5-minute read

Earners,

AI Is Reshaping the Job Market Faster Than Anyone Expected

If you think AI job displacement is overhyped, the numbers tell a different story.

85 million jobs worldwide are projected to be affected by AI by the end of 2025. In just the first six months of this year, nearly 78,000 tech jobs were cut and directly linked to AI; that's almost 500 layoffs every single day. Anthropic CEO Dario Amodei predicts AI could eliminate up to 50% of entry-level white-collar jobs within five years.

This isn't fearmongering. This is happening right now, and the speed of change is what makes it unprecedented.

Why This Time Really Is Different

The AI of 2025 makes ChatGPT's initial launch look primitive. We've moved past "marginal productivity boosts" to technology that researches, problem-solves, and makes decisions at a depth that was unthinkable two years ago. According to recent surveys, 91% of employees say their companies already use AI tools, and more than half use them daily.

What makes this wave different isn't just capability — it's speed and cost. Past automation required massive capital investment. AI requires a monthly subscription, or in many cases, is completely free. The barrier to adoption has essentially disappeared.

History shows us that worker resistance never stops technological advancement. The Luddites smashed textile machines in 1811 — the machines stayed. Labour movements fought assembly lines — Ford doubled wages but kept the technology. Office workers resisted computers in the 1970s — resistance faded into adaptation. The pattern is clear: technology doesn't get uninvented. The question is always how workers respond.

The Current Reality

The World Economic Forum's 2025 report found that 40% of employers expect to reduce their workforce in areas where AI can automate tasks. Entry-level positions are being decimated first:

• UK entry-level openings dropped nearly one-third since ChatGPT launched

• U.S. internship postings remain well below pre-2020 levels

• Employment among 22-25-year-olds in AI-exposed sectors dropped 16% since late 2022

This matters because entry-level jobs have traditionally been how people start careers. For Gen Z, that starting point is collapsing. When AI replaces the first rung of the ladder, the entire pathway upward disappears.

The economic context amplifies everything. GDP growth is tepid at 1.4% this year while corporate America pours hundreds of billions into AI infrastructure under pressure to cut costs. It's the perfect storm.

Who’s Getting Hit:

Entry-level workers: Getting crushed. AI is replacing repetitive grunt work — data entry, basic research, simple reporting — that used to be career launchpads.

Who isn’t:

Experienced workers (30+): Holding steady, even growing 6-12% in AI-exposed categories. Judgment, client trust, and organizational knowledge aren't easy to replicate. The Bureau of Labour Statistics projects continued demand for senior roles through 2033.

But there's a catch: the structure of these jobs is changing. Managers who once directed large teams now oversee smaller groups because AI handles foundational work. Mid-career professionals are watching AI erode the expertise they built through research and analysis. They're not being eliminated outright, but their roles are shifting toward oversight rather than development.

Where We're Heading

MIT reports near-term direct job loss is modest, only about 3% displaced so far. However, 27% of jobs are plausibly affected as adoption scales. OpenAI's analysis finds 80% of U.S. workers have at least 10% of their tasks touchable by AI.

But here's what matters: this is task exposure, not guaranteed elimination. The future depends on whether companies use AI to augment human performance or replace it entirely.

Your Action Plan

Accept that this time is different. The speed and accessibility of AI mean adoption is happening faster than any previous technological wave. Don't wait for things to slow down.

Position yourself close to value creation: Align with roles that directly generate revenue or create tangible value: client-facing work, strategic decision-making, creative problem-solving, specialized research. These areas are hardest to automate.

Master AI tools in your field: Don't avoid AI, become the person who leverages it better than anyone else. The worker who uses AI to do the work of a junior team will move faster than someone climbing the traditional ladder.

Develop judgment-based skills: Focus on capabilities AI struggles with: complex decision-making, relationship building, contextual understanding, and creative synthesis. Technical skills matter, but judgment creates irreplaceability.

Build specialized expertise: Deep knowledge in specific domains creates defensibility. Generalists who do routine work are most at risk. Specialists who combine expertise with AI tools become force multipliers.

The jobs aren't disappearing entirely; they're changing. The workforce that thrives will be the one that adapts fastest, not the one that resists longest.

The ladder is being rebuilt while we're climbing it. Make sure you're building the skills to climb whatever emerges.

Earn more,

TCE

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