AI Is Wiping Out Entry-Level Jobs. Here’s What Recent Grads Need to Know.

The AI revolution is erasing the kinds of entry-level jobs that recent graduates used to take. Our expert offers advice for navigating the new reality.

Written by Alex Chepovoi
Published on Aug. 20, 2025
A young woman looks at a laptop with frustration.
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REVIEWED BY
Seth Wilson | Aug 19, 2025
Summary: Unemployment for recent grads has surged to 5.8 percent as AI and automation erase entry-level roles. Many jobs now demand experience and AI fluency, forcing candidates into lower-skilled work. Success hinges on ATS-optimized resumes, measurable results and mastering AI tools.

For the class of 2025, the cap-and-gown celebration is colliding with a harsh new reality: Landing that first job has never been tougher.

The unemployment among recent college grads (those between 22 to 27 years old) has spiked to 5.8 percent, the highest rate in recent years. Whole categories of entry-level positions in finance, consulting and tech are disappearing, swallowed up by AI-driven agents and automation systems.

At my company, we’re seeing a clear shift: More new grads are taking jobs that don’t even require a degree. This strategy might provide short-term relief, but the long-term questions of career growth and financial security remain unanswered.

To find the answer and the actual cure for this disease, let’s observe how AI has redefined the very concept of an “entry-level” role.

A Job Search Strategy for Recent Grads

  1. Tailor your resume to each specific job role you apply for.
  2. Consider part-time and contract roles to get a foothold.
  3. Prioritize precision.
  4. Showcase accomplishments instead of duties.
  5. Update your resume frequently.
  6. Learn to use AI tools.

More on Job Searching TodayHow to Beat AI Hiring Systems and Stand Out From the Crowd

 

The Vanishing Entry-Level Path

Entry-level jobs were once a place to prove yourself. Now, they’ve either been automated or the roles demand more than ever: a year or two of professional experience, specialized certifications and fluency in industry software. As a result, new graduates are competing with candidates who already have real-world experience and technical certifications.

In a recent survey, we found out that more qualified specialists are opting for low-skilled jobs. One experienced customer success professional submitted nearly 1,000 applications over eight months and still came up empty-handed, ultimately taking a data-entry job. Another person, a project manager, landed a part-time data annotator role after a year-long search.

These aren’t isolated cases. Even skilled professionals are being pushed into jobs far below their talent levels simply to stay afloat.

For those junior staffers looking for a remote job, chances are even lower. Of the 2.29 million-plus entry-level openings listed across the United States on LinkedIn, only about 155,000 offer remote or hybrid options. That’s less than 7 percent. On my company’s platform, around 40 percent of remote jobs are entry-level. Around 30 percent of those already require AI skills.

Today, many employers expect at least basic AI skills across industries, such as prompt engineering with tools like ChatGPT, Claude and Midjourney. They also want people with strong AI literacy — understanding model bias, limitations and potential inaccuracies. 

Specific roles may demand additional AI SaaS expertise. Marketers often use Jasper for content creation and Canva Magic Studio for design; sales teams may work with Outreach for automated sales sequences; software engineers are adopting AI copilots like GitHub Copilot, Google’s Gemini Code Assist, Amazon Q, Cursor, or Augment to speed up and improve coding; data analysts rely on ChatGPT Advanced Data Analysis, Tableau with Einstein AI, and MonkeyLearn; UI/UX designers turn to Uizard, Figma AI, and Khroma; and product managers use Notion AI, Miro AI, and Airtable AI for planning and collaboration.

 

The Emotional Toll of Job Hunting

The grind is relentless. Three in five Americans say they’ve abandoned a job application because the process was too long, costly or frustrating. For graduates, this dynamic creates a relentless cycle: hours spent tailoring applications, all met with silence or automated rejections.

The math here is even more brutal:

  • Those applying to a corporate job are competing with 250 other job-seekers on average, with only four to six people eventually being shortlisted for an interview.
  • Between three and 10 interviews are necessary to get one job offer, according to our statistics.

Some lucky applicants strike gold early, receiving an offer after just a handful of applications. But for many, even sending 1,000 applications doesn’t guarantee a single interview.

Meanwhile, recruiters, facing piles of resumes, now lean heavily on AI filters. Unless your resume matches 90-plus percent of the job description and is ATS-optimized, it gets disqualified before a recruiter even sees it.

 

How Do I Find a Job Today?

AI is rewriting the entry-level job market. For the class of 2025, reality demands sharper targeting, constant adaptation and, often, a willingness to take an unconventional path.

I advise fresh graduates not to overlook the opportunities that AI presents and actively collaborate with it to navigate this shifting terrain. From resume optimization to identifying the most promising part-time and remote roles, make use of every opportunity to get closer to the desired job offer.

Today’s job seekers must tailor their CVs for each role, using exact keywords and phrases from the job description in the skills section and bullet points. If a job posting says: “Proficient in Microsoft Excel, including pivot tables and VLOOKUP,” your resume should say: “Proficient in Microsoft Excel, including pivot tables and VLOOKUP.” Don’t just write “spreadsheet software.”

Back up every claim with measurable results, concrete numbers and real projects. These details get a resume past automated screening and into a recruiter’s hands. If you’re a marketer, make sure to mention achieved conversion rates of the campaign you’ve planned and executed. At the same time, avoid using abbreviations and acronyms when speaking about your skills. Write out “search engine optimization” instead of SEO at least once before using the initialism. 

This isn’t just about beating the system. It’s about preventing impostor syndrome because those who can confidently present their skills are the ones who secure the spot. Here, AI tools can be invaluable in sharpening your CV to match the role.

Our research shows that 90 percent of job seekers don’t trust AI in their search. That statistic captures both the majority of those who’ve tried them and those who haven’t. They cite two major reasons for the lack of trust: bad quality and lack of control. 

The problem of the output’s quality may just be a matter of time for AI providers. Still, many users fear that AI will damage their professional reputation. Many people believe AI will fabricate details on a CV or in a cover letter or job form and that those mistakes could cost them a dream job. Yet, nothing ventured, nothing gained.

More on Job SearchingWhy AI Resume Builders Hurt Tech Job Seekers

 

A Job Search Strategy for Fresh Graduates

Today’s graduates are competing both with their peers, but also with algorithms, automation and seasoned professionals taking fallback roles. Though many jobs are still labeled “entry-level,” they now often require AI fluency, sharp technical toolkits and hands-on experience.

That’s why we recommend an up-to-date job search strategy:

Consider Part-Time or Contract Roles

These positions provide immediate income, reduce job-search anxiety and buy time to regroup.

Prioritize Precision

A winning resume is one or two pages max, cleanly structured and packed with job-specific keywords. Keep fonts simple: think Arial, Calibri, Helvetica. Avoid tables and graphs to keep it simple and readable. Also, stick to PDF or DOC files for the best ATS compatibility. 

Showcase Real Accomplishments, Not Vague Duties

ATS (Applicant Tracking System) optimization is essential as 75 percent of recruiters use software to screen candidates. Useful tip: Run your resume through an ATS-friendly tool before applying to see how well it scores.

Update Frequently

An outdated resume raises red flags. Our analysis shows candidates who refresh their resumes for each application get hired significantly faster.

Keep Learning

Learn which AI tools that people in the type of roles you’re seeking are currently using. Doing so will help you stand out from the crowd.

Grads who embrace AI, not fear it, have a chance to outpace the curve. Those who learn to speak the language of machines, use them to amplify their strengths and adapt fast have more chances to jump-start their professional career.

In a market that moves this fast, playing it safe is the real risk.

Explore Job Matches.