The AI revolution isn’t coming for the job market—it’s already here. And if you’re just starting your career, it may have already hit.
On Episode 151 of The Artificial Intelligence Show, I talked to Marketing AI Institute founder and CEO Paul Roetzer about the quiet unraveling of entry-level work. The catalyst? Major warnings from LinkedIn executives, prominent journalists, and AI industry leaders.
Together, their message is impossible to ignore: The bottom rung of the career ladder is breaking. And no one is moving fast enough to fix it.
This Is Happening Now
The conversation really kicked off with alarming comments from Anthropic CEO Dario Amodei this past week that he thinks AI will eliminate 50% of entry-level white collar jobs in the next 5 years. That kicked off a firestorm of conversation around how much AI really threatens entry-level jobs. And the verdict from several sources?
This is already starting to happen.
First, a New York Times op-ed from Aneesh Raman, LinkedIn’s Chief Economic Opportunity Officer. Raman doesn’t mince words: Entry-level jobs are disappearing now. AI is already taking on tasks once assigned to junior software developers, paralegals, and retail associates.
Data appears to back this up. According to Raman's op-ed, since September 2022, the unemployment rate for college grads has jumped 30%—nearly double the rise among all workers. Gen Z is reporting the lowest workforce confidence of any age group. And in a survey of 3,000 senior executives, 63% admitted they expect AI to take over many of the routine tasks currently handled by entry-level employees.
Second, Kevin Roose published a deep-dive in The New York Times. Roose reports that hiring freezes, rising unemployment among new grads, and a wave of AI-first decision-making are already remaking entry-level roles. Some companies are only hiring mid-level engineers, having phased out junior roles entirely. Others are quietly testing AI “virtual workers” to replace entire junior teams.
The data, anecdotes, and sentiment all point in the same direction: The job market is shifting underfoot, and entry-level workers are feeling the first ripples.
How Fast Is Too Fast?
Roetzer argues that this isn’t just about hype or long-term speculation. It’s unfolding in real-time, with real data behind it. The gap between what AI can do and what entry-level employees are being asked to do is narrowing by the week.
"I owned a marketing agency for 16 years," he says, and the types of knowledge work that AI can do now is what clients often paid his agency to do. That included both entry-level and sophisticated knowledge work.
That fundamental shift in what work looks like doesn’t just disrupt junior roles—it redefines them. And the companies that move fastest aren’t necessarily cutting jobs maliciously. They’re just becoming smarter, leaner, and more efficient by design.
Two Paths: AI Native vs. AI Emergent Companies
Roetzer sees two kinds of organizations emerging.
- AI-native companies, like his own company SmarterX, are building from scratch with AI at the core. These teams are small, nimble, and can afford to pay more because they need fewer people. They’re using AI to create roles that wouldn’t exist otherwise.
- AI-emergent companies are the traditional businesses retrofitting AI into existing systems. These firms often aim to grow revenue without growing headcount. Or worse, they shrink staff if demand remains flat.
As one executive at EY put it: “I like to think we can double in size with the workforce we have today."
That’s not exactly a vision that includes more entry-level hiring.
Time to Prepare—Not Panic
So what can we do?
Roetzer believes this is the moment to move from awareness to action. He's launching a SmarterX Impact Summit series aimed at catalyzing real conversations—and real solutions—around AI’s impact on jobs and education. The goal? Convene educators, economists, business leaders, and policymakers to begin designing a better future of work.
Because right now, the entry-level collapse isn’t just a crisis of employment. It’s a crisis of opportunity. Without a clear first step, entire career paths vanish. And the consequences won’t just affect graduates. They’ll reverberate through entire industries, economies, and generations.
Mike Kaput
As Chief Content Officer, Mike Kaput uses content marketing, marketing strategy, and marketing technology to grow and scale traffic, leads, and revenue for Marketing AI Institute. Mike is the co-author of Marketing Artificial Intelligence: AI, Marketing and the Future of Business (Matt Holt Books, 2022). See Mike's full bio.