US openings down 32% since AI went mainstream: Why Gen Z may be entering the toughest market yet

For young people preparing to take their first steps into the job market, the rise of artificial intelligence is changing the rules faster than they can adapt. New labor data shows employers are posting far fewer entry-level roles, turning what was already a competitive search into a race where the starting line keeps moving.

Warnings from business and economic leaders that artificial intelligence could erode entry-level jobs are beginning to show in national labor data. Employers across the United States are posting fewer openings as automation gains traction in day-to-day work.

As Fortune reports, figures from the Federal Reserve show overall job postings have dropped roughly 32 percent since mass adoption of generative artificial intelligence tools like ChatGPT. While total employment is still expanding, the shift is changing which jobseekers benefit and who feels pushed out.
Gen Z hit hardest as entry points shrinkYoung adults are facing an especially steep climb. Recent research from Stanford University finds that openings targeted at workers aged 22 to 25 have fallen 13 percent since 2022 in industries where artificial intelligence can replace routine tasks. Among those most affected are software roles and customer support positions, long considered accessible starting points for new graduates.

The report notes that the contraction in these “AI-exposed” fields is significant enough to reshape early-career prospects for Generation Z, even while the broader labor market remains resilient.
Automation pushes job growth toward human-centered rolesTechnology may be reducing opportunities in office and tech-focused roles, but it is simultaneously boosting demand elsewhere. The absence of human interaction in fully automated systems has elevated the value of professions that require compassion, communication, and physical presence.

Healthcare is a clear example. Positions such as home health aides are considered very difficult to automate because they require direct personal care. These jobs are also expanding rapidly as the population ages. The United States Bureau of Labor Statistics projects the need for hundreds of thousands of additional support workers within the next decade.

The demand for advanced healthcare roles is rising as well. Nurse practitioners, physician assistants, and other skilled medical professionals are positioned for long-term growth due to persistent worker shortages in hospitals and clinics. These jobs offer stability, competitive wages, and advancement for those willing to pursue additional training.
Why artificial intelligence struggles with human connectionArtificial intelligence continues to improve administrative efficiency and decision-support tools, especially in clinical settings. However, experts broadly agree that empathy and trust remain essential to caregiving and are very challenging to replicate through software.

Even in industries outside healthcare, companies are discovering that customers still expect a human presence when dealing with complex services or emotionally sensitive issues. This reinforces the importance of roles that blend communication with problem-solving, rather than relying solely on technical execution.
Gen Z must broaden their pathwaysWhile previous generations often followed well-trodden routes into the workforce, today’s graduates are entering a landscape where those paths are narrowing or disappearing altogether. Artificial intelligence tools are automating many of the tasks once assigned to interns, junior analysts, and entry-level support staff. As a result, jobseekers are being asked to contribute higher-level skills much earlier in their careers.

Generation Z may need to adopt a more flexible approach to career planning. This includes exploring sectors that are traditionally overlooked, pursuing skills that complement automation rather than duplicate it, and staying open to emerging fields with clearer long-term potential. Career trajectories are becoming less linear and more experimental, requiring curiosity and resilience rather than a single definitive plan.
A new definition of early successThe first job after college has never been more critical, and never more complicated to secure. The shift triggered by artificial intelligence does not diminish long-term opportunity, but it does change how young workers must prepare. Entry-level positions are no longer guaranteed stepping stones. Instead, they are becoming selective roles that demand adaptability from the start.

As artificial intelligence redefines the workforce, stability and growth may increasingly be found in jobs that rely on our most human abilities — presence, communication, and care. For a generation eager to make its mark, success may come from widening horizons rather than waiting for old pathways to reopen.