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Feature BY Emily McCrary-Ruiz-Esparza | September 17, 2025

If AI Starts Replacing Entry-Level Jobs, How Will Future Leaders Get Started?

As AI expands across business operations, will the jobs of young workers be among the first to go? If that happens, how will the future leaders of tomorrow enter the talent pipeline? Those are questions that have many HR leaders worried. Headlines warn that AI will damage, or already has damaged, the first rung on the corporate ladder, where young workers start their careers and occupy an important and useful position in corporate hierarchy. Though the full effects of AI on the labor market remain to be seen, some employers are already rethinking their workforce strategies.With AI revolutionizing the most fundamental parts of work, employers must decide whether to regard AI as a substitute for early-career workers or as a tool to accelerate their growth. “If you are a head of HR and you are not jumping up and down and saying, ‘Hey, this is going to impact our culture and our business and our people, and me and my team need to be a part of it,’ then you’re not doing your job,” said Dan Kaplan, managing director of the chief HR officer practice at executive search firm ZRG.Kaplan, who has more than a decade of experience advising CHROs, believes most HR leaders do understand the moment. But he says not enough attention is being paid to the early-career stage, since managerial succession is built on solid entry-level talent.How Much Is AI to Blame?The working world in 2025 is looking grim to many early-career workers, especially for those with college degrees. It’s been a year of layoffs, hiring freezes, and ominous predictions about the obsolescence of entry-level roles under the weight of AI. Salesforce eliminated 4,000 customer-support roles this year, and CEO Mark Benioff told podcaster Logan Bartlett that with AI, he simply doesn’t need as many people. Anthropic’s CEO Dario Amodei told Axios in May that AI could wipe out half of entry-level jobs. Yet so far, there’s little hard evidence that AI is displacing young workers en masse. “A lot of this is just related to the fact that the labor market has shifted back to a low-hiring, low-firing labor market,” said Joseph Briggs, senior economist at Goldman Sachs, on the firm’s Exchanges podcast. While it’s true that, across many sectors, college graduates are having trouble finding work, “the relationship that the anecdotes have to AI is often a little bit overstated,” he added.Briggs did note some evidence of impact in tech industries, where unemployment among young workers is slightly higher than in other sectors. A working paper from researchers at Stanford University also suggests that widespread adoption of generative AI contributed to a 13% decline in the relative employment of early-career workers in sectors like tech and customer support.Whether AI alone will trigger widespread unemployment among young people remains unclear. Still, companies in key industries are bringing in fewer entry-level hires in 2025. And with large-scale retirements looming, the question becomes: How are they filling the leadership pipeline?Avanade Leans Into Early-Career TalentAt the IT professional-services company Avanade, Paul Phillips isn’t cutting entry-level hires—he’s reaching further upstream. The company targets college sophomores and juniors for internships, training them early so that graduates arrive ready-made for full-time roles.In professional services, it’s imperative that talent is qualified as early as possible, so that their work can be chargeable to clients. Phillips, who is the company’s global head of HR, talent acquisition, and onboarding, likes to know that when he makes a hire, it’s clear right away where that person will fit in the organization. Since expanding the internship program two years ago, Avanade converts roughly 80% of its interns into full-time employees.For those young workers, “the ability to learn, unlearn, and relearn is going to be key,” Phillips said. “We have a number of academies that we’ve spun up across Avanade where we bring in talent from non-traditional backgrounds and non-tech backgrounds, or we bring people working in sectors that we do see becoming commoditized in the near term and retrain them on the new set of skills.”In other sectors, where companies might have an older workforce, the retirement of baby boomers has created a knowledge drain. For process industry companies, which includes everything from metals and mining to paper and packaging, retirements are an acute problem and recruiting the next generation is a challenge. In such cases, AI can be a talent attractor, with employers positioning themselves as places where workers can use the latest tools and tech with less toil. In fact, a study by Boston Consulting Group and MIT found that when employees see the value of AI, they feel “more competent in their roles, more autonomous in their actions, and more connected to their work, colleagues, partners, and customers.”AI’s Short-Term Gain and Long-Term ImplicationsBusiness Insider reported that professional-services giant PwC is scaling back on hiring entry-level talent by nearly one-third over the next few years, citing “the rapid pace of technological change.” More broadly, BI has reported in May that AI could reshape consulting at every level of the business.If companies do rely too heavily on AI instead of young talent, “it is going to be short-term gain and massive long-term implications,” ZRG’s Kaplan warned. “If we find ourselves losing out at the entry level, it’s going to have a compounding effect, and it’s going to ultimately affect leadership pipelines.”Some employers are betting big on the opposite approach. “We’re helping a ton of clients think through AI investment and bring AI experts across their portfolio,” Kaplan said. Law, consulting, and private equity firms are doubling down on entry-level hiring. They see today’s graduates as a rare asset: digitally native, agile, and curious about technology. “Private equity tends to really see trends. They see trends and they understand.”Some leaders in the tech industry share this philosophy. Amazon Web Services CEO Matt Garman called replacing junior workers with AI “one of the dumbest things I’ve ever heard,” arguing that this segment is the “least expensive” and “the most leaned into your AI tools.”Publicis, the global ad and PR company, launched a program to help jump-start these junior workers by building foundational skills. Called Ignite, the two-and-a-half-day kickoff program for early-career hires focuses on communication, time management, and business acumen. “We used to wait, but that’s when Ignite came to fruition. The goal is to get them to greater impact quicker,” said Nikki Slowinski, the Publicis group’s EVP of talent experience and development, at a From Day One conference.Without young workers, corporate culture will suffer. “You want that youthful excitement that typically comes from having new college grads and young professionals starting their career,” Kaplan said. “They socialize, they go out, they’re the ones who show up to the office baseball game and the office run in Central Park. If you don’t have that, it will erode your culture.”Augmentation, Not Replacement Trent Cotton, head of talent acquisition insights at iCIMS, told From Day One that while he can’t directly link fewer entry-level hires to AI, the trend does reflect a broader workforce-planning shift. Employers are asking where new hires are essential, and where AI can augment existing teams.Because AI is boosting individual productivity, some companies are consolidating roles and rethinking headcount. They’re asking whether they really need as many full-time employees, focusing instead on where those roles add the most value.Cotton believes the future is in augmentation, not replacement. AI is going to supercharge the young worker, he says. It normally takes 90 days to ramp up a new employee, but with AI, an employer can help an entry-level worker apply their education and start contributing right away. “I mean, AI can help them almost from day one.”Emily McCrary-Ruiz-Esparza is an independent journalist and From Day One contributing editor who writes about business and the world of work. Her work has appeared in the Economist, the BBC, The Washington Post, Inc., and Business Insider, among others. She is the recipient of a Virginia Press Association award for business and financial journalism. She is the host of How to Be Anything, the podcast about people with unusual jobs.(Featured photo by FG Trade Latin/iStock by Getty Images)

