How Can Entry-Level Workers Compete in an AI-Driven Job Market?

Is AI closing the door on entry-level job seekers—or reshaping the path into the workforce? During this episode of Work Week, Dr. Kelly Monahan explores how recent college grads can compete in a hiring landscape increasingly shaped by automation, rising expectations, and evolving roles. With unemployment among recent college grads higher than the national average, job seekers are questioning the value of their college degrees and wondering how to stand out in an AI-driven job market.

In this episode, learn relevant data about the entry-level job market, as well as tips to stand out as a job seeker. If you’re a manager or business leader, also learn how you can rethink entry-level roles and your hiring process to future-proof your organization.

Episode Transcript

(00:03):
- Hello and welcome to Work Week,
the podcast where wetackle one big question
about the rapidly evolving workplace,
explore what the researchsays about the issue
and explain what it all means for you.
I'm Dr. Kelly Monahan,
managing director at theUpwork Research Institute.
What you're hearing is adigital proxy of my voice
created by our team with the help of AI.

(00:26):
Today's episode is for anyone
trying to get a foot inthe door of the workforce,
anyone wondering if that dooris quietly being closed by AI,
and anyone who wants to keep the door open
for the next generation of workers.
Our big question for the week is:
How can entry-level workers
compete in an AI-driven job market?
If you're a recent college graduate

(00:47):
or are in the processof a career transition
and you're facing challenges
with finding an entry-level role,
you're not alone.
Data pulled in March of 2025showed that college graduates
have a higher unemployment rate,
5.8% than the national average,
which sits around 4%.
Additionally, data from Oxford Economics

(01:07):
shows that 85% of the rise inunemployment since mid 2023
has been concentrated
among those newlyentering the labor market.
Job search challenges areleading many recent graduates
to question the value of their degrees.
In fact, Indeed surveyed 722 professionals
and found that 51% of Gen Z respondents

(01:30):
view their college degreeas a waste of money.
If you're a regular listener of Work Week,
you may remember that in episode 13,
we posed the question:
Are degrees still valuablefor today's workforce?
The answer then and now is yes,
but they're no longer enough on their own.
Degrees still matter.

(01:50):
They open doors, signal commitment,
and provide foundational skills.
But today's job market demands more.
Employers are increasingly looking
for digital fluency and AI expertise
along with soft skills
such as adaptability and collaboration.
Hult International BusinessSchool surveyed 800 HR leaders
and 800 recent graduateswho work in business roles.

(02:13):
The research found that 97% of employers
said it's critical for new hires
to have a foundational understanding
of business technology topicslike AI and data analytics.
However, only 20% ofrecent graduates surveyed
believe they meet this expectation.
Additionally, only 23%reported feeling ready
to integrate AI into their daily role.

(02:36):
So here's the challenge:
Employers need future-readytalent while many new grads
feel as though they're enteringthe market under prepared.
What does this mean forthe entry-level job market?
As job seeker confidence wanes,
some employers arelooking for alternatives
to entry-level candidatesto address skills gaps.
Glassdoor's monthlyemployee confidence index

(02:58):
found that entry employeeconfidence hit a record low
of 43.4% in May 2025.
At the same time,
the Hult InternationalBusiness School Survey
found that while 98% of HR leaders
reported difficulties with finding talent,
89% said they avoid hiring recent grads.

(03:18):
Instead, they'd rather hire freelancers,
rehire retired employees,
use AI to address skills gaps,
or leave the role open.
Entry-level roles aren'tthe only ones changing.
In episode 19 of Work Week,
we asked the question:
What role do middle managersplay in an AI-driven workplace?
The episode covered
how middle manager rolesaren't disappearing,

(03:40):
but are rather being redefined
to help shape AI-enabled,human-centered workplaces.
What's becoming clear is thatAI is shifting expectations
at every level of the workforce.
While middle managers are being asked
to shift from supervisorsto orchestrators,
early career workers are beingasked to already be fluent

(04:01):
in the AI tools and skills
they may have previouslyexpected to learn on the job.
What does this mean for individuals
just entering the workforce?
If you're listening to thisand feeling overwhelmed,
let me pause to say:
There is still a path forward.
AI may replace a significant portion
of routine entry-level worktasks that exist today.

(04:23):
Anthropic CEO DarioAmodei even went so far
as to predict that 50% of entry level jobs
could disappear in the next five years.
However, while traditionalentry-level roles
with routine responsibilitiesmay be automated,
many organizations will likelyredesign entry-level roles
rather than replacing them
to focus on more strategicand collaborative tasks.

(04:46):
Here's what likely won't go away:
Roles that require adaptability;
People who can learn fast,
apply feedback and take initiative;
Job seekers and employees who understand
how to effectively partner with AI
rather than fear or resistthe latest technology.
If you're an early career worker,
here's what you can focus on to stand out

(05:06):
in a competitive AI-driven job market.
First, build AI skills now.
Enroll in free or low-cost online courses
on prompt engineering,
generative AI or data literacy.
Use tools like ChatGPT, Claude,or Midjourney to experiment.
Try creating a resume summary,
analyzing job descriptions

(05:28):
or scripting an interview answer using AI.
Then, refine it to match your voice.
Practice integrating AIinto your actual workflow
so you can speak confidentlyabout your experience.
Second, demonstrate impactwith real-world examples.
Rather than simply listingskills or AI experience,

(05:48):
show how you've used them.
If you've used AI to streamlineor enhance your work,
even in school internshipsor online courses,
include projects or assessmentsin your job applications.
When you do, focus onthe measurable results
or outcomes you achievedby applying your AI skills.

