Over the past decade, the emergence of disruptive technologies—particularly artificial intelligence (AI)—has profoundly transformed labor patterns and social structures in Iran. This qualitative study employs a grounded theory approach to comprehensively examine the multifaceted implications of AI on the labor market and related social frameworks. Data were gathered through semi-structured interviews with technology experts, human resource managers, and various workers, followed by rigorous multi-stage coding and thematic analysis. The findings reveal that AI has significantly enhanced overall productivity and facilitated the creation of new knowledge-based and technology-driven occupations. However, this technological advancement has simultaneously led to the displacement of repetitive and traditional jobs, which has intensified skill gaps among different workforce segments. Additionally, AI has instigated fundamental shifts in workplace dynamics, employment relationships, and organizational hierarchies. Alongside the opportunities presented, notable challenges have arisen, including widening social inequality, increasing feelings of job alienation, and threats to digital justice and equity. The study underscores the need for policymakers to invest in advanced skill development and provide targeted support for vulnerable groups to ensure a more inclusive and equitable transition toward the future of work.