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Webinar Recap BY Emily McCrary-Ruiz-Esparza | September 03, 2025

The Untapped Power of Caregiving Benefits: Unlocking Productivity and Retention

As the cost of childcare and eldercare increases and U.S. workforce shrinks, “it’s going to be ever more important that those who have caregiving responsibilities, who need to or wish to stay in the workforce, have the support they need,” said Phyllis Stewart Pires, the AVP of employee support programs at Stanford University.Childcare and eldercare are increasingly out of reach for many households: Not only is care often cost-prohibitive, it’s not always available. There are often long waitlists for care centers and some rural areas may have no options at all. Companies are increasingly aware that the need for childcare support was not just a circumstance of the pandemic, but a workforce issue with consequences for employee productivity, retention, and equity.Caregiving spans from the highchair to the rocking chair, says Dave Jacobs, co-CEO of caregiver support platform Homethrive. “It doesn’t discriminate based on education or socio-economic means. Even if you have the will and knowledge to be able to find the support you need, it’s becoming more expensive, and most of it is private pay,” he said during a From Day One webinar on caregiving benefits. Without support, the stress of taking care of family members encroaches on employee well-being and productivity. The result is distracted employees, or worse: preventable attrition.Caregiver dropout affects the whole talent pipeline. “As people are offered opportunities to move from, say, individual contributor to manager, manager to director, director to VP, sometimes they will decline those opportunities if they have a really stable caregiving situation and don’t want to disrupt that,” Jacobs said. Some are forced out of the workforce entirely. “It’s not only about losing opportunities, it’s also about losing the dream job or sometimes just losing everything.” Caregiving is not only a matter of health and wellness, it’s a matter of equitable opportunities for everyone,” said Arturo Arteaga, senior director of total rewards at VCA Animal Hospitals. Panelists spoke about "The Untapped Power of Caregiving Benefits: Unlocking Productivity and Retention" during the webinar (photo by From Day One)Forward-thinking employers are experimenting with a range of support. At Stanford, on-site childcare centers provide access to care and create jobs in the community, many of which were wiped out by the pandemic. Pires sees the potential for public-private partnerships to fill gaps in care. At VCA, where 80% of employees work on-site, Arteaga has introduced backup care.Some employers are building networks of vetted providers in communities where employees live, said Jacobs, offering subsidies for regular care, keeping backup care options available, and making schedules flexible when possible. At international law firm Sheppard Mullin, senior HR director Thomas Adrian is focused on gender equity, as the burden on caregiving falls primarily on women. “Because of the partnership model, we really want to maintain that gender equality between male and female,” he said, so employees are afforded as much paid time off as needed. The firm also defines caregiving broadly. “We won’t define the word family. If you live with your brother and he needs help, or his child needs help, we’re going to extend it to them. If you are concerned about someone you define as family, it’s going to come back and affect your work.”Flexibility is paramount, says Erin Fitzsimmons, the global head of talent attraction at TE Connectivity. One of her U.S.-based colleagues works with teams in China, and after putting her kids to bed, takes calls with her overseas colleagues. Fitzsimmons herself relied on the flexibility last year when she returned from parental leave. Unable to travel, she took overseas calls remotely while her team made the trip. “Being a global company, not everyone is on your typical 9-to-5. It all comes back to culture,” she said. Communication is paramount. Adrian at Sheppard Mullin makes sure caregiving benefits are automatically highlighted in any conversation about leave. Fitzsimmons created comprehensive benefits packets detailing when and how leave is available, and Arteaga stresses consistency: “Not once a year or twice a year. Constant,” he said. Some benefits don’t matter much until you need them–often right away. When that happens, employees need information close at hand. Employers investing in caregiving, from last-minute backup help to community infrastructure are not only helping their own employees, they’re protecting the future of the business.Editor’s note: From Day One thanks our partner, Homethrive, for sponsoring this webinar. Emily McCrary-Ruiz-Esparza is an independent journalist and From Day One contributing editor who writes about business and the world of work. Her work has appeared in the Economist, the BBC, The Washington Post, Inc., and Business Insider, among others. She is the recipient of a Virginia Press Association award for business and financial journalism. She is the host of How to Be Anything, the podcast about people with unusual jobs.(Photo by AleksandarNakic/iStock)

