Australia’s central bank finds AI hitting young workers first, especially in software and customer service

What happened

Australia’s central bank reported that entry-level workers aged 15 to 24 are seeing sharper declines in job postings and employment in fields vulnerable to AI, specifically software development and customer service. The trend became noticeable after the launch of ChatGPT. Older workers in the same fields have not experienced as steep a drop. The bank cautions that factors like economic cycles and remote work changes could also influence the data.

Why it matters

AI adoption is accelerating pressure on young workers in easily automated roles. For software and customer service jobs, young hires face tougher prospects as companies streamline roles impacted by AI tools. This shift can cause tighter competition for entry-level jobs, slowing career entry or pushing workers to pivot industries or roles. It also signals to investors and startups that certain labor pools are becoming less reliable for growth-dependent hiring. However, interpreting early indicators requires care, since hiring patterns often fluctuate with broader economic or workplace trends.

What to watch next

Watch for whether this pattern spreads beyond Australia and if it deepens in other AI-exposed occupations. Monitoring employment recovery or continued suppression in younger age groups will reveal if AI is a structural disruptor or part of a temporary cycle. Employers and workforce planners should track changes closely to adjust hiring strategies, training programs, and job design. Investors may want to factor this labor displacement risk into early-stage company hiring and automation plans.

AI Quick Briefs Editorial Desk