Introduction
Artificial intelligence is fundamentally reshaping the labor market, with entry-level positions bearing the brunt of its impact. Global research conducted by IDC and commissioned by Deel reveals that two-thirds of organizations worldwide expect to slow junior-level hiring in the coming years. The study, involving 5,500 business leaders across 22 countries and multiple industries, demonstrates how automation is already transforming traditional work structures and career pathways.
Research Context
IDC's InfoBrief titled "AI at Work: The Role of AI in the Global Workforce" examined perspectives from business leaders across the United States, Canada, China, India, the United Kingdom, Australia, and Brazil. Represented sectors included technology, finance, healthcare, retail, logistics, education, and government. The research, conducted in September 2025, captures an ongoing transformation affecting every industry.
Nearly all surveyed organizations have already begun implementing AI tools, with 91% reporting significant changes or complete disappearance of certain job responsibilities. The most affected tasks are routine and repetitive ones, traditionally assigned to entry-level personnel as a gateway into the workforce.
AI's Impact on Entry-Level Hiring
The most alarming finding concerns hiring prospects: 67% of global companies expect to significantly slow the onboarding of junior staff. This phenomenon represents not a temporary contraction but a structural transformation of the labor market. The traditional hierarchical ladder that allowed recent graduates or young professionals to start from operational positions and climb the corporate ranks is losing relevance.
Seventy-one percent of interviewed leaders anticipate greater difficulty training and recruiting future executives precisely because of reduced entry-level learning pathways. Simultaneously, 69% state that junior employees will have fewer opportunities for on-the-job training, a traditionally crucial element for professional development.
"AI is no longer emerging, it's fully here. It's reshaping how we work and how businesses operate."
Nick Catino, Global Head of Policy at Deel
The Transformation of Required Skills
A surprising aspect emerging from the research concerns the devaluation of traditional credentials. Only 5% of organizations still consider a university degree essential for junior roles. Companies are instead prioritizing cross-functional skills such as effective communication, critical thinking, and specific technical abilities.
This radical shift reflects a new conception of professional value: no longer based on academic titles, but on concrete skills and adaptability. Two in three companies have already invested in AI-focused training programs to help employees develop new capabilities, although many organizations cite significant obstacles such as limited budgets, low participant engagement, and shortage of expert trainers.
AI Integration Challenges
Despite massive adoption, artificial intelligence integration presents concrete challenges. Nearly half of organizations (approximately 50%) report that outdated IT systems are slowing AI technology implementation. Additionally, 43% indicate a critical shortage of specialized AI talent.
To attract these professionals, many companies offer substantial incentives:
- Salary premiums of 50% or higher compared to traditional positions
- Access to cutting-edge tools and technologies
- Clearly defined and accelerated career paths
- Opportunities to work on innovative projects
Implications for the Future of Work
The research highlights a transformation that goes beyond simple automation. AI is redefining traditional career paths, eliminating intermediate steps that for decades formed the foundation of professional growth. This creates a paradox: while companies need future leaders, they are simultaneously eliminating the training pathways that traditionally produced that leadership.
Nick Catino emphasizes the urgency of the situation: it's no longer about staying competitive, but about remaining viable in the market. Both workers and businesses must quickly adapt to this new reality, where yesterday's skills might not be sufficient for tomorrow.
Conclusion
The IDC-Deel research offers a concrete look at an already unfolding transformation. Artificial intelligence is no longer a futuristic technology but a reality that is fundamentally redesigning the labor market. Entry-level positions, historically the entry point for millions of workers, are rapidly contracting as companies automate routine tasks and redefine necessary skills.
For young people entering the workforce, this means having to develop more sophisticated skills from the start, without being able to rely on the gradual nature of traditional pathways. For companies, it represents the challenge of training future leaders without traditional formative steps. The ability to adapt and continuously learn therefore becomes not a competitive advantage, but a fundamental necessity for professional survival.
FAQ
How many companies expect to reduce entry-level hiring due to AI?
67% of global organizations expect to slow entry-level hiring in the coming years, according to IDC research conducted on 5,500 business leaders across 22 countries.
What skills are most in demand by companies in the AI era?
Companies now prioritize effective communication, critical thinking, and specific technical abilities over university degrees, considered essential by only 5% of organizations for junior roles.
Has AI already modified job responsibilities in companies?
Yes, 91% of organizations report that job responsibilities have changed or disappeared due to AI, with routine tasks particularly affected by automation.
What are the main challenges in AI integration in companies?
50% of organizations cite outdated systems as the main obstacle, while 43% indicate the shortage of specialized AI talent as a critical problem for implementation.
How are companies responding to the need for AI skills?
Two-thirds of organizations have already invested in AI-focused training programs, while many offer salary premiums up to 50% higher to attract specialists.
Will young employees have fewer on-the-job training opportunities?
69% of business leaders state that junior employees will have fewer opportunities for on-the-job learning, compromising traditional professional development pathways.
Source: IDC InfoBrief "AI at Work: The Role of AI in the Global Workforce", commissioned by Deel, September 2025