{"id":54382,"date":"2026-05-28T21:12:11","date_gmt":"2026-05-28T21:12:11","guid":{"rendered":"https:\/\/www.europesays.com\/ai\/54382\/"},"modified":"2026-05-28T21:12:11","modified_gmt":"2026-05-28T21:12:11","slug":"donald-thompson-ai-efficiency-trap-why-cutting-gen-z-jobs-is-a-strategic-mistake-wral-com","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ai\/54382\/","title":{"rendered":"Donald Thompson: AI efficiency trap: Why cutting Gen Z jobs is a strategic mistake :: WRAL.com"},"content":{"rendered":"

As organizations rush
\nto adopt artificial intelligence, many are abandoning their support of
\nhigh-potential Gen Z workers. But when you fail to invest in young
\nprofessionals, you\u2019re missing fresh perspectives<\/a> that will drive results now and long into
\nthe future.<\/p>\n

Entry-level jobs
\nare disappearing, which means fewer spots for young professionals. Since 2023,
\nentry-level job postings in the U.S. have dropped 35%<\/a>, according to labor research firm Revelio Labs. Two-fifths of global leaders<\/a> reduced or cut entry-level roles last year
\ndue to AI efficiencies. Another 43% plan to do the same this year. <\/p>\n

The logic is
\nstraightforward: In a tight economy, why pay for entry-level talent when
\ntechnology can handle routine tasks faster and cheaper? Why invest in an
\nunknown new hire, when you can invest in AI technology to help your experienced
\nprofessionals be twice as productive?<\/p>\n

It makes sense to protect your current employees and help
\nthem be more efficient. Your balance sheet improves, as does your quarterly
\nreport to your shareholders, your board, and your
\ninvestors<\/a>. But this is 90-day thinking,<\/a> when
\nyou need a five- or 10-year strategy. <\/p>\n

The business landscape is changing so fast that continuing
\nthe old way of thinking \u2014 even if you can do it twice as quickly \u2014 is business
\nsuicide. <\/p>\n

\t\t\t\t\t\t\tYoung employees
\nare fearless and creative<\/p>\n

To survive in this chaotic new economy, you need people
\nwho can see a problem from different perspectives, with no preconceived notions
\nof how that problem should be solved. You need people who are comfortable with
\ntechnology and able to use a variety of AI tools to achieve their goals. <\/p>\n

In organizations
\nI\u2019ve led, the youngest members of our teams have consistently been the most creative.
\nThey work for excellence, yet they have no fear when it comes to tough tasks. They
\naren\u2019t constrained by \u201cthat\u2019s how we\u2019ve always done it\u201d thinking. The
\ncombination of ambition, fearlessness and perspective leads to genuine innovation.<\/p>\n

For example, one of the companies I\u2019ve invested in had a problem
\nthat several people had been working on for months. Their intern saw the issue,
\nwatched a few videos on YouTube, and even though she\u2019s not a programmer, used
\nClaude.ai to write a Python script to address the issue. She tested her program,
\nand in less than a week, she had found a workable solution. <\/p>\n

This young professional had no historical knowledge of the
\nproblem or what had been tried before. What she did have was an insatiable
\ncuriosity, a different perspective, and a familiarity with various AI tools
\nthat were available. The final ingredient was the company\u2019s psychologically
\nsafe culture, which encouraged anyone with a good idea to come forward, try it,
\nand test it. \u00a0<\/p>\n

\t\t\t\t\t\t\tThe real
\ncompetitive advantage: Multigenerational teams<\/p>\n

Here\u2019s the catch:
\nCreativity only translates to business results when it\u2019s channeled and
\ndeveloped. A 20-year-old with a brilliant idea needs guidance from someone who
\nunderstands the business implications. They need mentorship from someone who’s
\nnavigated organizational politics, managed competing priorities, and learned
\nwhat drives revenue. <\/p>\n

