Number of new UK entry-level jobs has dived since ChatGPT launch – research

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Number of New UK Entry-Level Jobs Plummets Since ChatGPT Launch, Raising Fresh Concerns About AI and Employment

A group of call centre employees sitting at a desk
AI adoption is restructuring entry-level job opportunities in the UK. Photograph: Alamy/Guardian.

London, UK – New research shows that the rise of generative artificial intelligence tools such as ChatGPT has coincided with a steep decline in the number of entry-level job postings in the United Kingdom. This trend is sparking concern among educators, young jobseekers, and policymakers about the future of employment for those just entering the labour market.

The ChatGPT Effect: Fewer Openings for Starters

According to a recent study published by job search engine Adzuna, the number of entry-level job postings in the UK dropped by 35% between November 2022—the month of ChatGPT’s public release—and June 2025. The decline far surpasses typical seasonal patterns and is evident across industries, including customer service, administrative support, data entry, and even some creative roles.

Adzuna’s chief data analyst, Andrew Hunter, noted, “We’re seeing significant evidence that roles historically deemed perfect for graduates or school leavers are quickly vanishing, with many tasks absorbed by new AI systems that can rapidly draft correspondence, process simple data, and even handle elementary creative projects.”

Businesses Embrace Automation

Since its widely-publicized debut, OpenAI’s ChatGPT and similar large language models have been integrated into a host of business functions. Companies ranging from small startups to giants like HSBC and BT have reported pilot schemes replacing some junior and support staff tasks with AI solutions.

A 2024 survey from the Institute of Directors found that 67% of UK businesses are trialing or actively using generative AI models, with the majority focusing on cost savings and efficiency improvements. “These tools can answer simple queries, summarise documents, generate reports, and even conduct first-line customer service interactions,” explained an IoD spokesperson.

Young Jobseekers Caught in the Crosshairs

The immediate impact is being felt most acutely by young people seeking their first foothold in the job market. According to figures from the UK’s Office for National Statistics (ONS) released in May 2025, youth unemployment crept up to 13.8%—a 1.5% increase year-on-year. Recruiters report that with fewer traditional openings, application numbers per posted entry-level role have surged, intensifying competition for the remaining positions.

“AI can dramatically boost productivity, but the loss of easy-entry roles removes critical ladders for skill development and workforce integration,” said Dr. Hilary Jameson, labour economist at King’s College London. “Without interventions to reskill and reimagine these pathways, we risk locking out a whole generation.”

Impact Beyond Administrative Jobs

While secretarial and clerical jobs are among those feeling the biggest squeeze, recent AI advances are also affecting creative, marketing, and technical support roles. AI-powered tools now perform basic graphic design, social media posting, and responses to routine tech queries. Adzuna’s data shows entry-level postings for copywriters, junior designers, and social media assistants down by double digits compared to mid-2022 figures.

Some industries, such as hospitality, healthcare, and skilled trades, have maintained or even grown entry-level recruitment. Yet experts argue it’s only a matter of time before AI tools begin to automate portions of these sectors as well—especially in administrative and scheduling tasks.

Calls for Education and Skills Reform

The rapid transformation is prompting urgent debate about the role of education and training in the AI era. United Kingdom universities, industry associations, and the Confederation of British Industry (CBI) are calling for curriculum reform and expanded apprenticeship schemes.

Dr. Sarah Ashford, Director of Employability at the University of Manchester, emphasized the need for “AI literacy alongside traditional soft skills,” adding, “Future workers need strong analytical, communication, and project management abilities to thrive alongside AI co-workers, not compete with them.”

Government Response and Policy Discussions

Westminster has taken notice. In March 2025, the Department for Education launched a review of school and post-16 education with an eye toward digital and AI skills. Chancellor Rachel Reeves recently proposed a £250 million investment in digital upskilling, aiming to ensure that both young and displaced workers can “earn, adapt, and thrive in sectors of the future.”

Meanwhile, trade unions such as Unite and the TUC are pushing for regulatory safeguards. Their proposals include retraining vouchers, job transition schemes, and requirements for companies benefitting from government AI incentives to create entry-level opportunities.

The Global Context

The UK is far from alone in grappling with these seismic shifts. A recent World Economic Forum report predicted that by 2027, 44% of workers’ core skills will change, and up to 83 million jobs worldwide could be lost or transformed by AI and automation. However, the WEF also projects creation of 69 million new jobs, many in the digital and green sectors, provided that reskilling and adaptation keep pace.

Analysts warn that the transition will not be painless and that national responses will determine which segments of society benefit or fall behind. “The net effect of AI is not predetermined,” said McKinsey partner Jenny Baker. “It’s about guiding change, not resisting it.”

The Road Ahead

For many young Britons, the path into the workforce now demands greater agility and a willingness to learn new skills outside traditional entry points. Educators and employers alike are urged to collaborate in developing meaningful opportunities that harness, rather than replace, human talent.

As AI’s capabilities continue to grow, the pressure will mount on both public and private actors to manage the transition responsibly—balancing innovation, productivity, and the social promise that every generation should have a pathway to meaningful work.

Reporting by Guardian Technology and Business. Data from Adzuna, ONS, and the Institute of Directors.

Jada | Ai Curator
Jada | Ai Curator
AI Business News Curator Jada is the AI-powered news curator for InvestmentDeals.ai, specializing in uncovering the best business deals and investment stories daily. With advanced AI insights, Jada delivers curated global market trends, emerging opportunities, and must-know business news to help investors and entrepreneurs stay ahead.

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