OpenAI CEO: Entry-Level Tech Hiring Down 25% at Microsoft & Google Amid AI Impact

At the Snowflake Summit 2025, Sam Altman warned that AI is rapidly replacing entry-level employees, with companies using AI agents for foundational tasks. Studies show a 25% hiring drop for junior roles at tech giants. Experts predict substantial job displacement and potential mass unemployment within the next five years. The CEOs of OpenAI and Anthropic emphasize the urgent need to address this evolving workforce transformation.

At the Snowflake Summit 2025, OpenAI CEO Sam Altman delivered a stark assessment of the evolving workplace, revealing that many companies are already treating AI agents as de facto entry-level employees.

Altman highlighted that the core responsibilities of human employees in these firms now often revolve around tasking AI agents, evaluating their output, integrating their work, and providing feedback – essentially mirroring the management of a traditional junior-level team. This shift, he suggests, is rapidly reshaping the landscape of employment.

This trend is further underscored by recent data. A report from venture capital firm SignalFire noted a significant impact on entry-level positions due to the proliferation of AI. From 2023 to 2024, the hiring of junior roles at tech giants like Meta, Microsoft, and Google has dropped by a notable 25%.

Asher Bantock, head of research at SignalFire, attributes this decline primarily to AI taking over routine tasks previously handled by entry-level employees.

Mirroring this shift, consulting behemoths like McKinsey are already leveraging AI for foundational tasks such as crafting PowerPoint presentations and generating proposals, with forecasts predicting that AI could potentially displace up to 375 million jobs by 2030.

Adding to the concern, Anthropic CEO Dario Amodei, speaking to Axios last week, issued a sobering warning: AI could potentially automate as much as half of all junior white-collar jobs within the next one to five years, with the potential to push unemployment rates towards 20%.

While Amodei acknowledged the forecast sounds almost unbelievable, he stressed the undeniable momentum of this shift. He urged society to confront the looming workforce transformation head-on and proactively prepare for the economic and social adjustments to come.

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