Artificial intelligence skills can boost productivity, leading to a 25% wage increase.

Many young people are enthusiastically embracing artificial intelligence in the workplace.‍‍‍‍

Image source:Unsplash/Emma Dau

Peter Brown

Global Talent and Organization Consulting Services Leader Partner at PwC

Kathy Parker

PwC Head of Workforce Transformation

Harriet Newlyn

PwC Head of Workforce and HR Transformation

Many young people aged 18 to 25 are already ready to embrace artificial intelligence—among them, 70% say that generative AI has given them opportunities to expand their capabilities.
PwC's "AI Employment Barometer" reveals that AI skills can boost productivity, leading to a 25% increase in wages.
‍Skills-first hiring—recruiting based on competencies rather than traditional criteria like degrees or work experience—can help young people land jobs and thrive in the age of artificial intelligence.

For young people, the future remains uncertain. This reality is both exciting and slightly unsettling.

Today’s young professionals are entering the workforce at a pivotal moment as artificial intelligence begins to transform the workplace. This prospect could evoke mixed emotions: on one hand, they may feel excited, knowing that AI can help them work faster and more efficiently—while also making their daily tasks more enjoyable. On the other hand, they might worry that, just as they’re launching their careers, AI is already reshaping the job market entirely.

So, how is artificial intelligence transforming the workplace—and how can young people navigate this shift? Recent research from PwC sheds light on these critical questions. The findings reveal that while AI is reshaping the workforce in profound ways, young professionals who learn to effectively harness its power can unlock tremendous opportunities ahead.

Moreover, young people deeply appreciate the opportunities AI is bringing to them and their careers, signaling that they are not only capable of—but also poised to—fully unlock its potential in the years ahead.

Opportunity and Urgency

PwC's "2024 AI Employment Barometer" reveals that industries deploying AI most rapidly—such as professional services, financial services, and technology—are seeing productivity growth five times faster than sectors with lower AI adoption. Additionally, workers equipped with AI-related skills can expect wage increases of up to 25%.

It's clear that artificial intelligence is sparking a revolution, reshaping workers' achievements and their value to employers. Young people are best positioned to seize this opportunity and reap its benefits.

However, to achieve this, young workers need to quickly acquire or demonstrate AI-related skills.

According to our AI Employment Barometer, employers are seeking skills that are evolving 25% faster in roles most likely to involve artificial intelligence. Notably, PwC’s 27th Annual Global CEO Survey reveals that 69% of CEOs across industries believe AI will require the majority of their employees to develop new skills. The race is already on—so young people must jump in now.

The good news is that they recognize the scale of workplace transformation and are already prepared—and eager—to adapt. In PwC’s “2024 Global Workforce Survey on Aspirations and Concerns,” most young people (nearly two-thirds) remain optimistic about the changes underway. In fact, 70% believe GenAI presents opportunities to learn new skills and enhance the quality of their work.

Solving problems and retaining talent

Young employees remain optimistic while still harboring some concerns.

More than half (55%) of people are concerned about their job security. Organizations need to remain transparent and involve a broader range of employees when implementing any major changes—especially those related to artificial intelligence—to ease some of these concerns. Additionally, embedding citizen-led learning—where employees can experiment without fear and openly share their experiences—can significantly contribute to successfully driving change.

What does all of this mean for employers? We believe they should pay attention to these insights into the next generation’s attitudes and mindsets—and provide young employees with every opportunity to develop the skills needed to thrive in an AI-driven world.

In fact, in our "Hope and Concerns" survey, 39% of young workers said they might quit within the next 12 months—among them, more than half (54%) cited opportunities to learn new skills as a key factor influencing their decision to change jobs. (By comparison, this figure was 28% among all workers surveyed.)

In contrast, during the post-pandemic "Great Resignation," only 19% of workers said they might consider moving. This highlights the urgent need to offer ongoing learning programs that not only help retain young workers but also equip them with the skills necessary to thrive in the age of artificial intelligence.

The most important message is that employers must strive to retain the younger generation and provide them with opportunities in the age of artificial intelligence. The only real question is how to do it best.

Embrace skills-first hiring

PwC and many of our clients have successfully adopted a skills-first approach to hiring—recruiting employees based on their capabilities rather than formal qualifications or work experience. We’ve provided analysis to support the World Economic Forum’s report, "Skills First: Unlocking Opportunities for Efficient and Equitable Labor Markets."

A skills-first approach can bring greater flexibility to hiring—exactly what today’s rapidly evolving job market, driven by AI, demands in terms of the skills needed. Moreover, skills-based recruitment can open doors to high-value, productivity-driven careers for talented young people who may have lacked the time over the years to build traditional work experience.

Overall, the survey results paint a picture of a young workforce eager to upskill, embrace new technologies, and look forward to seeing positive benefits in the future.

While there’s speculation about the impact AI could have on the workplace—particularly on younger employees—our research suggests they may actually be fortunate to kick off their careers just as AI is rapidly advancing—and young people are well aware of this. Employers and society must step in to help them seize these opportunities; adopting a skills-first approach to hiring is an excellent place to start.

The above content solely represents the author's personal views.This article is translated from the World Economic Forum's Agenda blog; the Chinese version is for reference purposes only.Feel free to share this on WeChat Moments; please leave a comment below the post if you’d like to republish.

Editor: Wang Can

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