Hiring Problems: Yes But AI Is Not the Reason
October 2, 2025
This essay is the work of a dumb dinobaby. No smart software required.
I read “AI Is Not Killing Jobs, Finds New US Study.” I love it when the “real” news professionals explain how hiring trends are unfolding. I am not sure how many recent computer science graduates, commercial artists, and online marketing executives are receiving this cheerful news.
The magic carpet of great jobs is flaming out. Will this professional land a new position or will the individual crash? Thanks, Midjourney. Good enough.
The write up states: “Research shows little evidence the cutting edge technology such as chatbots is putting people out of work.”
I noted this statement in the source article from the Financial Times:
Research from economists at the Yale University Budget Lab and the Brookings Institution think-tank indicates that, since OpenAI launched its popular chatbot in November 2022, generative AI has not had a more dramatic effect on employment than earlier technological breakthroughs. The research, based on an analysis of official data on the labor market and figures from the tech industry on usage and exposure to AI, also finds little evidence that the tools are putting people out of work.
That closes the doors on any pushback.
But some people are still getting terminated. Some are finding that jobs are not available. (Hey, those lucky computer science graduates are an anomaly. Try explaining that to the parents who paid for tuition, books, and a crash summer code academy session.)
“Companies Are Lying about AI Layoffs” provides a slightly different take on the jobs and hiring situation. This bit of research points out that there are terminations. The write up explains:
American employees are being replaced by cheaper H-1B visa workers.
If the assertions in this write up are accurate, AI is providing “cover” for what is dumping expensive workers and replacing them with lower cost workers. Cheap is good. Money savings… also good. Efficiency … the core process driving profit maximization. If you don’t grasp the imperative of this simply line of reasoning, ask an unemployed or recently terminated MBA from a blue chip consulting firm. You can locate these individuals in coffee shops in cities like New York and Chicago because the morose look, the high end laptop, and carefully aligned napkin, cup, and ink pen are little billboards saying, “Big time consultant.”
The “Companies Are Lying” article includes this quote:
“You can go on Blind, Fishbowl, any work related subreddit, etc. and hear the same story over and over and over – ‘My company replaced half my department with H1Bs or simply moved it to an offshore center in India, and then on the next earnings call announced that they had replaced all those jobs with AI’.”
Several observations:
- Like the Covid thing, AI and smart software provide logical ways to tell expensive employees hasta la vista
- Those who have lost their jobs can become contractors and figure out how to market their skills. That’s fun for engineers
- The individuals can “hunt” for jobs, prowl LinkedIn, and deal with the wild and crazy schemes fraudsters present to those desperate for work
- The unemployed can become entrepreneurs, life coaches, or Shopify store operators
- Mastering AI won’t be a magic carpet ride for some people.
Net net: The employment picture is those photographs of my great grandparents. There’s something there, but the substance seems to be fading.
Stephen E Arnold, October 2, 2025
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