We’ve had three announcements this week that paint a worrying picture for the job prospects of young people. First, the job search website Adzuna published figures showing that the number of graduate vacancies fell to 8,383 in June, down 46 per cent on the year and down 84 per cent from their 2017 peak.
Second, a Lancaster University survey of 1,000 business leaders showed that a third of firms had reduced the number of entry-level jobs.
Third, this morning’s ONS update showed that the proportion of Neets – that is, 16- to 24-year-olds not in education, employment or training – remained stagnant at 13 per cent. It’s pretty grim reading all round.
In news reports covering all three releases, AI was touted as the main culprit: with entry-level jobs ‘threatened by AI’; employers ‘cutting entry-level roles in favour of AI’; and the Big Four accountants ‘seeking to use AI’ instead of junior hires.
The AI spectre in the job market is a recurring theme. The IPPR thinktank has warned that eight million British jobs are at risk of being replaced by AI and the OECD says three-quarters of London jobs may be at risk. Meanwhile, the British Chambers of Commerce says firms that have used AI for more than a year recorded net job losses of 8 per cent.
