Will AI wipe out the first rung of the career ladder?

TruthLens AI Suggested Headline:

"Concerns Rise Over AI's Impact on Entry-Level Job Market"

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TruthLens AI Summary

The rise of generative artificial intelligence (AI) is raising serious concerns about the future of entry-level jobs across various sectors, particularly in white-collar environments. Dario Amodei, CEO of Anthropic, recently predicted that AI could eliminate up to half of all entry-level jobs within five years, potentially pushing unemployment rates to 20%. His alarming forecast coincided with the launch of a new version of the AI model Claude, which he claimed could code independently for hours. This prediction aligns with broader trends observed by experts, including Steve Bannon, who emphasized that automated job losses will significantly influence the 2028 U.S. presidential elections. LinkedIn's chief economic opportunity officer, Aneesh Raman, also echoed these sentiments, indicating that AI poses a real threat to traditional entry-level roles that have historically served as stepping stones for young professionals. The current job market for recent college graduates has already shown signs of deterioration, with the unemployment rate rising to 5.8% in early 2025, the highest since 2021, and underemployment affecting a staggering 41.2% of graduates. The Federal Reserve's report did not pinpoint specific causes for this downturn, leaving many to speculate about the role of AI in reshaping the job landscape.

As companies adapt to the increasing capabilities of AI, the nature of entry-level jobs may undergo significant transformations. The expectation is that familiarity with AI tools will soon become as fundamental as proficiency in Microsoft Office. Executives may demand higher productivity standards, requiring junior employees to produce more work as AI takes over routine tasks. For instance, Microsoft CEO Satya Nadella claimed that AI now contributes to 30% of the company’s coding efforts, suggesting a future where fewer mid-level coders are necessary, as indicated by Meta's Mark Zuckerberg. This shift presents a challenge for new graduates, who may lack the AI experience that employers desire. The journalism field serves as a cautionary example, with layoffs occurring as newsrooms increasingly rely on AI to perform tasks traditionally handled by entry-level staff. As companies navigate this evolving landscape, there is uncertainty about the future roles of workers and the demand for entry-level positions, ultimately posing a critical question: how will the job market reshape itself in the wake of AI advancements?

TruthLens AI Analysis

The article delves into the potential impact of generative artificial intelligence on entry-level job markets, raising concerns about future employment prospects. It highlights predictions made by tech executives regarding the possible elimination of many white-collar jobs due to advancements in AI technologies. The commentary from industry leaders suggests a looming crisis in job availability, particularly for recent graduates.

Potential Motivations Behind the Article

The piece seems to aim at raising awareness about the disruptive effects of AI on the job market. By citing influential figures such as Dario Amodei and Steve Bannon, the article underscores a pressing concern regarding employment stability in the face of technological advancements. This focus on the potential job losses may serve to galvanize public discourse around the implications of AI, prompting discussions about regulation, corporate responsibility, and the future of work.

Public Perception and Sentiment

This article may be intended to foster a sense of urgency and caution among readers regarding the rapid integration of AI into the workforce. By presenting dire predictions about unemployment rates potentially soaring to 20%, it cultivates a narrative that could lead to anxiety and skepticism about technological progress. The framing of AI as a threat to job security could resonate predominantly with individuals concerned about their career prospects, particularly those in entry-level positions.

Underlying Information and Omissions

The article does not provide a balanced view of the potential benefits of AI, such as increased productivity and the creation of new job categories. By emphasizing only the negative consequences, it may inadvertently downplay the complexities of AI's impact on the economy. Such omissions can lead to a skewed understanding among the public, fostering fear rather than a nuanced dialogue about adaptation and resilience in the workforce.

Manipulative Potential

The language and tone of the article could be seen as manipulative, as it utilizes alarming statistics and quotes from respected figures to provoke a strong emotional response. This technique may be aimed at driving engagement, but it risks creating a narrative that sensationalizes the challenges posed by AI without equally weighing its potential advantages. The focus on fear rather than informed discussion may be a deliberate strategy to capture attention.