The data backs
\nthis up. Deloitte<\/a> found that 76% of Gen Z uses generative AI tools\u2014the highest rate of
\nany generation. This compares to 58% of Millennials, 36% of Gen Xers, and 20%
\nof baby boomers. In addition, a Randstad survey<\/a> reported that 78% of global workers learn
\nsoft skills from older colleagues. At the same time, 72% say they learn tech
\nand AI skills from Gen Z and Millennials. <\/p>\n

The companies
\nthat will win in an AI-powered economy aren\u2019t the ones that cut junior talent.
\nThey\u2019re the ones that build multigenerational
\nteams<\/a>\u00a0\u2014 where Gen Z’s
\ncreativity and AI fluency combines with experienced workers\u2019 judgment and
\ninstitutional knowledge.<\/p>\n

\t\t\t\t\t\t\tHow leaders
\nshould actually approach AI adoption<\/p>\n

If you’re going
\nto adopt AI effectively, you need to think strategically about your workforce. Here\u2019s
\nwhat that means:<\/p>\n

Hire for cross-discipline
\nthinking. Leaders should be
\nhiring less for<\/a> skills and more for broad
\nexperience. The ideal candidate is someone who understands marketing a little
\nbit, product development a little bit, coding a little bit. People who are
\ncurious and know how to use AI tools to accelerate their capabilities and
\nknowledge are going to be the new superstars in business.<\/p>\n

Give appropriate
\nrecognition and compensation for higher productivity.\u00a0 Employees
\nwho master AI tools are going to be more productive than their peers. They\u2019re
\ngoing to accomplish more in less time. If a young person is achieving more<\/a>, recognize their effort, so you don\u2019t lose
\nthem to competitors.<\/p>\n

Foster psychological safety<\/a> so all voices are heard. Junior employees often have the best ideas about how to use AI because
\nthey’re not constrained by \u201cthe way we’ve always done it.\u201d But they won’t speak
\nup if they don’t feel safe. Create an environment where a 24-year-old can
\nchallenge a 54-year-old’s approach without fear of retaliation. <\/p>\n

Provide
\nactionable feedback and professional development. Junior employees need to understand not just
\nwhat to do, but why it matters. Adjust roles so they are contributing in meaningful ways<\/a>, not just checking AI outputs. Give them
\nfeedback and professional development opportunities to help them grow. <\/p>\n

\t\t\t\t\t\t\tThe strategic
\nchoice<\/p>\n

I\u2019ll leave you
\nwith one more fact: A Georgetown University study<\/a> estimates
\nthat 18.4 million experienced workers will retire by 2032. But only 13.8
\nmillion younger workers are entering the workforce with similar qualifications.
\nThe gap between those two groups \u2014 4.6 million people \u2014 is what Fast Company
\ndescribes as a \u201cdemographic time bomb.\u201d<\/a> That means a
\nlot of companies will be looking to fill crucial roles over the next few years.<\/p>\n

Leaders who invest in Gen Z professionals today can take
\nadvantage of their AI fluency and relentless curiosity to drive innovation. The
\nresulting multigenerational teams will amplify professional growth, engagement,
\nand business objectives. These future-focused organizations will also have a
\nrobust talent pipeline when their competitors are scrambling to catch up. <\/p>\n

Cutting
\nentry-level jobs isn\u2019t a sustainable workforce strategy. It\u2019s a short-term
\ndecision with long-term consequences, because investing in young people is the
\nonly approach that wins over time. That\u2019s why I’m spending more time
\non college campuses<\/a>, looking for young people who will propel my businesses
\ninto the future.<\/p>\n

About
\nthe Author<\/p>\n

Donald Thompson is Managing
\nDirector of the Workplace Options Center for Organizational Effectiveness, host
\nof the High Octane
\nLeadership<\/a> podcast, and author of The
\nEmployee Engagement Handbook<\/a>.<\/p>\n

\u00a0<\/p>\n

\u00a0<\/p>\n

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