Artificial intelligence is accelerating change in the labour market, with the sharpest effects felt at the entry level. A Stanford University study found a 13 per cent fall in junior job listings over three years in roles most exposed to AI, disproportionately affecting younger workers. Research from Oxford Economics and Burning Glass Institute points to similar declines across customer service, accounting and administrative support.
AI is increasingly absorbing routine tasks once central to early-career jobs. That shift is leaving new graduates struggling to find footholds. A recent Wall Street Journal analysis showed higher unemployment among recent graduates compared to national averages, underscoring what Wharton’s Peter Cappelli calls the “experience trap”: employers demand skills and experience but provide fewer opportunities to gain them.
Yet AI’s rise is not only displacing tasks—it is also augmenting workers’ capabilities. A Gallup and Walton Family Foundation poll found teachers using AI tools saved time and improved lesson planning, while MIT economist David Autor describes AI as a “worker complementary technology” that helps people without advanced education take on more sophisticated work. This could democratise expertise, widening access to higher-value roles in healthcare, education and design.
The impact is spreading beyond junior levels. Industry data shows mid-level roles are increasingly exposed, adding urgency to reskilling and upskilling initiatives. Some employers are already redesigning entry-level roles to emphasise creativity and problem-solving, while others are expanding internships and apprenticeships to integrate learning with practical experience.
Apprenticeships in particular are being championed as a solution. By combining paid employment with skill development and mentorship, they offer a pathway to transform inexperience into expertise. Advocates such as Ryan Craig argue apprenticeships can rebuild career ladders for people from all socio-economic backgrounds, countering inequities created by unpaid internships and costly degrees.
Surveys of HR professionals suggest fears of wholesale job loss are overstated. Fewer than one in ten firms report full automation of junior roles, with many instead using AI to free early-career employees from repetitive work. This allows them to focus on higher-value tasks and develop skills in critical thinking, adaptability and communication.
For the UK, the challenge is to align AI adoption with inclusive workforce development. With investment in apprenticeships, thoughtful redesign of entry-level jobs and robust training, AI could enable a more dynamic and equitable labour market. Harnessed responsibly, it promises not just to replace early-career roles but to reinvent them for a new era of innovation and opportunity.
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