Summary
Teresios Bundi spent twelve years writing essays for overseas students, building a business that employed other Kenyans, before ChatGPT's 2022 release collapsed the entire industry within roughly two years. The technology companies whose models captured the efficiency gains from replacing this labour bore none of the transition costs, leaving workers like Bundi - who now helps other young Kenyans navigate the digital economy - to absorb the full weight of a disruption they had no part in causing.
WHY IN NEWS FOR UPSC & STATE PCS
As global debate over AI regulation and displaced-worker support intensifies through 2026, Bundi's story - reported originally by The New York Times and carried in The Indian Express - has become a concrete case study in whether the companies profiting from generative AI owe any ethical obligation to workers thousands of miles away whose livelihoods those same models erased.
Standard News
Teresios Bundi's story is not really about whether AI is good or bad - it's about who pays when a technology makes an entire category of human labour worthless almost overnight and whether anyone owes the people who pay that price anything at all.
For twelve years, Bundi built a livelihood and eventually a small business employing other Kenyans, writing academic essays for overseas students. None of that labour was invisible or accidental - it was skilled, sustained work that supported thousands of families across Nairobi.
When ChatGPT arrived in 2022, the value Bundi and 40,000 others had been selling - competent, on-demand written text - became available to anyone, instantly, at near-zero cost. Within about two years, the industry that had employed tens of thousands of people had shrunk to almost nothing.
Here is the concrete ethical tension: the companies that built and released the AI models captured enormous value from replacing exactly this kind of labour - efficiency gains, market dominance, profit - while bearing none of the transition costs their disruption caused.
Bundi and his peers received no notice, no severance, no retraining support and no seat at any table where this transition was being planned, because there was no formal employment relationship connecting them to OpenAI at all.
The company owed him nothing under any contract, because no contract ever existed between them. That absence of a legal relationship is precisely what makes the ethical question sharper, not softer - a company can cause devastating harm to people it has never employed, never negotiated with and never even known existed, simply by releasing a product into a global market.
The utilitarian case for generative AI is genuinely strong: it has created enormous aggregate value for hundreds of millions of users and unlocked capabilities with real social benefit. But distributive justice asks a different question than "does this create more total value" - it asks who specifically bears the cost of getting there and whether that allocation is fair.
A calculation that produces net positive utility globally while concentrating catastrophic, uncompensated loss on a specific, identifiable, already-vulnerable population is not automatically justified just because the aggregate math works out.
The honest resolution here does not pretend this dilemma disappears. Ethical responsibility for large-scale technological disruption should be treated as real and owed, even across a border no contract ever crossed, precisely because impact - not a signed agreement - is what generates moral obligation.
This doesn't mean AI companies bear sole responsibility or that governments and international bodies have no role; but a framework that lets the party capturing the gains disclaim all responsibility for the losses, simply because no contract linked them to the people bearing those losses, is not a neutral default - it's a choice that happens to favour whoever already has the power to make it.
Something is genuinely sacrificed either way: holding companies to this standard could slow beneficial innovation, while refusing to hold them to it leaves workers like Bundi with nothing but the advice he now gives others - learn to survive the next disruption alone.
Quick Facts
Key numbers & takeaways — revise these first
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OpenAI released ChatGPT in November 2022.
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Nairobi's essay-writing gig economy once employed an estimated 40,000 people.
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Distributive justice concerns the fair allocation of the benefits and burdens of economic and technological change across a society.
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The full ethical framework applied specifically to this dilemma, not explained in the abstract and left for the reader to connect
The complete resolution - stating exactly what obligation, if any, falls on AI companies and what specifically is sacrificed by that position
How the "no contract, no obligation" defence breaks down when tested against the actual scale of harm involved
What a genuine transition-support mechanism for cross-border AI displacement would need to include
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