job displacement AI News & Updates

AI Automation Reduces Entry-Level Tech Hiring by 25% as Companies Favor Experienced Workers

Research from SignalFire shows that big tech companies reduced hiring of new graduates by 25% in 2024 compared to 2023, while increasing hiring of experienced professionals by 27%. The study suggests AI automation of routine tasks traditionally performed by entry-level workers is a significant contributing factor to this shift. This creates a challenging paradox for new graduates who need experience to get hired but can't gain experience without employment opportunities.

AI Eliminates Entry-Level Tech Jobs as Companies Demand AI Skills for New Hires

Tech companies have reduced entry-level hiring by over 50% since 2019, with AI eliminating traditional stepping-stone positions according to LinkedIn's chief economic opportunity officer. While tech jobs are expanding across industries and projected to grow to 7.1 million by 2034, companies increasingly require AI experience, with 87% of hiring leaders valuing AI skills and nearly a quarter of job postings now requiring them.