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Ostensibly it still happens. Losing your job to technology frees you up to work at something a machine can't do, or spend more time doing something fun. But it depends on enough redistribution happening that you can still survive.
In the long run, there is very little a machine can't do. Though in some cases we have not quite invented that machine yet.
And right now the job replacement is happening at an exponentially higher level than the industrial revolution everyone compares it to.
This isn't every cobbler going to work in a shoe factory.
Its not like everyone replaced by AI can go become a programmer or a "prompt engineer", especually when in many cases, the AI also already does that job too.
A world where we no longer need to work is fine, but we as a society are not working towards that, because we allow the hoarding of wealth and power instead of punishing it forciboy, brutally, swiftly. We just let that corruption fester and grow.