AI Boom Cuts Entry-Level Tech Jobs in NYC by Half
New York City's tech sector has seen a nearly 50% drop in entry-level job postings since the release of ChatGPT, according to a new report. The rise of AI and increased demand for experienced workers are cited as primary drivers.
Entry-level tech job postings in New York City have plummeted by 49% since the public release of ChatGPT, according to a new report from the Center for an Urban Future (CUF). This significant decline contrasts with the broader growth seen in the city's tech industry over the past decade.
The CUF analysis found that jobs most exposed to generative AI have seen the steepest hiring declines. Since 2022, entry-level roles with high AI exposure have decreased by 29% across the city. While overall tech employment has grown substantially in New York over the long term, this specific segment is shrinking.
"The core issue is that employers face an individual incentive to hire workers who already have two or three years of experience," said Eli Dvorkin, editorial and policy director at CUF. "But if every employer acts that way, the broader entry-level ecosystem collapses, which ultimately harms employers as well."
Despite the dip in general entry-level positions, the report notes that demand for workers with strong AI skills has increased by 20% over the last four years. Roles requiring expertise in security and data analysis have also continued to see hiring. The findings echo broader concerns about AI's impact on the labor market, particularly for younger workers entering the workforce.