and models. All the selected studies aim to provide
valuable insights into the latest trends in forecasting the job
market needs and the skills that will be in demand.
The study by [7] used machine learning methods to
predict the future of jobs by using patent data to indicate
technological trends. The machine learning model employed
in this study, 'Fast-Text, ' was invented by Facebook's AI
lab. It is used for learning word classification and
embedding. The researchers first linked patent data to job
descriptions provided in O∗NET, the primary source of
occupational information in the US. They predicted the
future of the required talents using a combination of patent
analysis, word embedding techniques, and job classification
data. One of the potential limitations of this study is that the
approach primarily relies on patent data, which may not
always accurately reflect the demand for jobs associated
with a specific technology. Additionally, bias could exist in
the choice of patent grouping codes, which could affect the
validity of the job forecast. The authors suggest comparing
the results of the job forecast with other research and
assessment indicators to ensure the precision of the findings.
Other research [8] utilized machine learning methods to
forecast the future of jobs in the software sector. The data
collected is job openings data that consists of a combination
of web scraping, manual data collection, and government
data resources. After applying different machine learning
models, the study revealed that the bidirectional LSTM
model had the highest accuracy among all the applied
models. A downside of the methodology used is that the
dataset used in the study is based on software job postings
from the last two years, which may not be representative of
other sectors or regions. In addition, the model is limited to
the technological solutions and skills included in the trained
dataset. However, this study has contributed to job
forecasting and trend analysis research using combined data
and machine learning models.
Python-based open-source software tools have been
developed by [9]. Then, tools are used to collect and analyze
data from job websites. The goal is to design educational
programs in information technology that consider the labor
market's expectations, abilities, and needed talents. They
concluded that the developer is the most demanded IT
profession and focused their analysis on the skills required
for developers. Therefore, they extracted the top 20 skills
from the Russian Jobs portal “Headhunter” to construct the
data, which includes programming languages and
technologies. The authors used the dataset to create two
Web Development and Data Science educational programs
that align with job market demands.
[10] indicated the potential advantages of text mining
methods in identifying emerging job market trends and
forecasting future demand. The study used various
techniques, including web scraping, Elasticsearch, sentiment
 2024 ASU International Conference in Emerging Technologies for Sustainability and Intelligent Systems (ICETSIS)
analysis, and R, to automate the data collection and analysis.
The study findings identified the most in-demand specific
skills in the Information Technology sector and emphasized
the importance of soft skills. This demonstrates how text-
mining tools can be used to forecast job market trends and
future employment demand.
To forecast early unemployment rates in the United States
[11], their study applied a multidimensional approach to
online search data with LSTM neural networks. They
broadened the Google keyword components to include
behavioral and psychological features. The study found that
integrating Google Trends keywords from dimensions other
than job search improves the predicting accuracy.
[12] aimed to identify emerging jobs in Morrocco’s
information technology industry. The data was extracted
from the national occupation directory, recruitment
websites, and university websites using R and Python
algorithms. Text mining techniques collected data on labor
market demand for every job. The authors found that there
is a gap between the universities' curriculum and the
employment opportunities. The research findings can assist
universities and students in better understanding job market
needs and the skills required for each position. Furthermore,
the study can aid universities in recognizing rising
