For the thousands of graduates tossing mortarboards into the blazing summer sky of 2025, the moment was meant to mark the dawn of possibility. But for many, that ceremonial high is crashing headlong into a grim reality: the job market they’ve spent years preparing for is vanishing before their eyes.As the final hangovers—or for the increasingly sober generation, sugar rushes- fade, the aftertaste of adulthood is bitter. This isn’t just a tough summer to graduate. For many, it may be the worst in decades.
AI’s silent coup on entry-level work
Since the launch of ChatGPT in late 2022, the white-collar world has been quietly rewired. Entry-level roles—once seen as essential training grounds—are evaporating under the weight of artificial intelligence. According to recent data, UK entry-level job listings have dropped by nearly one-third since the AI boom began.The biggest graduate employers, including the so-called “Big Four” accounting firms, are slashing recruitment. AI can now handle many of the repetitive, analytical, and administrative tasks once assigned to junior employees—faster, cheaper, and without the burden of onboarding.Dario Amodei, CEO of leading AI firm Anthropic, warns that within five years, AI could wipe out half of all entry-level white-collar jobs in fields such as law, consulting, and finance according to media reports. Far from distant speculation, that future is already arriving.
The paradox of digital desperation
Ironically, AI is also becoming the desperate jobseeker’s best friend. Many graduates are turning to generative tools like ChatGPT to churn out CVs and cover letters at breakneck speed—sometimes hundreds at a time. But the result is a flood of indistinguishable applications, creating a paradox: in trying to compete with AI, graduates are saturating the system with AI-generated noise.Recruiters are drowning in applications while claiming the talent pool feels thinner than ever. The frictionless nature of AI is producing a hiring process that feels both impersonal and impenetrable.
Labour’s economic shift: More rights, fewer hires?
While technology is reshaping job functions, policy is reshaping employer behaviour. The Labour government’s recent tax policies—particularly the increase in employer National Insurance contributions—have made hiring more expensive at a time when many companies are already cautious.More controversially, Labour’s proposed Employment Rights Bill, which includes day-one protections against unfair dismissal, is spooking business owners
A brutal numbers game
The numbers paint a bleak picture. The number of UK university graduates has surged past 1 million, up from 828,000 in 2018–19 according to media reports. Yet graduate job postings are down 33% over the past year. Each available entry-level role now attracts an average of 140 applications, a staggering rise from 86 just a year ago.Meanwhile, nearly 1 million young people aged 16 to 24 are currently not in education, employment, or training, according to the Office for National Statistics. For a generation taught to believe that higher education was a golden ticket, the betrayal feels profound.
Overeducated, underemployed
Stories behind the statistics reveal the human toll. A criminology graduate with first-class honours reports sending out over 100 applications—without a single interview. A biomedical engineering postgraduate is working part-time as a swim instructor after being rejected from over 40 roles in his field.In a cruel twist, many industries that overhired during the post-COVID boom are now downsizing or pausing recruitment altogether. Consultancy, tech, and finance—sectors that once hoarded young talent—are tightening their belts and automating the rest.
The disappearing ladder to success
What’s emerging is a future where the first rung of the professional ladder is missing entirely. Internships are fewer. Graduate schemes are oversubscribed or discontinued. And entry-level roles demand two to three years of experience, effectively rendering them mid-level jobs in disguise.Even for the most determined young job seekers, the path forward is murky. It’s not enough to be qualified anymore; you must also be risk-free, AI-proof, and legally unthreatening. In short, you must already be the employee your employer wants—before you’ve even been given a chance to learn.
A generation at the crossroads
For the Class of 2025, the job market isn’t broken. It’s evolving beyond recognition. But evolution without empathy is a dangerous path. Unless systemic changes are made, we risk condemning an entire generation to a future of frustration, not for lack of talent, but for lack of opportunity.The real crisis isn’t that AI is replacing graduates. It’s that we’ve stopped creating space for them to grow.
