AI Is Squeezing Out Entry-Level Jobs, Stanford Study Finds

AI Is Squeezing Out Entry-Level Jobs, New Stanford Study Finds

Written by Aaron S.,

Editor-In-Chief

Last Updated: August 28, 2025

Key Takeaways

Entry-level jobs in AI-affected fields dropped 13% since 2022, while older workers in those same roles saw stable or rising employment;
Young workers in customer support and software jobs saw a 20% drop, but experienced peers in the same fields gained jobs instead;
AI overlaps with skills learned in school, which makes junior roles more replaceable, while hands-on experience still protects older staff.

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A recent study from Stanford University offers new insight into how artificial intelligence (AI) is affecting the job market.

The research, based on employment data from payroll company ADP, examined how jobs in fields more likely to be influenced by AI have changed.

The study found that people just starting their careers are being impacted the most. Since 2022, job opportunities for young workers in AI-sensitive roles have decreased by 13%. In comparison, older workers in the same fields have not seen the same kind of decline.

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For those just starting out in fields like customer support and software development, job numbers fell by about 20% between late 2022 and mid-2025. However, for more experienced workers doing similar jobs, employment actually increased.

Other areas affected similarly include accounting, administrative support, programming, and sales. Across these types of jobs, people aged 22 to 25 saw a 6% drop in employment. In contrast, older employees in the same industries experienced growth between 6% and 9%.

One reason for this trend may be that newer workers tend to rely more on the type of information that AI systems are also trained on.

On the other hand, more experienced employees often have practical knowledge gained over time. These skills, such as effective communication, decision-making, or work-specific insights, are more difficult for AI to copy.

On August 19, Microsoft’s head of artificial intelligence (AI), Mustafa Suleyman, raised concerns about the rapid progress of AI. What did he say? Read the full story.