It does lead to people loosing their job. If you have a pile of dirt that needs 3 people to move it with buckets but now 1 person can move the same pile with a wheelbarrow then the 2 others are out of a job.

Same as when one developer with AI can do the job of 3 developers and the other 2 are fired.

It increases the value for that one person who uses the wheelbarrow sure, but it does not raise the value of labour in aggregate. The same would be true of AI tools.