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Title: AI May Already Be Shrinking Entry-Level Jobs In Tech, New Research
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Link: https://slashdot.org/story/25/05/28/2239206/a...

An anonymous reader quotes a report from TechCrunch: Researchers at
SignalFire, a data-driven VC firm that tracks job movements of over 600
million employees and 80 million companies on LinkedIn, believe they may be
seeing first signs of AI's impact on hiring. When analyzing hiring trends,
SignalFire noticed that tech companies recruited fewer recent college
graduates in 2024 than they did in 2023. Meanwhile, tech companies,
especially the top 15 Big Tech businesses, ramped up their hiring of
experienced professionals. Specifically, SignalFire found that Big Tech
companies reduced the hiring of new graduates by 25% in 2024 compared to
2023. Meanwhile, graduate recruitment at startups decreased by 11% compared
to the prior year. Although SignalFire wouldn't reveal exactly how many fewer
grads were hired according to their data, a spokesperson told us it was
thousands. While adoption of new AI tools might not fully explain the dip in
recent grad hiring, Asher Bantock, SignalFire's head of research, says
there's "convincing evidence" that AI is a significant contributing factor.
Entry-level jobs are susceptible to automation because they often involve
routine, low-risk tasks that generative AI handles well. AI's new coding,
debugging, financial research, and software installation abilities could mean
companies need fewer people to do that type of work. AI's ability to handle
certain entry-level tasks means some jobs for new graduates could soon be
obsolete. [...] Although AI's threat to low-skilled jobs is real, tech
companies' need for experienced professionals is still rising. According to
SignalFire's report, Big Tech companies increased hiring by 27% for
professionals with two to five years of experience, while startups hired 14%
more individuals in that same seniority range. A frustrating paradox emerges
for recent graduates: They can't get hired without experience, but they can't
get experience without being hired. While this dilemma is not new, Heather
Doshay, SignalFire's people and talent partner, says it is considerably
exacerbated by AI. Doshay's advice to new grads: master AI tools. "AI won't
take your job if you're the one who's best at using it," she said.

Read more of this story at Slashdot.

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