professions and revising educational programs accordingly.
[13] their study combined two types of Recurrent Neural
Networks (RNN): Long Short-Term Memory (LSTM) and
Gated Recurrent Unit (GRU). Creating a hybrid model
LSTM-GRU, the hybrid model gives more accurate
prediction results; the LSTM-GRU model determines both
long-term and short-term dependencies. The hybrid model
was used to predict future unemployment rates. The data
sets were obtained from the OECD reports that are available
online and used the monthly unemployment data for the US,
UK, France, and Italy.
[14] in their research, they presented insights into the
potential of word embedding and machine learning
techniques for tracking trends in the labor market and
predicting needed skills. Natural language processing (NLP)
methods were used to predict job classifications from the
job description. The study aimed to build an updated job
classification system that represents the trends in the labor
market.
In a study by [15], the researchers applied three machine
learning models to predict online job postings in the
Netherlands. A comparison of the three models'
performance reveals that the Support Vector Regressor
(SVR) model and Random Forest Regressor (RFR)
outperform the baseline ARIMA model. On the other hand,
comparing the Support Vector Regressor (SVR) model and
the Random Forest Regressor (RFR) showed that RFR is
appropriate in more significant sample prediction. At the
same time, SVR has a higher potential to predict small
datasets.
In the study by [16], the researchers constructed a
Chinese occupational dataset based on the United States
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480
occupational data O*NET. The data created was then
utilized in the prediction tool, the light gradient-boosting
machine (LightGBM) algorithm. According to the study
findings, more than half of the jobs in China are expected to
be taken over by artificial intelligence in the next few
decades.
IV. RESULTS AND DISCUSSION
Previously reviewed studies shared a common goal: to
predict the future of the labor market using machine
learning methods. The studies focused mainly on using
machine learning algorithms, including LSTM neural
networks, BiLSTM, ARIMA, LSTM-GRU, RFR, SVR,
LightGMB, and NLP techniques and sentiment analysis
algorithms. These methods are used to analyze big data and
discover patterns that can used in predicting future job
trends. Some studies additionally provided perspectives into
the talents and skills that will be in demand in the future.
This enables individuals and organizations to make
informed decisions about education, training, and hiring.
Taken together, the studies in the field of predicting the
future of the labor market apply ML methods: market
demand, educational programs, and unemployment. The
machine learning methods and datasets used are summarized
in Table 1.
A. Market demand prediction
• In the study by [7], the researchers employed the
Fast-Text tool to connect patent data with job
descriptions and predict future labor market trends.
• [8] applied bidirectional LSTM models to predict
jobs in the software industry using historical
datasets.
• [10] used text-mining techniques to analyze job
postings and identify the most frequently mentioned
technical skills.
• The research by [14] used word embedding and
Natural Language Processing (NLP) techniques to
track changes in the labor market and predict the
demand for skills.
• Research was conducted by [15] to predict
employment and future market skills. The
researchers used the Random Forest Regressors
(RFR), Support Victor Regressors (SVR), and
Integrated Moving Average (ARIMA) model. The
results showed that RFR and SVR outperform the
ARIMA model.
The main findings of these studies indicate that machine
learning tools, especially text mining, can be used to predict
market demand for jobs with a high degree of accuracy.
These machine learning methods can analyze big data to
identify patterns and trends that can be used to forecast
emerging market demand.
B. Educational program prediction
• The research conducted by [9] proposed software
tools developed by the researchers for collecting data
from job website postings. The data was analyzed
using machine learning algorithms developed by the
researchers. The results are used to design
 2024 ASU International Conference in Emerging Technologies for Sustainability and Intelligent Systems (ICETSIS)

