AI will not eliminate entry-level jobs but will make them harder

Fears that artificial intelligence will eliminate entry-level roles en masse may be overstated — but a new survey suggests the technology is significantly raising the bar for those who fill them.

What the survey found

A report published on Tuesday by the Strada Institute for the Future of Work, based on responses from 1,500 executives, found that whilst nearly half of respondents expect AI to have a positive impact on demand for entry-level employees, the technology is reshaping what those roles actually require.

Specifically, 42% of employers who had explored using AI said it "increased analytical and judgement-based responsibilities," whilst 41% said it "reduced routine or administrative tasks."

In the tech sector, the shift is even more pronounced: 60% of employers using AI saw an increase in analytical and judgment-based responsibilities for junior workers, and 54% noted a reduced need for roles covering routine tasks.

"Employers expecting AI to increase entry-level hiring report these roles are becoming more complex, while those expecting to hire fewer people are using AI to automate basic tasks," the report stated.

Industry variations

The trend is not uniform across all sectors. Within hospitality, leisure, and the arts, only 28% of employers saw an increase in analytical skills demands, with 35% reporting a reduction in routine roles — a notably smaller shift than in more tech-heavy industries.

Mark Cuban weighs in

Billionaire entrepreneur Mark Cuban told Business Insider that whilst it is difficult to draw firm conclusions from the report alone, the broader direction makes sense. "What people thought of as an entry-level position before — show up and do the tedious work — is gone," he said.

"Now when companies hire they expect you to hit the ground running. No matter your background. Which makes sense because they are trying to compete in a new AI world."

A more complex picture for new graduates

AI's rapid advancement has fuelled broader anxiety about entry-level roles, particularly for new software engineers, as major technology companies continue to reduce headcount.

However, a separate study published last year found that 67% of public-company CEOs surveyed expected AI to increase entry-level hiring.

The Strada report adds nuance to that picture, finding that executives who anticipate growth in entry-level hiring as a result of AI are also more likely to have strategically integrated AI tools — meaning they have "a clear, company-wide plan for using AI across all their teams to help the business succeed."