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What Our Attendees are Saying

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“The panels were phenomenal. The breakout sessions were incredibly insightful. I got the opportunity to speak with countless HR leaders who are dedicated to improving people’s lives. I walked away feeling excited about my own future in the business world, knowing that many of today’s people leaders are striving for a more diverse, engaged, and inclusive workforce.”

– Jordan Baker, Emplify
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“Thank you, From Day One, for such an important conversation on diversity and inclusion, employee engagement and social impact.”

– Desiree Booker, ColorVizion Lab
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“Timely and much needed convo about the importance of removing the stigma and providing accessible mental health resources for all employees.”

– Kim Vu, Remitly
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“Great discussion about leadership, accountability, transparency and equity. Thanks for having me, From Day One.”

– Florangela Davila, KNKX 88.5 FM
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“De-stigmatizing mental health illnesses, engaging stakeholders, arriving at mutually defined definitions for equity, and preventing burnout—these are important topics that I’m delighted are being discussed at the From Day One conference.”

– Cory Hewett, Gimme Vending Inc.
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“Thank you for bringing speakers and influencers into one space so we can all continue our work scaling up the impact we make in our organizations and in the world!”

– Trisha Stezzi, Significance LLC
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“From Day One provided a full day of phenomenal learning opportunities and best practices in creating & nurturing corporate values while building purposeful relationships with employees, clients, & communities.”

– Vivian Greentree, Fiserv
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“We always enjoy and are impressed by your events, and this was no exception.”

– Chip Maxwell, Emplify
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“We really enjoyed the event yesterday— such an engaged group of attendees and the content was excellent. I'm feeling great about our decision to partner with FD1 this year.”

– Katy Romero, One Medical
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“The From Day One Conference in Seattle was filled with people who want to make a positive impact in their company, and build an inclusive culture around diversity and inclusion. Thank you to all the panelists and speakers for sharing their expertise and insights. I'm looking forward to next year's event!”

– Kayleen Perkins, Seattle Children's
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“I had the pleasure of attending From Day One. My favorite session, Getting Bias Out of Our Systems, was such a powerful conversation between local thought leaders.”

– Michaela Ayers, Nourish Events
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“Inspiring speakers and powerful conversations. Loved meeting so many talented people driving change in their organizations. Thank you From Day One! I look forward to next year’s event!”

– Sarah J. Rodehorst, ePerkz
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“I had the distinct pleasure of attending From Day One Seattle. The Getting Bias Out of Our Systems discussion was inspirational and eye-opening.”

– Angela Prater, Confluence Health
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“From Day One did an amazing job of providing an exceptional experience for both the attendees and vendors. I mean, we had whale sharks and giant manta rays gracefully swimming by on the other side of the hall from our booth!”

– Joel Stupka, SkillCycle
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“Last week I had the honor of moderating a panel on healthy work environments at the From Day One conference in Atlanta. I was so inspired by what these experts had to say about the timely and important topics of mental health in the workplace and the value of nurturing a culture of psychological safety.”

– Alexis Hauk, Emory University