A top economist at Goldman Sachs has issued a stark warning to the youngest generation of tech workers: Artificial Intelligence (AI) is rapidly reshaping the labor landscape, and Gen Z could be the first to feel the impact.
According to the firm’s latest labor market outlook, entry-level tech jobs—particularly those involving repetitive coding, basic data analysis, and customer support—are increasingly vulnerable to automation through AI-powered tools. The economist emphasized that while the hype around AI’s productivity benefits continues to surge, the technology is already beginning to replace human roles in subtle but significant ways.
“Gen Z tech workers are entering the industry at a time when AI models are learning and evolving faster than ever,” the Goldman Sachs report stated. “Many junior roles are now being tested for automation feasibility, making them the first targets for cost-cutting and workforce restructuring.”
The warning comes as companies double down on AI investment to drive efficiency and cut overhead. Roles that once served as crucial stepping stones into the tech industry are now being viewed as replaceable, with generative AI capable of completing routine tasks at a fraction of the cost and time.
Goldman Sachs’ economist did acknowledge that new roles will emerge from AI’s growth, particularly in system training, AI ethics, and high-level algorithm development—but warned these opportunities may not materialize quickly enough to absorb those displaced in the short term.
As AI’s impact on the workforce deepens, the firm recommends Gen Z workers adapt quickly by building skills in areas like prompt engineering, cybersecurity, and AI model auditing—domains that are likely to remain resistant to full automation.
“This is not just about efficiency anymore,” the economist concluded. “It’s about survival in an evolving digital economy.”
