AI’s hidden casualty: Entry-level careers at risk for students

by | Nov 7, 2025 | Student Life

The AI revolution is reshaping industries at an unprecedented pace, but new research suggests that the biggest impact isn’t mass layoffs, but the quiet disappearance of entry-level jobs. For students at NAIT preparing to graduate, this shift raises serious questions about how to start their careers in an AI-driven world. 

According to a Harvard study from September 2025, companies that adopted AI have reduced junior hiring by 22 per cent in the last two years. Wholesale and retail industries saw a 40 per cent drop in entry-level hires per quarter.

The reason behind the hiring decline may have to do with AI’s phenomenal ability to automate repetitive and routine tasks. In an October 2025 article by the Globe and Mail, Western University’s Chief AI Officer Mark Daley says these tasks are typically the ones handled by new hires. Employers save time and money, but this is at the cost of shrinking opportunities for students seeking their first job out of school.

Mihiri Kamiss, a NAIT Digital Media and IT (DMIT) graduate, was in her second year at NAIT when AI tools like ChatGPT “blew up,” she said. For Kamiss, the change felt sudden and unsupported. “I feel like the school and my instructors and the program really did not give me a warning about how this would shift the market. I kinda had to figure that out on my own,” she said. “And it’s not like they could’ve changed the curriculum around AI just in the blink of an eye overnight to accommodate for that change.”

Kamiss, who took the Computer Software Development concentration through DMIT, knows this is affecting more than just retail. After she finished her program in 2024, she was hired at a tech start-up. Ten months later, she was laid off. “The AI experts are kinda misleading the population and saying, ‘Hey, it’s not gonna take your job, you don’t have to worry,’ when obviously it is,” she said.

An August 2025 study by Stanford University found that occupations more exposed to generative AI, like software, have seen a 13 per cent decline in employment amongst workers aged 22 to 25. But the study also suggests employment declines are “concentrated in occupations where AI is more likely to automate, rather than augment, human labor.”

While the fast-moving changes to industry due to AI can feel discouraging, experts in Canada think the young generation entering the workforce can overcome this by proving they know how to utilize AI to improve workflow. 

“I really tried to drive home my use of AI and machine learning concepts within my projects,” Kamiss explained. “If employers see that you’re rejecting AI then that’s kind of a red flag, because they want you to be as efficient as possible.”

“I think creativity is still valuable and ironically, embracing AI tools is your best bet for getting a job right now,” said Kamiss. “You need to embrace AI in your work or you’re gonna get booted out.” Kamiss also said she thinks employers have a higher standard for new hires because of AI, so the expectations are “sky high” for junior workers.

The concern for entry-level workers could lie in the workforce structure itself. In the article by the Globe and Mail, Mount Royal University professor Leda Stawnychko suggests employers need to rethink the way they manage young talent. “New grads have far more to offer than just grinding through routine tasks,” said Stawnychko. 

But the AI shift needs to be either embraced in post-secondary programs to meet industry expectations, or the industry needs to balance between efficiency, valuing “human work” and rejecting AI-generated “slop” products, as Kamiss puts it.

For some NAIT graduates, the first step into a career may no longer be as simple as applying for an entry-level role.  And by combining human creativity with AI skills, students can still carve out a place in the workforce — it just won’t be as easy as it used to be. “The market’s tough right now and you shouldn’t beat yourself up over it if you’re not getting a job,” Kamiss said. “Networking is your best friend.”

Feature image via NAIT

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