Artificial intelligence is cutting jobs for young workers and reshaping the US labor market. Entry-level job opportunities for young professionals in AI-exposed industries are dropping by 13 percent over the past three years, according to a new study by Stanford University’s Digital Economy Lab.
The report, titled “Canaries in the Coal Mine? Six Facts about the Recent Employment Effects of Artificial Intelligence,” warns that automation is hitting fresh graduates the hardest, particularly in fields like software development, customer service, accounting, and administrative support.
Workers aged 22 to 25 have seen employment in these roles decline by 6 percent since late 2022, with entry-level software developers facing a 20 percent drop in job postings. In contrast, older employees in the same sectors recorded employment growth of 6–9 percent.
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Industries less impacted by AI, such as logistics, maintenance, and other hands-on fields, are showing healthier prospects, with entry-level positions for young workers increasing by 6–13 percent.
Researchers concluded that AI-driven automation, accelerated by the launch of generative AI tools like ChatGPT in late 2022, is the main factor behind these shifts. The study relied on payroll data from ADP, covering millions of workers across thousands of US companies.
