This argument can be used, and has been used, about every innovation in automation since the dawn of the industrial revolution.
This would essentially bring us to a cross-roads between, on one hand, a utopia with UBI and people not needing to work (because their labour is unnecessary), or a dystopia, where few technocratic "lords" own the means of work automation and rule over a submissive world.
I don't think it takes a genius to guess where this is heading in our current political climate.
Personally, I'm not scared about any of that, because I don't believe LLMs to be very potent as an AI tool. Robotic militias (remotely controlled by BI or AI) seem a much more tangible threat.
This is still going on today: the massive gains from automation are being hoarded by the wealthy capital owners, while workers struggle to make ends meet.