AI early career fears rise, but employers say roles are not yet being replaced

A report from Prospects at Jisc and Institute of Student Employers (ISE) found more than one in ten students and early career professionals have already changed their career plans amid fears about AI’s impact on jobs. But despite widespread concern, most employers say AI is not yet a major cause of falling entry-level hiring.

The AI and Early Careers report combines the views of students and graduates with employers. It found 13% of respondents had already changed their career plans due to AI (up from 10% last year) and a further 34% are considering doing so.

Among those who changed direction, the most common reason was fear that their job could be replaced. Nearly three quarters (69%) said this had influenced their decision.

However, while employers acknowledged that AI adoption is growing within their organisations, changes to entry‑level hiring were driven more by external market uncertainty, strategic restructuring and budget pressures than by job automation.

More than half (53%) of employers said they expected hiring to stay the same over the next three years, while 27% anticipated increases. None of them said they expected large-scale job losses due to AI during that period.

Instead, the majority of employers said AI was gradually changing entry-level responsibilities, rather than replacing workers. Routine tasks such as basic research, administrative work and content drafting were most at risk, while jobs requiring judgement, communication and people skills were expected to remain largely human-led.

The research also highlights significant differences in how young professionals experience and respond to AI. Curiosity and anxiety were the most common feelings, reflecting both interest in new opportunities and concern about job security.

Respondents who were motivated by the opportunity of AI mainly said they had adapted their career plans after learning new AI skills, while others were pursuing higher-paying or emerging roles linked to AI.

Those who felt better prepared – whether through qualifications, prior experience or emerging AI skills – were more likely to feel curious or excited about AI as an opportunity. In contrast, those who felt less equipped reported higher levels of anxiety and uncertainty, which were particularly evident among disabled and younger respondents.

Perceptions of risk in some job sectors were leading to early careers professionals making significant shifts. While many of those originally planning to pursue careers in fields such as technology and business were adapting their plans to work alongside AI, those aiming for careers in areas like translation felt far less able to adjust and therefore were much more likely to change direction completely.

Chris Rea, early careers expert for Prospects at Jisc said,

“There’s a growing gap between how young people perceive AI and what’s actually happening in the workplace. Fears about job losses are already shaping career decisions, but most employers are not reducing hiring because of AI – at least not yet.

“Uncertainty and misinformation may be driving unnecessary anxiety and premature career changes. Clearer information on how AI is affecting different sectors, good careers guidance and practical AI training are critical to ensuring young people are prepared.”

Stephen Isherwood, joint CEO of the ISE added,

“AI is influencing career choices and the skills required in entry level roles, however employers point to steady, human‑centred AI adoption, rather than job replacement. More structured AI upskilling from employers and reassurance about job security can help convert anxiety into opportunity and help graduates step confidently into an AI-enabled labour market.”