Entry-level tech jobs in NYC are being cut in half by the AI boom

New York City's tech industry is experiencing a significant decline in entry-level job postings, a trend that has been amplified by the rise of artificial intelligence. The Center for an Urban Future (CUF), a New York-based think tank, found that as of 2022, there was a 49% drop in entry-level tech job listings, a larger decline than any other sector.

Despite the city being home to major tech companies like Google and OpenAI, and seeing a 160% increase in tech employment between 2008 and 2023, the entry-level job market has taken a sharp downturn. This is largely due to employers preferring to hire workers with some experience, creating a bottleneck for recent graduates. While jobs not exposed to AI have seen a 21% growth in entry-level hiring, roles with high AI exposure have decreased by 29%.

Entry-level positions in security and data analysis remain stable, but overall, entry-level hiring for tech jobs has stagnated. This trend is mirrored across most industries in New York, with most seeing a decline in entry-level job postings since 2022. The situation is particularly concerning for young workers, with the employment gap for those aged 22 to 25 widening to 19% compared to those in less AI-exposed roles.

Surveys show that young workers are increasingly concerned about AI's impact on the labor market, with many predicting job losses. However, the tech sector in New York remains resilient and well-positioned for future growth, provided the city invests in its workforce to ensure more people can enter the sector.