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AI is taking away the jobs of young Americans, while older workers stay insulated: How it can lead to a deeper job market crisis

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The American job market is standing at a precipice where technological promise collides with generational vulnerability . This is not a mere sentence but is supported by the numbers that speak. Previous industrial shifts, such as from steam engines to the internet, created disruption but ultimately opened the door to opportunities. Artificial intelligence, however, stands at an ironic pedestal. Since its inception, there has been a constant tug of war between two ideologies, one that believes it will substitute humans, and the other that weighs more in favour of human skills. However, it is a more corrosive paradox.

Rather than expanding, it directly consumes the low- and mid-level tasks that once initiated young professionals into the workforce. As per the findings of the Wall Street Journal, a recent Stanford analysis reveals that early-career workers are being displaced at alarming rates in precisely the roles most susceptible to automation, while their older counterparts remain largely secure.

In areas such as software development, customer service, and translation, generative AI has proven capable of executing repetitive functions with pace and precision. The consequences are measurable: Among software developers aged 22 to 25, headcount has fallen by nearly 20% since late 2022. This is not a cyclical fluctuation but a structural tremor that suggests an erosion of the first rungs of the professional ladder.


Why experience insulate the old

In contrast, older professionals appear curiously insulated from AI’s sharpest blows. Their protections do not derive from technical prowess alone but from an accumulation of irreplaceable knowledge, project leadership, collaborative judgement, and context-driven problem solving, qualities not easily codified into algorithms. AI can generate code or answer queries, but it cannot replicate decades of tacit learning and institutional memory. This divide highlights a widening generational fracture: Youth bear the displacement, while age retains its foothold in stability.


The pipeline paradox

The true danger lies not only in the present contraction of jobs but in the shattering of future expertise. Entry-level roles have historically functioned as apprenticeships, providing the practical scaffolding on which young workers establish their careers. If roles vanish, the labour market faces a pipeline paradox: The very skills employers prize in senior professionals will wither from lack of transmission. When today’s experts retire, who will inherit their mantle in a workforce stripped of its training ground?


When AI augments rather than replaces

There is, however, a counterpoint within the data. In occupations where AI functions as an ally rather than a substitute, medical diagnostics, technical analysis, or research support, employment among young workers has expanded. Here, AI does not annihilate human input but amplifies it, enhancing precision and efficiency while preserving the need for human oversight. This suggests a critical lesson: The trajectory of employment will not be determined by AI’s existence but by the way it is integrated. Workplaces that design roles around augmentation rather than replacement can still create space for human ingenuity.


A generational reckoning
Yet the overarching picture remains stark. If older cohorts continue to ascend while younger ones falter, America risks engineering a generational schism more profound than any created by previous waves of innovation. The issue transcends lost wages; it threatens the architecture of upward mobility, hollowing out the possibility of advancement for an entire demographic. Left unaddressed, this imbalance could calcify into long-term inequality, weakening both social trust and economic resilience.


Beyond automation, towards renewal

Artificial intelligence is not merely a new tool in the arsenal of productivity; it is a force redefining the contours of opportunity itself. For young Americans, the challenge is existential: to acquire skills and experience in a world where the traditional pathways have been automated away. The United States must confront this reality with deliberate strategies—restructured training, new models of mentorship, and purposeful role design—lest it face a future in which machines do the work, the old keep the wisdom, and the young inherit only absence.
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