While economic uncertainty and global factors play a role, research points to artificial intelligence as a key disruptor. AI tools now perform many of the basic tasks such as coding, data analysis, document review and customer service that once helped new grads gain experience. Wall Street firms are reportedly cutting junior analyst positions by up to two-thirds, shifting the role from data gathering to validating AI output. In tech, legal and retail sectors, entry-level work is increasingly automated or offshored.

For companies, this shift brings clear cost savings: fewer new hires, lower salaries and more work handled by AI. But it also risks overburdening current employees, who must now “tend” the AI systems. Some firms are accelerating training for the few new hires they do bring in, expecting them to handle more advanced tasks sooner. This can be great in terms of more challenging work, but don’t expect to be compensated the same as mid-level employees. If companies neglect early-career talent entirely, they could be setting themselves up for long-term staffing gaps.

For new grads, the job search is more competitive than ever and longer. According to the Bureau of Labor Statistics, it now takes college graduates about six months to land a full-time job — often longer. That’s not counting the prep work. If you’re still in school, start now. Don’t wait until after graduation to figure out what kind of work you want to do or where to apply.

The best advice? Be flexible and get practical. That might mean an internship, a short-term contract or a job outside your ideal field that builds experience. This is not the time to wait for a perfect match. In a workplace where roles change fast, the ability to learn quickly may matter more than any one credential.

It’s also smart to get comfortable with the tools shaping your industry. That doesn’t mean becoming a developer. It means knowing what AI can do and what it can’t, and using that understanding to make yourself useful. Try out multiple AI tools and learn firsthand what the strengths and weaknesses are for each. It’s still early days for many companies when it comes to AI, which gives you the opportunity to position yourself as an expert.

Venture capitalist firm SignalFire makes this point clear in its recent State of Talent Report 2025. It found that many companies are skipping entry-level hiring altogether. Some are labeling roles “entry-level” but requiring multiple years of experience. That doesn’t mean the door is closed, but you may need to find a side entrance through project work, volunteering, internships and freelance gigs.

Colleges are beginning to adjust. Some offer AI-focused resume help and workshops on emerging tech. But students shouldn’t rely on campus career centers to keep pace. Use what they offer, then do more.

At a dinner party last weekend, I was talking to a group of frustrated young people who were finding the job-hunting process was taking much longer than anticipated. Among them was a biochemistry major, a biomedical engineering major and a journalism major. The would-be writer said she had found a contract role reviewing AI-generated content for a nonprofit. Not her dream job, but it’s a good experience and she’s building her portfolio.

“I’m learning how to finetune these tools,” she told me. “That’s become the job.”

And while AI may be rewriting job descriptions, it still can’t match one key advantage: your personal network. Ask your professors, your TAs, your parents, friends of the family and anyone you know who’s working or hiring. Referrals and introductions matter more than ever. Use them.

Leslie Meredith has been writing about technology for more than a decade. As a mom of four, value, usefulness and online safety take priority. Have a question? Email Leslie at asklesliemeredith@gmail.com.