educational programs that consider labor market
expectations, abilities, and needed talents.
• The study by [12] used R and Python algorithms to
identify emerging jobs in the information technology
industry. The study extracted data from the national
occupation directory, recruitment websites, and
university websites.
The main result of these studies showed that machine
learning tools can be used to design educational programs
that align with the job market demands.
C. Unemployment prediction
• The study by [13] used a hybrid LSTM-GRU model
to predict future unemployment rates. The study
applied the model using monthly unemployment data
from the US, UK, France, and Italy obtained from the
OECD website.
• The research by [11] used multi-dimensional Google
Trends data and applied the neural network model
LSTM to predict unemployment rates.
• The study by [16] used constructed data for
occupations in China and applied the LightGBM
algorithm to predict future jobs in China.
The studies showed that ML tools can predict future
unemployment rates. These predictions can aid with
decision-making, including policy adjustment, workforce
planning, and identifying job market risks and opportunities.
Table 1 summarizes the machine learning tools used in
the reviewed papers, the datasets, and the studies’
limitations.

TABLE I. SUMMARY OF SELECTED STUDIES' FINDINGS

SUMMARY
Paper
Year Data Collection/ML Tool Dataset Limitation/Comment
[7] 2022 Data collection: The data collection method is Patent Data/Job The study depends on patent data as an
not mentioned; the fastText model trains job information data indicator of technological trends.
and patent description data and generates job from the O*NET Patents do not necessarily lead to new
representation vectors. database: The technology or new markets.
ML Tool: Word embedding. main data source
of US
occupational
information
[8] 2023 Data collection: Web crawling method Software The researchers depend on one source of data:
ML Tool: Bidirectional Long Short-Term Industry job vacancy ads.
Memory (BiLSTM) Historical Data Integrating other dataset sources will provide a
by Web Scraping comprehensive view of market demand.
[9] 2021 Data collection: Open Source software Build a dataset of The researchers have developed open-source
developed by the researchers. 3.7 million job prediction tools. However, testing them on
ML Tool: Interactive Analytic Service tool advertisements different datasets is imperative to ensure their
based on Python using JupyterLab. from the Russian effectiveness.
job site
“HeadHunter"
[10] 2018 Data collection: web scraping. R Scripts On-line Job The dataset relies only on open-access job ads
ML Tool: Text mining techniques, keyword postings, as data sources. It is recommended to include
extraction, topic modeling, and sentiment companies’ other data sources to improve the prediction
analysis. websites, and results.
social media
platforms
2023 Data collection: The tool is not mentioned, Google Trends There are challenges in identifying whether the
[11] only the multidimensional approach of Google data. And searched keywords are job-related.
search query data to expand the keyword United States
dimensions. Department of
ML Tool: Long Short-Term Memory (LSTM) Labor- Jobless
data
2022 Data collection: Python and R Scripts National The data collected are job descriptions in a
[12] ML Tool: occupation government directory. Therefore, the study
Naive Bayes directories, job may not detect new market trends and needs.
Logistic Regression portals, and
SVM university
Word2vec and websites
Logistic Regression
Doc2vec and SVM
2023 Data collection: The tool is not mentioned. The data from The model's performance varies for different
[13] ML Tool: Combination of two Recurrent the OECD datasets.
Neural Networks (RNN), Long Short-Term website. For the
Memory (LSTM), and Gated Recurrent Unit United States,
(GRU) United Kingdom,
LSTM-GRU hybrid model France, and Italy

2020 Data collection: The tool is not mentioned O*NET® The BERT model achieved the highest
[14] ML Tools: Combination of Natural Language database accuracy of 65%. However, the authors did not
Processing (NLP) and Machine Learning apply other metrics, especially precision,
Methods: BiLSTM, BERT, GloVe, FastText, recall, F1 score, or area under the curve

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 2024 ASU International Conference in Emerging Technologies for Sustainability and Intelligent Systems (ICETSIS)
Paper
Year Data Collection/ML Tool
word2vec, TF-IDF-PCA, TF-IDF
[15] 2023 Data collection: The tool is not mentioned.
ML Tool:
Autoregressive integrated moving average
(ARIMA)
Support Vector Regressor (SVR) model
Random Forest Regressor (RFR)
2023 Data collection: The tool is not mentioned.
[16] ML Tool: Light Gradient-Boosting Machine
(LightGBM)
V. CONCLUSION
This study set out to review ten papers that applied
machine learning techniques to predict the future of the labor
market. The results of this study identified some of the recent
machine-learning tools and datasets used in predicting the
future of the labor market. The reviewed studies showed that
using multiple and hybrid machine learning methods leads to
better prediction results. Recurrent Neural Networks (RNNs)
and text mining were the most employed machine learning
methods. Moreover, using only one data source, like publicly
available job postings, may limit the prediction results.
Integrating multiple data sources can provide a
comprehensive view of the job market's future. Another
important finding was that the researchers predicted the
future of the labor market from three perspectives: predicting
future unemployment, predicting needed educational
programs, and predicting market demands. Further research
should be done to consider external features relating to
economic trends, demographic indicators, changes in GDP,
and technological advancements.
ACKNOWLEDGMENT
We want to express our sincere gratitude to the
University of Bahrain. We thank all those who have
contributed to this research paper.
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