The development of artificial intelligence (AI) is changing the Lithuanian and European labor markets: while there is a shortage of highly qualified specialists, workers performing routine tasks are at risk of losing their jobs. According to the Employment Service (U\u017dT) and foreign experts, employers are looking for specialists who can work with technology, and beginners are experiencing the most difficulties.\u00a0<\/p>\n
Lithuania, Italy, Austria, Spain, the Czech Republic and Romania are recording different examples of the impact of AI on the labor market. In some countries, companies are reducing the number of employees, in others – actively hiring specialists who can work with new technologies. At the same time, according to the Lithuanian Labor Office, changes are visible, but there are no critical situations and mass layoffs yet.\u00a0<\/p>\n
According to the service, a paradoxical situation has arisen in the labor market, where competition among candidates is growing in some professions, while a shortage of workers is still felt in others. The greatest competition is observed among secretaries, administrators, general managers, and representatives of the cultural or marketing fields. And there is a shortage of workers in the engineering, IT, healthcare, social services, and education sectors.\u00a0\u00a0<\/p>\n
“The fundamental trend that is already being observed is that if a person’s work consists of repetitive actions on a computer screen, they are in the danger zone. If the work requires creativity, physical prowess, or complex relationships, the value will only grow,” the service states.\u00a0<\/p>\n
Most trouble for novice professionals\u00a0<\/p>\n
As for the IT sector, according to the Labor Office data, traditional job search channels are not the main way to attract employees in this field, therefore the recorded supply reflects only part of the market situation.\u00a0\u00a0<\/p>\n
For example, in the first half of 2026, employers in the information and communications sector posted about 270 job offers on the service’s platform, compared to 480 a year ago. It is noted that companies are more likely to choose direct searches via LinkedIn, organize hackathons or training academies.\u00a0<\/p>\n
“Currently, some of these jobs can be performed by AI tools, so employers expect employees to be able to use them effectively, not compete with technologies. There is a growing need for specialists who are able to analyze information, assess the quality of AI-generated results, understand business processes, know how to formulate tasks, make decisions, and take responsibility for the final result,” the U\u017dT indicates.\u00a0<\/p>\n
Gintar\u0117 Verbickait\u0117, head of the Unicorns Lithuania association, adds that startups in Lithuania still lack programmers and other technology specialists, but the requirements for them are changing. According to her, the most sought-after are currently experienced engineers, system architects and specialists who are able to practically apply AI, and knowledge of this tool is becoming a necessary competence.\u00a0<\/p>\n
“AI is changing both how startups work and what they build. Using AI, teams of the same size can do more: complete complex tasks faster and automate repetitive, time-consuming work,” she adds to the information for U\u017dT.\u00a0<\/p>\n
According to G. Verbickait\u0117, the impact of this technology is not limited to productivity, as domestic startups are creating new products based on it. For example, Nexos.ai is developing an infrastructure for AI models, Sintra is creating virtual workers, CAST AI is automating cloud computing management, Biomatter is using generative AI to create proteins, and Hostinger is developing solutions for website development.\u00a0<\/p>\n
“So AI not only increases the efficiency of startups, but also expands the market for the products and services they create,” notes the head of Unicorns Lithuania.\u00a0<\/p>\n
The AI \u200b\u200bmarket is growing, but employee roles are changing\u00a0<\/p>\n
According to the Italian publication Il Sole 24 Ore, in 2025 the Italian artificial intelligence market reached a turnover of 1,8 billion euros, which is 50 percent more than in 2024. AI technologies are used by 16,4 percent of companies with at least ten employees. Although this figure is almost double the figure from a year ago, it is still below the European Union average of 20 percent.\u00a0<\/p>\n
The largest adoption of AI is in the IT sector, where more than half of companies use AI tools. According to a report by Italian digital marketer Anitec-Assinform, this sector is also expected to see the largest productivity growth of around 25 percent.\u00a0<\/p>\n
Technology is changing the organization of work, and the need for specialists to perform some tasks is decreasing.\u00a0<\/p>\n
“So far, there are no clear cases in Italy where the entire workforce is being replaced, rather there is a reshuffling of roles and an increasing hybridization of technical and operational skills,” the report states.\u00a0<\/p>\n
New competencies are becoming increasingly important\u00a0<\/p>\n
As technology advances, the need for new professional skills grows. According to the 2025 Italian Digital Skills Observatory, job postings requiring AI prompt engineering skills have increased by 112 percent year-on-year.\u00a0<\/p>\n
