College students who are about to enter the workforce are becoming increasingly worried about artificial intelligence gobbling up entry-level jobs, a new study shows.
According to a March 2026 study from job search and resume company Monster, 89% of respondents worry that AI could replace entry-level roles, up from 64% last year. The report is based on survey responses from more than 1,000 recent and upcoming graduates in the U.S. who responded to several multiple-choice questions about job priorities, AI concerns and job search expectations.
Meanwhile, 76% worry about the state of the economy impacting the job market, 69% are more inclined to accept less ideal roles than they were a year ago, and 67% would accept a lower-paying job as long as it provides financial stability.
Similar to Monster’s 2025 report, current and up-and-coming college grads are concerned about the state of the economy and the rise of automation, motivating them to widen their job search and consider short-term roles. Overall, students are optimistic about landing a job after graduation but are willing to settle for less idealistic positions if it means having economic security, the report explains.
“It’s not only acceptable, it’s smart to evaluate company stability and financial health, long-term growth opportunities, and role sustainability when job searching,” the report says. “Asking about these factors during interviews isn’t overly cautious—it’s strategic.”
Economic experts said that automation is already threatening to reduce “half of all entry-level white-collar jobs,” potentially pushing unemployment levels to 10%-20% within the next five years, SFGATE previously reported. However, in 2025, Microsoft predicted that physical jobs, like plastering and roofing, will be protected from the rise of AI. As a result, instructors at Bay Area trade schools told SFGATE that they’ve seen a surge of interest in labor-intensive, blue-collar programs, with some students entering right out of high school.
“For years, success in the college graduate job market meant landing a ‘dream job’ right out of school,” the most recent Monster report says. “But for the Class of 2026, that definition is evolving.”
Though 79% of respondents are optimistic they’ll land a job within three months, more than a third expect the hiring process to take four months or longer, and young people appear to be becoming less and less optimistic about these timelines as the years go on: In 2024, 82% of graduates who were looking for a job believed they would immediately be hired. In 2023, that figure was 88%.
“In today’s recent graduate job market, success looks different,” the 2026 report says. “Graduates are entering the workforce focused on resilience, adaptability, and long-term sustainability. They’re willing to trade higher pay for stability, compromise on their ideal roles to gain experience, and adjust their expectations in response to a changing labor market and shifting economy.
“In a time of uncertainty, pragmatism may be the smartest career move of all.”
