Gen Z fears AI threats to jobs as UK entry-level roles decline
New global research has shown that the majority of students fear artificial intelligence (AI) could threaten their future employment prospects, casting doubt over the value of traditional university degrees amidst a significant decline in entry-level job opportunities in the UK.
The survey, conducted by student living provider Yugo, gathered responses from over 7,000 students in nine countries. It found that four in five members of Generation Z are concerned that AI technology may render human workers redundant. In the UK, nearly a third of entry-level jobs have disappeared since 2022, coinciding with the launch of ChatGPT and an uptick in public use of AI.
AI concerns and career prospects
Although 44% of UK students reported feeling excited by the prospects associated with AI, including predicted improvements in productivity, healthcare, and work-life balance, a larger proportion are focused on the risks to future employment. The report highlights that students now question whether the significant investment in higher education, with average UK student debt nearing GBP £53,000, still guarantees career security.
These fears are not limited to the UK. Students in the United States (79%), Ireland (78%), and Portugal (75%) expressed similar concerns, indicating that uncertainty about automation and AI is shared among young people internationally.
Adapting to change
Despite these anxieties, many students demonstrate resilience and adaptability by integrating AI tools into their academic routines and preparing for anticipated changes in the workplace. The survey revealed that 43% of UK students are already using AI to check and proofread their academic work. Furthermore, 59.5% of Gen Z men and 55% of Gen Z women said AI has improved their work-life balance at university. Among older students aged 55 to 64, this figure rose to 83.3%.
Sunjaya Philips, a third-year student at Oxford Brookes University, described the double-edged nature of AI's impact on higher education and employment:
"AI is changing everything – not just how we study, but what jobs we'll be applying for after graduation. I'm trying to stay ahead of it by building both my tech skills and my creative thinking. That's what I think will make the difference in a job market where machines can do all the basics."
This experience mirrors a broader shift in attitude seen among students globally. While the role of traditional qualifications is coming under question, many are seeking to equip themselves with skills that go beyond what can be automated.
Practical support and advice
Yugo has responded to these concerns by offering tailored guidance to help students build resilience and adaptability as AI becomes increasingly embedded in the world of work. Emily Porter, Global Senior Brand Manager at Yugo and Head of its Live Your Best Life programme, provided recommendations for students navigating this landscape:
"Use tools like ChatGPT to practise interviews, test industry language, or build CV bullet points from your experience. These elements are likely to set you apart from those who aren't taking advantage."
"Creativity, collaboration, empathy, and resilience are more valuable than ever. Yugo's wellbeing programmes help students invest in soft skills that employers consistently rank as top hiring priorities."
"Many top employers already use AI in recruitment and workplace systems. Gaining confidence with these tools now gives students an edge in the job market."
Porter added:
"AI won't replace graduates – but graduates who know how to use AI may well secure greater opportunities than those who don't. That's why we're supporting our students to build AI literacy and develop the human skills that will always be in demand. "University is worth far more than the degree you receive at the end. While living away from home, students learn to live independently, navigate relationships, and prepare for life's next chapters – and that's where we come in."
Broader student support
Yugo's initiatives include its Live Your Best Life and YuPro programmes, which offer students opportunities for AI training, internships, graduate programmes, and other career resources in addition to wellbeing and sustainability-focused activities. According to the survey, 62% of students said they are worried about their career opportunities after graduation.
As students assess the forces shaping the employment landscape, the findings indicate a critical juncture at which higher education, technology, and employability intersect. The data suggest Gen Z is willing to adapt, upskill, and embrace uncertainty as they prepare for future careers influenced by both automation and the continued relevance of human-centred skills.