Comparative Context

When compared to other articles discussing AI and employment, this piece aligns with a broader narrative within tech journalism that often oscillates between fearmongering and cautious optimism. Many reports highlight the transformative potential of AI while simultaneously warning about job displacement. This duality suggests a collective anxiety within the industry about how quickly technology is evolving and its implications for society.

Impact on Society and Economy

The concerns raised in this article could have significant ramifications for public policy, prompting debates around education, workforce training, and social safety nets. If the predictions regarding job losses materialize, we could see increased advocacy for measures aimed at protecting workers, such as universal basic income or retraining programs. This article has the potential to shape discussions leading up to the 2028 presidential election, particularly around the topic of automation and job security.

Target Audience

The article likely resonates more with communities that are directly affected by job market fluctuations, including recent graduates, working professionals in white-collar jobs, and even policymakers. By addressing the fears associated with AI, it seeks to engage those who may feel vulnerable in an increasingly automated economy.

Market Influence

In terms of financial implications, this article could influence investor sentiment, particularly in sectors that are heavily reliant on human labor, such as technology and services. Stocks in companies that are seen as vulnerable to AI disruption may experience volatility, while those involved in AI development could attract increased investment as firms look to adapt to changing market conditions.

Geopolitical Considerations

The discussion about AI's impact on employment also intersects with broader themes of economic competition on a global scale. As countries race to adopt AI technologies, the implications for labor markets and economic stability could have far-reaching effects on global power dynamics.

Potential Use of AI in Article Composition

It is plausible that AI tools were employed in drafting this article, given the structured presentation of information and the seamless integration of expert quotes. AI models could have assisted in analyzing trends or generating context-aware insights. However, the use of AI in journalism raises questions about authenticity and the potential for bias in content creation.

The article provides a perspective on the significant challenges posed by AI in the job market, though it does so with an emphasis that may evoke more fear than constructive dialogue. The reliability of the content is contingent on the accuracy of the forecasts presented, which remain speculative. Overall, the article serves as a catalyst for discussion rather than a definitive analysis of the future workforce landscape.

Unanalyzed Article Content

Hello, and welcome to TechScape. This week, I’m wondering what my first jobs in journalism would have been like had generative AI been around. In other news: Elon Musk leaves a trail of chaos, and influencers are selling the text they fed to AI to make art.

Generative artificial intelligence may obviate the job you got with your diploma still in hand, say executives who offered grim assessments of the entry-level job market last week in multiple forums.

Dario Amodei, CEO of Anthropic, which makes the multifunctional AI model Claude,told Axios last weekthat he believes that AI could eliminate half of all entry-level white-collar jobs and send overall unemployment rocketing to 20% within the next five years. One explanation why an AI company CEO might make such a dire prediction is to hype the capabilities of his product. It’s so powerful that it could eliminate an entire rung of the corporate ladder, he might say, ergo you should buy it, the slogan might go.

If your purchasing and hiring habits follow his line of thinking, then you buy Amodei’s product to stay ahead of the curve of the job-cutting scythe. It is telling that Amodei made these remarks the same week that his company unveiled a new version of Claude in which the CEO claimed that the bot could code unassisted for several hours. OpenAI CEO Sam Altman has followed a similar playbook.

However, others less directly involved in the creation of AI are echoing Amodei’s warning. Steve Bannon, former Trump administration official and current influential Maga podcaster, agreed with Amodei and said that automated jobs would be a major issue in the 2028 US presidential election.The Washington Postreported in March that more than a quarter of all computer programming jobs in the US vanished in the past two years, citing the inflection point of the downturn as the release of ChatGPT in late 2022.

Days before Amodei’s remarks were published, an executive at LinkedIn offered similarly grim prognostications based on the social network’s data in aNew York Timesessay headlined “I see the bottom rung of the career ladder breaking”.

