Donald Thompson: AI efficiency trap: Why cutting Gen Z jobs is a strategic mistake :: WRAL.com
Donald Thompson: AI efficiency trap: Why cutting Gen Z jobs is a strategic mistake :: WRAL.com
https://www.wral.com/business/technology/donald-thompson-genx-jobs-may-2026/
Publish Date: 2026-05-28 16:40:00
Source Domain: www.wral.com
As organizations rush
to adopt artificial intelligence, many are abandoning their support of
high-potential Gen Z workers. But when you fail to invest in young
professionals, you’re missing fresh perspectives that will drive results now and long into
the future.
Entry-level jobs
are disappearing, which means fewer spots for young professionals. Since 2023,
entry-level job postings in the U.S. have dropped 35%, according to labor research firm Revelio Labs. Two-fifths of global leaders reduced or cut entry-level roles last year
due to AI efficiencies. Another 43% plan to do the same this year.
The logic is
straightforward: In a tight economy, why pay for entry-level talent when
technology can handle routine tasks faster and cheaper? Why invest in an
unknown new hire, when you can invest in AI technology to help your experienced
professionals be twice as productive?
It makes sense to protect your current employees and help
them be more efficient. Your balance sheet improves, as does your quarterly
report to your shareholders, your board, and your
investors. But this is 90-day thinking, when
you need a five- or 10-year strategy.
The business landscape is changing so fast that continuing
the old way of thinking — even if you can do it twice as quickly — is business
suicide.
Young employees
are fearless and creative
To survive in this chaotic new economy, you need people
who can see a problem from different perspectives, with no preconceived notions
of how that problem should be solved. You need people who are comfortable with
technology and able to use a variety of AI tools to achieve their goals….
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