(06:08):
Third, lean into and showcase soft skills.
AI can't lead, empathize,or adapt under pressure,
but you can.
Highlight your soft skillsin your job application.
Add specific examples explaining
how you handled a difficult group dynamic,
took initiative, adaptedto shifting expectations,
or solved a people-related challenge.

(06:30):
You may even consider includinga brief video introduction
that shows your communication style.
Also, be prepared to discuss examples
of your soft skills in actionduring the interview process.
Build an engaging portfolio,
a resume list what you've done,
a portfolio shows what you're capable of.
Include projects where you used AI,

(06:51):
tackled complex assignments,
or learned a new tool independently.
Portfolios can include slide decks,
videos, mock case studies,
or screenshots of finished work.
This is especially powerful
if you lack traditional experience
because it proves potential.
And portfolios help hiring managers
quickly visualize how youthink, learn, and create.

(07:13):
Instead of seeing full-time employment
as the only option to buildyour skills and portfolio,
consider creating personal projects
or pursuing freelance opportunities
that highlight your expertise.
While not directly related to AI skills,
take the success story
of freelance graphicSuzanne C as inspiration.
After graduating college,

(07:34):
Suzanne applied to more than 70 jobs,
which only resulted in one interview.
She decided to pursue freelancing
and attracted some of her initial clients
by creating a portfoliowith personal projects.
She mocked up different designs
that showed potential clients
the range of designwork she was capable of.
One portfolio example
was a redesigned Harry Potter book cover

(07:56):
in a modern minimalist style,
which helped Suzanne attract clients
who needed that specific style.
Showcasing her skills in novel ways
that resonated with clients
helped Suzanne build hercareer and pursue freelancing
as a successful alternativeto full-time employment
in today's job market.
Now, let's pivot to theother side of the table,

(08:18):
hiring managers and business leaders.
If you're a hiring manager,
avoiding early career candidates
might feel efficient in the short term,
but it's risky long term, here's why:
As we highlighted inepisode 11 of Work Week,
retirements are accelerating.
As older workers leave the workforce,
the next generation will needto help fill skills gaps.

(08:39):
If you're not bringing them in now,
you're leaving knowledge transfer
as well as future leadership
and business continuity to chance.
Innovation is dependenton diversity of thought.
New grads who have takenproactive steps to learn AI
and other emerging technology
bring fresh eyes and novel solutions.
If you're still hesitant tohire entry-level workers,

(09:00):
rethink what you'relooking for in candidates
and how you evaluate individuals
during the hiring process.
Rather than focusing solelyon GPA or specific degrees,
search for candidates whoare curious, adaptable,
and willing to learn,
are comfortable with ambiguity,
and have experience usingand applying AI tools.

(09:21):
When you evaluate candidates,
move beyond traditional hiring steps.
Use structured interviews
to better understandcollaboration and adaptability
rather than asking individualsto regurgitate their resume.
Replace outdated candidateassessments with AI simulations
or collaborativeproblem-solving exercises.
And review candidate portfoliosfor specific projects

(09:43):
that display both AI expertise
and relevant soft skills.
Instead of thinking of entry-leveltalent as a cost center,
think of hiring early career workers
as a business continuity plan.
Younger workers bringperspective, ambition,
and yes, a learning curve.
But with the rightonboarding and mentoring,

(10:04):
they're the future of your business.
Let's end the episode as we always do
with an action step youcan implement immediately
and a reflection question to consider.
If you're an early career job seeker,
review the most recent jobapplication you submitted.
Does it most accuratelyreflect your full potential

(10:25):
including AI knowledge, soft skills,
and relevant experience,
either through coursework,internships, or mock projects?
If not, what can you do toimprove your next application
or continue to build relevant skills?
If you're a businessleader or a hiring manager,
take a look at your hiring process
and identify one step you can take

(10:46):
to better evaluate entry-levelcandidates' AI skills.
This may include placing
more weight on portfolios than skills,
administering AI skills assessments,
or asking interview questions
about how candidates haveapplied AI knowledge in the past.
And here's a questionto carry into your week:
Are entry-level jobs going away
or are they becoming thelaunchpads for the future of work?

(11:09):
No matter the role or level,
the people most likely tosucceed in the future of work
are those who are adaptableand prepared to learn
the latest tools and skills.
And organizations that thrivein an AI-driven world of work
will invest in a combination of technology
and qualified talent.
Thank you for listening tothis episode of Work Week.

(11:29):
I'm Dr. Kelly Monahan,
and whether you're lookingto break into the workforce
or redesign your team from the inside,
the message is clear:
Aligning workforce skillswith changing business needs
charts a clear path forward
for both workers and organizations.
If you found this conversation helpful,
share it with a recentgrad or a hiring manager

(11:51):
and subscribe for moredata-driven insights
on successfully navigatingthe future of work.