“There are growing signs that artificial intelligence poses a real threat to a substantial number of the jobs that normally serve as the first step for each new generation of young workers,” wrote Aneesh Raman, chief economic opportunity officer at LinkedIn.

The US Federal Reserve published observations on the job market for recent college graduates in the first quarter of 2025 that do not inspire hope. The agency’sreportreads: “The labor market for recent college graduates deteriorated noticeably in the first quarter of 2025. The unemployment rate jumped to 5.8% – the highest reading since 2021 – and the underemployment rate rose sharply to 41.2%.” The Fed did not attribute the deterioration to a specific cause.

The likeliest outcome of AI’s impact on entry-level jobs is that companies will reformulate them into something new. The job market may settle somewhere between Amodei’s AI Ragnarok and the antediluvian days before ChatGPT. Familiarity with AI will be required in the way that Microsoft Office has, and bosses will demand a higher standard of productivity. If a robot can do most of the coding for you, a junior software engineer, then you should be producing five times the amount of code as before, they may say.

Speaking of Microsoft and software engineers, CEO Satya Nadella claimed in late April thatAI writes 30% of Microsoft’s code. That may be the future of software development. It is possible that is true; it is also possible that Nadella, head of the company that has reaped enormous gains from the AI boom, is trying to sell by example, overestimating how much of that code is usable. Meta’s Mark Zuckerberg has been more pointed in his assessments, asserting that his company will no longer need mid-level coders by the end of 2025. Shortly after, Meta announced a 5% staff reduction.

The short-term readjustment, however, is the pain point. Recent classes have graduated without AI being an integral part of their school life, and employers won’t believe those interim graduates have the necessary familiarity for a new professional landscape.

That is not the fault of the graduates: Employers themselves don’t know what they want yet from AI. Axios followed up Amodei’s doom and gloom with a piece about howAI job cuts are jumping the gun. Companies are not replacing departing workers, betting that AI will be able to perform the same functions, if not now, then hopefully by the time it would take to hire replacements.

The example of journalism may be a canary in the coalmine. Entry-level jobs in journalism often involve aggregating news items from other outlets in the style of your own employer, a task AI is well suited to if the facts are straight. I spent several years doing just that when I started out. In the same way that we see Amodei’s predictions taking shape in LinkedIn’s data, I see the entry-level diminishment beginning in my own industry. Business Insider, a digital outlet focused on financial and business news, laid off 20% of its staff late last week. CEO Barbara Peng said the newsroom would go “all-in on AI” and become “AI-first” in her note eliminating the jobs.

Axios itself footnoted its Amodei interview with a disclosure about its own practices with regard to AI.

“At Axios, we ask our managers to explain why AI won’t be doing a specific job before green-lighting its approval. (Axios stories are always written and edited by humans),” the disclosure reads. The parenthetical indicates that Axios editors know that AI’s involvement in writing is bad for the brand. The part said outside the parentheses indicates Axios executives may not be backfilling vacated jobs, waiting for AI to catch up and close those openings.

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Elon Musk announced he would leave the White House last week, ending a contentious and generally unpopular run as a senior adviser to the president and de facto head of the so-called “department of government efficiency” (Doge). Donald Trump hosted a press conference for his departure, the same day thatthe New York Timesreported that Musk had heavily used drugs on the campaign trail.

My colleague Nick Robins-Early assessed themess Musk leaves in his wake:

As Musk moves on, he consigns a mess of half-realized plans and gutted agencies to his acolytes installed in key positions across the federal government. His departure throws Doge’salready chaotic impact on the governmentinto an even grayer limbo, with questions over how much power the nebulous taskforce will have without him and who, if anyone, might rebuild the programs and services it destroyed.

