Over one-third of companies are preparing to swap entry-level roles with artificial intelligence, signaling a major shift in how future workforces are built — and raising alarms about the long-term consequences.
A new Oct. 28 Korn Ferry report found that more than 4 in 10 employers expect to replace roles with AI, especially in back-office operations (58%) and entry-level positions (37%). The trend reflects a rapid acceleration of automation as organizations look to reduce costs and increase efficiency in 2026 and 2027.
But the firm cautions that these savings may come at a dangerous strategic price. By cutting off junior hiring, companies weaken the essential pipeline that feeds into future management and executive roles.
“As AI expands in the workforce — becoming a colleague, not just a tool — leaders should carefully weigh the balance between innovation and developing the next generation of leaders,”
— Jeanne MacDonald, Korn Ferry CEO of Recruitment Process Outsourcing
The findings highlight a growing disconnect in the C-suite:
ProblemImpactAI replacing startersFewer future leadersPoor workforce planningLarger skills gapsLack of executive alignmentDisjointed AI adoption
Even as CEOs depend more heavily on talent acquisition teams to close skills gaps, the Korn Ferry report warns that entry roles — a key channel for developing future leaders — are disappearing.
Only 11% of talent acquisition leaders believe their executives are prepared to lead through the AI transition, underscoring the urgency of more clear communication from leadership.
Korn Ferry’s findings follow LinkedIn research showing that only one-third of TA teams can successfully integrate AI with human-driven hiring strategy.
That makes it harder to decide:
1. When automation makes sense
2. When human judgment must override it
Korn Ferry’s survey also revealed that employers still prioritize critical thinkers who can question and verify AI-generated recommendations.
A General Assembly report cited in the article shows the issue is escalating:
Yet many company leaders insist training should remain the responsibility of workers themselves — even as AI reduces opportunities to gain that training through hands-on work.
That disconnect, General Assembly warns, risks future shortages in:
The rapid adoption of AI is transforming workplace structures — but cutting entry-level roles may create a “leadership drought” that companies won’t feel until it’s too late.
Korn Ferry’s conclusion is clear:
AI should augment, not erase, the next generation of workers.
Originally reported by Laurel Kalser in Construction Dive.
