aspg-42-4227-1792226191 20261017083631 American Scientific Publishing Group admin@americaspg.com American Scientific Publishing Group Journal of International Economics Research JIER 3070-5665 2025 2 1 Goyipnazarov Sanjar Bakhodirovich Tashkent State University of Economics, "Labor Economics" department, Uzbekistan Kurbanbaeva Sevara Marat kizi Tashkent State University of Economics, "Labor Economics" department, Uzbekistan The main target areas of this article is to analyze the impact of fast growing digital economy in the labor market, as well as the rise in the number of under-skilled workers due to the rapid changes in required skills and qualifications. Alongside with foreign literature attachments, the influence of automation, artificial intelligence, digital knowledge and platforms, and the “gig economy” are thoroughly examined. There is a social survey conducted covering more than one thousand employees from six different sectors in order to understand the extent of the growing number of unskilled and unemployed staff in the labor market of Uzbekistan. To deeply analyze and correct some units of this scientific research (with an exception in the main and econometric analysis part) various methods, such as econometrics, empirical model, artificial intelligence to name just a few has been implemented. In the end, it has been concluded that the formation of adaptable digital, soft competencies in the education system is a priority. 2025 20 26 4227 https://creativecommons.org/licenses/by/4.0/ 10.54216/JIER.020104 https://americaspg.com/journal/42/article/4227 https://americaspg.com/storage/51766152746.pdf