A Stanford Digital Economy Lab study finds that while AI has not caused widespread job displacement across the economy, young workers in occupations heavily exposed to artificial intelligence have experienced significant employment declines relative to peers in less-exposed fields. The employment gap for workers aged 22 to 25 in highly AI-exposed occupations has widened to roughly 19% below where it would be had employment kept pace with less-exposed sectors, up from 15% a year earlier. Researchers note the adjustment appears to operate primarily through reduced hiring of young workers rather than increased separations, suggesting companies are hiring fewer entry-level workers in AI-exposed roles rather than laying off existing employees.
