Companies plan to raise new-grad hiring as students pivot toward AI skills
Companies plan to raise new-grad hiring as students pivot toward AI skills
Publish Date: 2026-05-12 04:31:00
Source Domain: wjla.com
WASHINGTON (7News) — Artificial Intelligence is rapidly reshaping the job market, and it’s hitting entry-level workers especially hard.
Young workers and college graduates are facing one of the tightest job markets since the pandemic. Hiring is at a 5-year low. New grads and entry level employees are finding high competition, fewer job postings and a high unemployment rate.
According to venture capital firm Signalfire, entry-level job postings and hiring in the U.S. are down 50% since 2019, largely due to artificial intelligence and a shift toward hiring experienced professionals.
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Nearly 43% of recent college graduates are under-employed, working jobs that don’t require their degree — the highest rate since the pandemic. It has many college students rethinking their career choices.
“There’s a lot of uncertainty about AI,” Christian Garcia with the UVA Career Center said. “I think students are, you know, maybe a little anxious about, what does this mean for me? Are there jobs? Are they going to be as plentiful as you know, previous graduates?”
According to a Gallup-Lumina Foundation Study, nearly half of college students have considered changing their major due to AI’s impact on the job market. Meanwhile, employers are struggling to find qualified candidates, and those that have embraced AI.
“Employers don’t want students who are kind of like, you know, covering their ears and eyes and, you know, saying, okay, you know, your head in the sand, about AI. They want students who are graduates, who are AI literate or have some knowledge,” Garcia said.
Garcia also believes there will always be room for what humans bring to the job: creativity and critical thinking .
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“AI cannot do or replicate things like critical thinking, making decisions, those human skills like ethical reasoning that become…