Entry-level productivity expectations have increased due to AI, report says - HR Dive

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Dive Brief:

• Nearly half of U.S.-based HR leaders surveyed said that artificial intelligence is increasing the productivity expectations for entry-level roles even as staffing levels do not change, according to research published May 12 from learning platform D2L in partnership with Morning Consult.
• According to the report, 30% of HR professionals said their company’s talent acquisition strategy now favors hiring fewer junior staffers and more mid-level workers, noting that AI was being used to complete tasks previously assigned to lower-level employees.
• Only 12% of companies planned to reduce the number of entry-level employees hired over the next 24 months, per the report. However, of those companies, 56% said it was due to AI-driven task automation, while 32% pointed to smaller budgets and 28% cited internal restructuring.

Dive Insight:

The research was intended to examine how HR leaders felt about how generative AI was influencing entry-level work, hiring strategies and long-term talent development, underscoring potential growing skills gaps for junior professionals.

“The risk isn’t simply that AI changes aspects of entry-level hiring,” Sandy Rezendes, head of corporate learning and development at D2L, said in a statement. “It's that it may reduce some of the foundational on-the-job learning that comes with the cognitive struggle and tasks inherent in entry-level work that people need to grow into experienced subject matter experts and future leaders.”

More than half of HR leaders (56%) said they saw fewer basic tasks being given to junior team members as a result of generative AI. In addition, 58% said they were concerned that the AI-induced reduction in entry-level roles might lead to a shortage of qualified senior leaders within five years. Meanwhile 74% said they didn’t have any employee development programs in place that could replace the kind of on-the-job training that’s being lost to AI automation.

Respondents said that they were already seeing declines in problem solving (75%), as well as reductions in interpersonal (76%) and communication skills (78%) among recent entry-level hires compared to their cohorts from 3 to 5 years ago.

“Organizations may gain efficiency in the short term, but if they don’t also invest in intentional learning, upskilling, and development, they may risk creating a talent gap down the road as they're not growing their own experienced workforce,” Rezendes said. “This is a moment for employers to treat learning as a strategic investment in the future of their workforce.”

The report suggested that employers invest in structured learning and development programs, and consider implementing AI-enabled training simulations and hiring practices that emphasize critical thinking, communication and AI literacy. 

“Organizations are at an inflection point,” Michael Rochelle, chief strategy officer at Brandon Hall Group, said in a statement responding to the D2L report. “AI is accelerating productivity, but it’s also disrupting the developmental pathways that have historically built expertise. Without intentional investment in learning, companies risk creating a long-term leadership gap.”

A recent report from Robert Half found that while soft skills are still a focus for employers when hiring early-career workers, a solid grasp of AI tools is also increasingly required.

Nonetheless, only 22% of leaders in the U.S. said entry-level workers were either very or completely prepared to do their jobs, with most leaders specifically citing a lack of soft skills, according to a September survey from General Assembly.