Abstract: Improving the price distortion of labor factors is an important breakthrough to improve total factor productivity and achieve high-quality employment. Intelligent manufacturing has broken the original high distortion of labor force. Based on the panel data of 30 provinces from 2006 to 2020, the first systemic combed the intelligent manufacturing and environmental pollution affect the mechanism of action of labor price distortion, then the integrated use of the bidirectional fixed effects model, two-stage least squares method and generalized space interaction fixed effects model of intelligent manufacturing and environmental pollution is verified labor price distortion effect. The results show that intelligent manufacturing can significantly alleviate labor price distortion, and this conclusion still holds after a series of robustness tests. Environmental pollution plays a partial intermediary effect in intelligent manufacturing to mitigate the transmission of labor price distortion, that is, environmental pollution itself does not mitigate labor price distortion, but it intensifies the moderating effect of intelligent manufacturing. At present, smart manufacturing alleviates labor price distortions mainly through the intermediary of reducing carbon dioxide emissions.