However, the lack of qualified specialists remains a major problem in the countries. According to data from the European Union’s statistical office Eurostat, in 2023, about 60 percent of Italian companies faced difficulties in finding IT specialists, and only 8 percent of students chose to study in this field – this was the lowest indicator in the Community.\u00a0<\/p>\n
Meanwhile, in Austria, according to the news portal Der Standard, public fears about the impact of AI on jobs have so far fallen far short of actual changes. Although 51 percent of Austrians believe that AI will eliminate more jobs than it will create, and 20 percent are worried about the future of their jobs, the number of employees in the IT sector has actually been growing so far.\u00a0<\/p>\n
The IT sector report published by the Austrian Chamber of Employees indicates that more than half of the IT companies assessed increased their headcount over the year – an overall growth of 3,4 percent. It is predicted that by 2030 the country will have a shortage of almost 39 thousand IT specialists.\u00a0<\/p>\n
Commenting on the changes in the Austrian technology sector, Michael Zettel, CEO of Accenture Austria, said that companies will first have to retrain existing employees and then look for new specialists.\u00a0<\/p>\n
“First, existing employees will be upskilled to strengthen their capabilities, then new skills will be developed by hiring specialists. In the third stage, roles that are not compatible with the AI \u200b\u200bera will be reviewed or eliminated,” said M. Zettel.\u00a0<\/p>\n
According to him, traditional programming will remain important, but it alone will no longer be enough in the future. The labor market will need so-called hybrid talents – specialists who are able to manage automation processes and constantly learn.\u00a0<\/p>\n
\u201cWe need hybrid talents who can manage automation processes and remain capable of learning,\u201d said M. Zettel.\u00a0<\/p>\n
It’s not just AI that’s destroying jobs\u00a0<\/p>\n
At the same time, Spain is already witnessing the first mass layoffs. Consulting firm Capgemini announced a process of collective redundancies, which it attributed to technological changes and the uncertainty of the business environment. The company said it was adapting to changing client needs and market conditions.\u00a0<\/p>\n
However, the Spanish trade union CCOO has opposed the move, arguing that the layoffs are more due to poor strategic management than the direct impact of automation. The company has previously announced a restructuring of its workforce in France.\u00a0<\/p>\n
In Romania, where the IT sector accounts for about 6 percent of gross domestic product and employs nearly 200 people, the number of employees has been declining for the past two years. There are no exact official figures, but it is estimated that the number of jobs has decreased by thousands.\u00a0<\/p>\n
According to Corina Vasile, head of the Romanian Association of Employers in the Software and Services Industry, ANIS, opportunities for entry-level programmers have decreased the most.\u00a0<\/p>\n
“Data from companies and universities shows that the number of entry-level jobs has decreased significantly, especially for programmers who are just starting their careers,” said Vasile.\u00a0<\/p>\n
She says experienced programmers are now more likely to perform tasks that were previously assigned to younger professionals. In addition, clients are offering smaller project budgets on average, so companies are looking to maintain efficiency with smaller teams.\u00a0<\/p>\n
Florentin Iancu, head of the Romanian IT sector trade union SIIT, said that AI plays an important role in this process, as more and more tasks are being automated.\u00a0<\/p>\n
“AI agents are becoming increasingly capable and are effectively replacing entire professions. This reduces the need for human resources, and employees will in the future focus mainly on core functions – monitoring, control and inspection,” said F. Iancu.\u00a0<\/p>\n
In the Czech Republic, according to the news portal Denik Referendum, no layoffs directly related to the impact of AI are being announced, despite the fact that as many as 4 percent of all employees in the country work specifically in the IT field. \u00a0<\/p>\n
Industry representatives also note that the AI \u200b\u200bargument can in some cases be used in conjunction with other reasons – to reduce costs that have increased after the pandemic or to adapt to natural IT market cycles.\u00a0<\/p>\n
However, two trends are becoming clear: companies are hiring fewer new employees, and the demands on existing specialists are growing. According to experts, the main challenge in the future will be not only how many jobs AI will replace, but also how quickly employees and organizations will adapt to the new technological reality.\u00a0<\/p>\n
\u00a0This content was prepared by ELTA, a member of the European initiative PULSE, which supports international journalistic cooperation. The article was contributed by the Italian news portal OBCT, the Austrian news portal Der Standard, the Spanish news portal El Confidencial, the Romanian news portal Hot News and the Czech news portal Denik Referendum.\u00a0<\/p>\n
Ieva Kniuk\u0161tien\u0117 (ELTA)<\/p>\n