Job openings have decreased 32% since ChatGPT’s debut
Job Market Shock: Gen Z Feels the AI Squeeze
A new study analysing U.S. job-openings post-ChatGPT finds dramatic drops in early-career roles: openings down ~32 % since late 2022. At the same time, one of the few bright spots for younger workers — a ~$35 K/year healthcare aid role — is being singled out as one of the last relatively safe options.
Key Takeaways
- Entry-level roles in AI-exposed industries (software, customer service, data entry) have sharply declined — younger workers (22-25) are bearing the brunt.
- Healthcare support jobs, which rely more on human skills (empathy, physical presence), remain less exposed — but their pay (~$35 K) is modest.
- The shift suggests a major structural change: AI is not simply knocking off jobs, but reshaping the pathway into careers for new entrants.
- Implication: younger professionals may need to pivot more aggressively — from “graduate & get entry-level white-collar job” to alternative paths (trades, human-centric services, advanced specialisation).
Market & Options-Angle
- Watch for sentiment shifts in platforms and services tied to entry-level hiring (applicant tracking, credentialing, staffing software) — the contraction in their core audience may squeeze upside.
- Companies that can augment human-centric roles with AI (rather than substitute) may gain share — trade-skilled-labor-automation plays could outperform.
- For options traders: Look at volatility upticks in staffing firms, online-education names, and HR tech — any earnings miss tied to slower hiring of entry-level workers could be a trigger.
Why It Matters
This isn’t just a cyclical slowdown — it’s a structural transformation of how and where young people enter the workforce. The implications ripple across:
- Education: Does a four-year degree still guarantee access to a job?
- Labor markets: Are we entering a “skills-first” regime rather than “degree-first”?
- Economic mobility: If traditional entry-paths are eroded, inequality risks increase.
For investors, companies positioned to provide human-in-the-loop services or AI-safe career pathways may gain a long-term tailwind.