Leaders push for a ‘Manhattan Project’ and public-private solutions around AI and labor

• In today’s CEO Daily: Diane Brady summarizes takeaways from a gathering hosted by Just Capital, where leaders discussed how to manage the AI transition.
• The big leadership story: Quiet backlash is brewing against the the Walton family, the heirs of the Walmart fortune who remade the retailer’s hometown.
• The markets: Mixed going into Good Friday and the Easter holiday weekend.
• Plus: All the news and watercooler chat from Fortune.

Good morning. Most leaders I talk to acknowledge that AI could create a talent and job crisis, at least in the short term. The question is how to minimize the pain and maximize opportunities for prosperity. We’re seeing plenty of headlines about AI-imposed layoffs, a dearth of entry-level jobs, and a demographic and immigration crisis. Ford CEO Jim Farley talks about a shortage of electricians. (BlackRock could help.)

But there’s also excitement about reskilling, reimagining roles, and the resilience of the U.S. economy. How to manage the AI transition dominated discussions at a gathering to celebrate the “Best of American Business” this week hosted by Just Capital, a nonprofit founded in 2014 by hedge fund manager Paul Tudor Jones II to catalyze private-sector leadership around major societal challenges. 

The conversations were conducted under the Chatham House rule, meaning I can share their takeaways without direct attribution and give you some data on how consumers are thinking about AI. 

“We need a Manhattan Project around labor.” That’s what one CEO told me is needed to manage the AI transition. Faced with the specter of Nazi Germany getting a nuclear bomb in WWII, the U.S. led a massive allied effort to get there first. Now, the race is against China, adding pressure to move at a rate that could destabilize society if too many people are left behind. This leader argued that the public and private sectors have to work together on solutions. The speed and scale of AI transformation is accelerating at a time when the country is deeply divided about education, entitlements, and the role of government. 

Consumers like AI, to a point. Just Capital released a new poll of 2,012 Americans that shows that consumers’ optimism about the benefits of AI in health, education, and engineering outweigh their concerns about workforce disruption and environmental impact. But they want companies to protect their personal data, keep humans in charge, and prevent harm, deception, or manipulation. The most trusted institution to do that, according to the 2026 Edelman Trust Barometer, is not government or philanthropy but rather business. People trust their employers when they don’t trust much else. But they’re also angry. As CEO Richard Edelman said in Davos, there’s “a sense that time is running out.”

Beware the backlash. The people driving the development of AI have yet to inspire much faith when it comes to prioritizing the public good. Some are preaching nirvana or being blunt about impending job loss while appearing to be oblivious to the fact that most people don’t want a world without work. Add in rising CEO pay and greater income gaps at a time when consumers are also dealing with higher gas prices and less affordable homes. The transformative power and productivity gains from AI are becoming undeniable. But prosperity is not sustainable if people don’t have prospects to benefit from it. That’s a business problem everyone has to solve.

Contact CEO Daily via Diane Brady at diane.brady@fortune.com.

This story was originally featured on Fortune.com