AI Is Eating Entry-Level Jobs—And Gen Z Is on the Menu

A fresh Stanford study shows generative AI is wiping out junior roles faster than anyone predicted. Here’s why that matters to every worker under 30.

Picture your first day at your dream job—only to discover your new teammate is a chatbot that never sleeps, never asks for a raise, and already knows everything you just spent four years learning. That scenario is no longer sci-fi. In the last three hours, two major stories dropped that paint a stark picture of how AI is reshaping the human workplace. One is a data-heavy study from Stanford; the other is a viral reality-check from Wall Street. Both are sparking fierce debate about ethics, risk, and the future of work.

The Stanford Bombshell: 13% Fewer Young Workers in AI-Exposed Roles

Stanford researchers crunched payroll records from millions of U.S. workers and found a chilling trend: employment among 22- to 25-year-olds in AI-exposed occupations has fallen 13% since late 2022. Software developers, customer-service reps, junior accountants—any job heavy on codified knowledge—took the biggest hit.

Meanwhile, older workers in the same fields held steady or gained ground. The reason? Experience still counts. AI excels at textbook answers but stumbles on the messy, real-world judgment that seasoned pros accumulate over years.

The study isn’t peer-reviewed yet, and critics argue the timeframe is too short. Still, the dataset is massive—ADP payroll files covering nearly every sector—and the pattern is consistent across states.

Why Gen Z Is Caught in the Crosshairs

Fresh graduates arrive armed with the exact skills AI replicates fastest: coding syntax, spreadsheet formulas, standardized customer scripts. Employers see an immediate cost-saving swap.

Older workers, by contrast, bring intangible assets—client relationships, political savvy, crisis management—that a language model can’t fake. The irony is brutal: the more formal education you have, the more replaceable you appear.

Add in record student-loan debt and a housing market that already feels rigged, and you get a generation staring at a trapdoor instead of a ladder.

The Productivity Mirage: Are We Measuring the Wrong Thing?

Finance veteran Bob Elliott dropped a Substack post that’s ricocheting around trading floors and tech Slack channels. His core claim: despite the billions poured into generative AI, there’s scant evidence of economy-wide productivity gains.

Electricity, computers, the internet—all previous tech revolutions showed measurable impact within a few years. AI, so far, hasn’t. Elliott argues the hype cycle is outpacing the payoff, luring firms into overinvestment and workers into false security.

If he’s right, companies may soon face a brutal reckoning: they’ve automated away junior talent without actually becoming more efficient. That double loss—human capital plus financial return—could trigger a wave of rehiring and retraining, but only after the damage is done.

The Existential Debate: AGI Utopia or Dystopia?

While Stanford counts jobs and Elliott counts dollars, a third conversation is lighting up X timelines: what happens if today’s narrow AI morphs into tomorrow’s artificial general intelligence?

Proponents paint a utopia where AGI cures cancer and reverses climate change. Skeptics warn of misaligned goals, runaway systems, and economic upheaval that dwarfs the current junior-job crunch.

The thread that dropped this morning doesn’t pick sides—it simply asks: are we building a powerful tool or a new species? Either answer redefines the human-AI relationship, from coworker to co-governor of the planet.

For Gen Z, the stakes feel personal. They may be the last cohort to enter the workforce before AGI decides who gets to stay.

What You Can Do Right Now

If you’re under 30, panic is optional; strategy is mandatory. Double down on skills AI can’t mimic—relationship building, creative problem solving, ethical reasoning. Seek roles where human judgment is the product, not an input.

If you’re a manager, resist the urge to swap juniors for chatbots without a retraining plan. The short-term savings could cost you long-term innovation and culture.

And if you’re a policymaker, the clock is ticking. Universal basic income, reskilling grants, AI-impact taxes—every idea is on the table, but only if voters demand it.

The future of work isn’t pre-written; it’s a live negotiation between code and conscience. Your voice—and your next career move—belongs in that conversation.