The job market is undergoing a significant transformation due to the rise of artificial intelligence. Recent studies reveal that entry-level software developer jobs have declined nearly 20% since 2026, with other AI-exposed roles like customer service and accounting down 13%. This shift is prompting many college students to reconsider their career paths.
A Gallup and Lumina Foundation survey found that nearly half of college students (47%) have considered switching majors due to AI’s impact on the job market. This concern is not unfounded, as AI is disproportionately affecting certain types of jobs while leaving others largely untouched.
The Disproportionate Impact of AI on Different Sectors
AI’s influence on the job market is not evenly distributed. White-collar desk jobs are facing the greatest risk, while skilled trades and high-touch professions like nursing and teaching remain relatively unaffected. This reversal of historical trends, where manufacturing jobs were more likely to be displaced by automation, highlights the unique challenges posed by AI.
The Decline in Computer Science Enrollment
The fear of AI taking entry-level jobs has significantly impacted the number of students majoring in computer science. Undergraduate enrollment in computer science decreased in all University of California colleges in 2026, except at UCSD, which added an AI major. The 6% decrease in enrollment, following a 3% drop in 2026, may be attributed to changes in the tech industry, where AI coding abilities can substitute for jobs requiring entry-level programming skills.
The Broader Impact on Academic Majors
A Stanford University study suggests that AI is affecting hiring for entry-level jobs, with recent graduates in software engineering experiencing some difficulty in securing positions. The study found a nearly 20% decline in entry-level software developer jobs since 2026 and a 13% decline in all entry-level AI-exposed jobs. According to a Gallup and Lumina Foundation survey of 3,801 students, 47% of college students have considered switching majors due to concerns about AI’s impact on the job market.
The results vary significantly by demographic and field of study. For instance, 70% of students enrolled in technology degree programs considered switching majors, compared with 34% in healthcare programs. Additionally, more than a third of entry-level jobs now require AI skills, according to the NACE 2026 Job Outlook Spring Update.
White-Collar Jobs at Risk
Knowledge workers are at the greatest risk of having their jobs usurped by AI. White-collar jobs that are most likely to be displaced include desk jobs like data entry, transactional data analysis, paralegal work, copywriting, content generation, PR, marketing, accounting, bookkeeping, call centers, and customer service. Entry-level computer science jobs are also affected, as AI can now write, debug, and test code. Graphic design may be impacted by AI image generators.
However, white-collar jobs that require empathy, ethical reasoning, and the ability to work in unpredictable environments, such as high-touch patient care, are less likely to be affected. This includes nursing, occupational therapy, physical therapy, teaching, social work, and doctors. People who work in the real world, such as construction management, are also likely to remain unaffected.
Interestingly, even mathematicians and theoretical physicists are not immune to AI’s impact. An advanced OpenAI model recently discovered a counterexample to an 80-year-old conjecture in combinatorial geometry by Paul Erdős, demonstrating AI’s potential to disrupt even highly specialized fields.
Blue-Collar Jobs and the Future of Work
Blue-collar jobs are less likely to be impacted by AI, as many involve physically interacting with the real world and require physical dexterity and the ability to navigate unpredictable environments. Among blue-collar jobs, manufacturing, assembly, warehouse, logistics, and long-haul trucking are most likely to be displaced, as they involve routine, process-heavy work.
Skilled trades, such as electricians, plumbers, HVAC technicians, and elevator repairmen, are least likely to be displaced. Other professions like construction, gardening, and landscaping are also relatively safe. However, it’s important for prospective students to realize that while trades offer earning potential earlier, many tradesmen cannot continue working into their 60s due to physical limitations. Financial planning for a shorter career may be necessary.
The challenges in finding early career jobs in these fields might not be entirely AI’s fault. Many of these desk jobs do not require the worker to come into an office. The availability of remote workers in these fields means that employers are not limited to potential employees who live nearby or are willing to relocate. This expands the talent pool, allowing employers to fill the jobs using more seasoned workers.
The Federal Reserve Bank of New York found that remote work was the reason for two-thirds (64%) of unemployment among recent college graduates. This highlights the complex interplay between AI, remote work, and the job market.
Navigating the New Job Market
AI is reshaping which college degrees lead to stable careers. Routine desk work, such as data entry, paralegal work, entry-level coding, and customer service, faces the greatest risk. In contrast, jobs requiring empathy, physical dexterity, or the ability to work in unpredictable environments remain largely insulated.
However, AI isn’t the whole story. The New York Fed found that remote work accounts for 64% of unemployment among recent graduates, as employers can fill desk jobs with experienced workers anywhere. For students choosing a major, the safest paths pair durable human skills, such as patient care, teaching, skilled trades, and construction, with the AI fluency that more than a third of entry-level jobs now require.
