As no surprise, the marketplace for entry level jobs is going thru some serious changes, shrinking the number of jobs that once were the launching place for workers new to the workforce. Recent research by the Harris Poll put a spotlight on these changes…

• 80% of hiring managers are requiring candidates to have more knowledge, skills and experience than is typically available in the typical career starter.
• While hiring managers continue to say that entry-level roles are important to developing future talent, they are also acknowledging that new technologies, including AI, is reducing the number of jobs and employees in their organizations categorized as entry level. 
• 60% of the employers surveyed said it is more efficient to use AI for entry-level tasks than it is to hire and train new candidates. 

Job seekers, on the other hand, continue to want and look for those entry-level opportunities while coming face to face with the reality that entry-level work is not what it used to be. Not only are entry level roles disappearing but the expectations of employers for these types of roles have been significantly upgraded. Candidates are now expected to come into the workforce with both the technical and soft skills that can be put to work immediately. They are expected to manage systems, solve problems and communicate effectively right out of the gate as opposed to developing these kinds of capabilities over time.

So, here’s the outcome of all these changes. 

The Federal Reserve Bank found that unemployment rate for candidates “new to the workforce” is 5.7% with “underemployment”, those taking jobs not requiring their education or experience, reaching 42.5%.  that is the highest level of “underemployment” since 2020.

What changes can employers make to address this potential disconnect in their workforce development strategies?    

We think, they can…

• Continue to create roles for candidates with 0-2 years experience but make sure they have the training and support in place to help develop the skills necessary to perform these roles at high levels.   
• Use entry level folks for interim or temporary roles. Expand existing internship programs that expose new to the workforce folks to the realities of today’s work environment.   
• Make sure that entry level workers are given an opportunity to explore different kinds of work or tasks inside their organization and receiving training on the tools used to automate those tasks. The mastery of specialized automation tools needs to be considered foundational skills.

Final Thoughts…

We should all be paying attention to this disconnect in previous workforce development strategies where entry level work was a key part of that strategy. The old forms of entry level tasks will likely be displaced by new technologies, but we should not go down the path of turning our backs on entry level candidates by eliminating all entry level jobs. Instead, entry level job seekers need to reset their expectations for work content and pay, and employers need to remind themselves how important it is for them to find employees they can develop for the future and make sure they have the mindset and hands on support to help them succeed.