As AI grows, the UK’s graduates face the worst job market since 2018, according to Indeed. According to a job search website, there are the fewest openings for fresh graduates in seven years.
Data indicates that as businesses stop hiring and resort to AI to save money, the UK’s university graduates are facing the most challenging job market since 2018.
Indeed, a job search website, reports that the number of openings for recent grads has dropped by 33% from the previous year and is at its lowest level in seven years.
As the overall employment market struggles due to increased employer taxes and minimum wage adjustments implemented in April, the number of job listings as of mid-June was 5% fewer than at the end of March.
According to the data, the UK is the only economy with fewer job vacancies than before the epidemic, making it an anomaly when compared to the US and its European counterparts. The data highlighted a “continued gradual softening rather than a nosedive” in the job market, according to Indeed senior economist Jack Kennedy.
“New entrants like graduates face a challenging time in securing a first rung on the ladder, even though the UK labour market is holding out overall,” Kennedy stated. “This indicates a broader trend of employers retaining current employees, while some analysts argue that entry-level positions in professional occupations are especially vulnerable to AI displacement.”
Different predictions have been made regarding how AI would affect the employment market. The technology has the potential to upend “white-collar” occupations like software engineering, law, and medicine, according to research from the Organisation for Economic Co-operation and Development. According to estimates from the International Monetary Fund, half of the 60% of occupations in developed nations like the US and the UK that are susceptible to AI may suffer as a result.
According to the Tony Blair Institute, AI could create new jobs in the private sector, reducing the possibility of employment losses in the UK.
Peter Kyle, the technology secretary, urged companies and employees to “act now” to embrace AI or face falling behind this month.
“I believe the majority of people are approaching this with trepidation,” he remarked. When they begin [using AI], they become excited because it is much easier than they realise and much more satisfying than they anticipate.
“No one currently employed is unable to acquire the abilities that the economy will require in the upcoming five years … To put it optimistically, if you take action now, you will prosper in the future. I believe that some people will be left behind if you don’t. And it is my biggest concern.