Dear friends,

Job seekers in the U.S. and many other nations face a tough environment. At the same time, fears of AI-caused job loss have — so far — been overblown. However, the demand for AI skills is starting to cause shifts in the job market. I’d like to share what I’m seeing on the ground.

First, many tech companies have laid off workers over the past year. While some CEOs cited AI as the reason — that AI is doing the work, so people are no longer needed — the reality is AI just doesn’t work that well yet. Many of the layoffs have been corrections for overhiring during the pandemic or general cost-cutting and reorganization that occasionally happened even before modern AI. Outside of a handful of roles, few layoffs have resulted from jobs being automated by AI.

Granted, this may grow in the future. People who are currently in some professions that are highly exposed to AI automation, such as call-center operators, translators, and voice actors, are likely to struggle to find jobs and/or see declining salaries. But widespread job losses have been overhyped.

Instead, a common refrain applies: AI won’t replace workers, but workers who use AI will replace workers who don’t. For instance, because AI coding tools make developers much more efficient, developers who know how to use them are increasingly in-demand. (If you want to be one of these people, please take our short courses on Claude Code, Gemini CLI, and Agentic Skills!)