Today’s alumni are entering the job market with Flux as AI-driven automation challenges the future of many occupations, both skilled and low-skilled. This uncertainty has encouraged many Gen Z workers to see their blue-collar careers again.
42% of Gen Zers explore or pursue a blue-collar career
A recent report from Resume Builder shows that 42% of Gen Z workers have considered or already pursued a blue-collar path, of which 37% are university graduates.
For decades, higher education has been seen as a gateway from manual work with better wages and a clearer career path. However, that perception has changed, and once rejected, blue-collar work is now attracting new interest.
Sectors such as construction, manufacturing and transportation are considered not vulnerable to automation, primarily due to the need for human supervision and the need for frequent field readjustment. Even when machines are used, human workers remain an important part of the process. Working in areas such as education, marketing, sales, and customer service is more likely to feel the effectiveness of an AI acquisition early. That reality pushes graduates to abandon their former careers.
Even with university degrees, 46% of Gen Z Men choose skilled trading. For women with degrees, this is 27%. Approximately 30% pointed to long-term job security as a major factor, while 16% said they didn’t take their degree to where they were thinking it.
Gen Z’s employment expectations are increasingly defined by flexibility, independence, and a less organized desire for traditional work. Research shows that the role of blue-collar and the financial independence that is frequently associated with these pay trading resonates with many.
Are we on the brink of a white-collar recession?
Some experts, including human AI CEO Dario Amodei, have predicted a troubling recession in entry-level white-collar employment. The value of a career, once known for high wages, monopoly and greater autonomy, is devalued, and jobs once considered gold standard may no longer retain that distinction.
Amodei is just one of many AI executives who urge leaders and policymakers to stop underestimating the potential for widespread job cuts in industries such as technology, finances and law. Amodei recently reaffirmed the need for full transparency with employees in all sectors regarding the size of future challenges.
“Most of them don’t know this is going to happen,” Amodei said in a recent interview with Axios. He also said in an interview that half of all entry-level white-collar jobs can be replaced by AI in the next 1-5 years, leading to an unemployment rate of 10%-20%. He added, “It just sounds crazy and people don’t believe it.”
AI risks widening gender gaps and disbanding women-led industries
Another important concern is the disproportionate impact of AI on women-dominated industries. The United Nations International Labour Organization (ILO) recently updated its findings on the subject, showing that AI is likely to deepen gender gaps in the workforce. In “high-income countries” such as the United States, the “highly likely” risk for women rose from 7.8% to 9.6% in just two years, compared to 3.5% for men.
The ILO emphasizes that many women in thriving countries work in implementing, administrative and data entry roles that AI is set up to automate early. Male-dominated sectors such as construction, agriculture and transport are not vulnerable to automation, especially given the need for considerable human opinion and oversight for these jobs, particularly in areas that include safety and regulatory compliance.
AI is building and breaking the job market at the same time
While advances in AI have heightened fears of widespread work movements and a move towards universal basic income, the ongoing tech boom could drive the growth of whole new occupations. In January, the World Economic Forum’s Future of Jobs Report predicted that AI could create more than 170 million new jobs worldwide. This spreads to industries such as healthcare, social sciences and technology.
There is a lot of debate about what AI will be, and what it will create, but there is also an uncertainty of uncertainty about how accurate our predictions are in fact. The white-collar industry is facing tough times ahead, but these advances offer an opportunity to inspire skilled deals, the essential role of blue-collars, and new appreciation for the work that humans still and perhaps always do their best.
Photo by Maroke/Shutterstock
