Artificial intelligence is beginning to reshape how companies hire, but there is no sign of widespread job losses.
Changes are emerging gradually rather than all at once, Google DeepMind CEO Demis Hassabis said during a discussion with Anthropic CEO Dario Amodei at the World Economic Forum in Davos, adding that current labor-market data does not point to broad job displacement.
Early Pressure On Junior Hiring
Hassabis told the Davos panel that the earliest effects are emerging at the junior end of organizations rather than through broad job losses. Internships and entry-level roles, he said, are beginning to feel the impact.
"I think we're going to see this year the beginnings of maybe it impacting the junior level," Hassabis said. "I think there is some evidence, I can feel that ourselves, maybe like a slowdown in hiring in that."
He added that current labor-market data does not yet point to widespread AI-driven disruption. Recent changes in hiring, he said, still reflect post-pandemic adjustments rather than automation replacing workers at scale.
Hassabis said at the Davos panel that the pace of technological improvement suggests those effects could become more visible over time, particularly in roles where tasks are easier to automate and verify.
Companies Need Fewer Beginners
Amodei said similar patterns are emerging inside Anthropic, especially in software and coding roles. As AI systems take on more technical work, he said companies may need fewer junior and intermediate employees.
"Now I think maybe we're starting to see just the little beginnings of it, in software and coding," Amodei said at Davos. "I can see it within Anthropic, where I can look forward to a time where on the more junior end and then on the more intermediate end we actually need less and not more people."
He added that Anthropic is actively considering how to manage that shift in a "sensible way."
Adaptation May Not Keep Pace
Both executives said AI is also creating new opportunities, particularly for people who learn to use the tools effectively. Hassabis said at the Davos panel that current systems allow students and early-career workers to develop skills faster than in the past.
Amodei, however, warned at the same event that the speed of progress could eventually overwhelm the labor market's ability to adapt.
"My worry is as this exponential keeps compounding, and I don't think it's going to take that long - again, somewhere between a year and five years - it will overwhelm our ability to adapt," Amodei said.