Musk’s initial pitch for Doge was to save $2tn from the budget by rooting out rampant waste and fraud, as well as to conduct an overhaul of government software that would modernize how federal agencies operate. Doge so far has claimed to cut about $140bn from the budget – although its “wall of receipts” isnotorious for containing errorsthat overestimate its savings. Donald Trump’s new tax bill, though not part of Doge and opposed by Musk, is alsoexpected to add $2.3tn to the deficit, nullifying any savings Doge may have achieved. Its promises of a new, modernized software have frequently been limited to artificial intelligence (AI) chatbots – some of which werealready in the works underthe Biden administration.

The greater impact of Doge has instead been its dismantling of government services and humanitarian aid. Doge’s cuts have targeted a swath of agencies such as the National Oceanic and Atmospheric Organization, which handles weather and natural disaster forecasting, andplunged otherssuch as theDepartment of Veterans Affairsinto crises. Numeroussmaller agencies, such as one thatcoordinates policy on homelessness, have been in effect shut down. Doge has brought several bureaus to their knees, with no clear plan of whether the staff Musk leaves behind will try to update or maintain their services or simply shut them off.

As Musk returns to Tesla and SpaceX, the agencies he laid waste to are left to pick up the pieces.

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While Musk is returning to his tech empire, many of the former employees and inexperienced young engineers whom he hired to work for Doge are set to remain part of the government. One of the largest questions about what Doge’s future looks like is whether these staffers, some of whom gained near unfettered access to the government’s most sensitive data, will retain the same powers they enjoyed under Musk.

Read atimeline of Musk’s stint in Washington.

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Would you buy instructions for ChatGPT?

Two weeks ago, the Instagram account @voidstomper, which posts grotesque videos generated by AI to 2.2m followers, offered a novel kind of sale. Up for grabs were 10 prompts used to prod AI-powered engines into generating the videos that the account itself had posted.

Voidstomper posted a video captioned: “I didn’t want to sell these. But I’m broke and these still go viral. So here: 10 raw horror prompts straight from my archive. Some got me hundreds of millions of views. Some barely make sense. All of them work. Use them in any AI video tool. Just don’t pretend you wrote them. VAULT_DUMP_1 is live. Link in bio. No refunds. You’re on your own.” The account’s administrator did not respond to a request for an interview.

The account is not alone. Marketplaces exist for the sale of AI prompts. Ben Stokes, the founder of the PromptBase, says there are some 20,000 sellers on his site hawking prompts, with thousands sold monthly and, to date, seven figures paid out to their writers since 2022. He said social media influencers and other content creators selling their prompts is “still quite niche” and serves as a side hustle for graphic designers, artists, and photographers.

Voidstomper put prompts for sale that had been used to create specific videos. The product a user might receive when purchasing a prompt on PromptBase is likely to be closer to a generalized template than a finite sentence, Stokes said.

“For example, if the prompt that creates posters of famous landmarks in a vintage style, there’d be sections within the prompt in square brackets like [LANDMARK NAME] that you could change to the landmark you’d like to create a poster for, like the local pier in your town,” he said.

Why buy a string of text when you could type out your own, though?

“There is a specific group of people who are looking for high-quality, robust prompts for their business applications. Specifically, they are looking to integrate AI into their product or workflow, which usually requires a prompt, and want to ensure it works well and produces great consistent outputs,” said Stokes. Though the general public thinks of ChatGPT as free, running enough generations to obtain specific and correct outputs can be quite expensive for businesses, he added. It may be more cost effective to buy a prompt.

Even within the niche of AI-generated art, some consider the sale of prompts ridiculous. The Instagram and TikToker HolyFool36, an AI art Instagram account that has beeninterviewed in this newsletter before, said he would never engage in the practice.

“Frankly, I find it as an insult to my sensibilities,” he said via email. “Generative AI requires no skill – almost anyone can figure out how to reverse engineer his prompts for free.”

“I personally know Void Stomper and have had many interactions with him. I’ve explained that the best way to monetize this stuff is to build a brand and then sell real tangible products within that brand. He has clearly, directly, stated that he does not have the discipline to do that. I don’t judge him, everyone’s gotta pay rent somehow, I’d just never go about it that way personally,” he added.

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Source: The Guardian