Issue 9
PwC survey: AI splits workers into four groups, and most are falling behind on training
PwC's 2026 global workforce survey, based on responses from about 50,000 workers, identified four groups in AI use. Nearly two-thirds of respondents have used AI at work, but fewer get training, so companies risk losing their best-prepared employees.
Who is affected and how
- employee
- Do not wait for your employer to provide training; build your own AI skills and document how you use them.
- manager
- Unequal access to training can push the best AI users to leave, so targeted retention is also needed.
- HR professional
- Extending learning opportunities to the majority is one of the most important tasks, because the gap also affects retention.
California bans AI from making layoff decisions alone
California Governor Gavin Newsom signed a law at the end of September requiring human decision-making in layoffs, after an earlier veto. It also restricts AI-based workplace monitoring and meets most…
employeeIn California, a layoff cannot be based solely on AI, which gives workers new legal protection.HR professionalLayoff processes must include a human decision step and documentation.managerHuman review is mandatory for dismissals based on AI-driven performance evaluation.skills · globalEntry-level job ladder thins as the college premium weakens, analyses say
Analyses published at the end of September say AI is taking over part of entry-level work and the college premium is weakening, while demand for frontline workers is strong. Several articles also ask…
early-career professionalEntry-level positions are shrinking, so a record of practical work done with AI is worth more than a degree alone.managerIf organisations skip junior levels, the future senior pipeline will run short, so a deliberate training path is needed.HR professionalGraduate recruitment and internship programmes should be rethought so that places to learn do not disappear.job seekerDemand for foundational skills and frontline occupations is stronger than for graduate entry-level roles.survey · United StatesNBER study: AI has not yet raised unemployment among recent college graduates
A new NBER study finds that the unemployment rate of recent college graduates did not jump after the arrival of AI, several outlets reported on 28 September. The researchers compared them with young…
early-career professionalThe data suggest that early-career workers' weaker prospects cannot yet be attributed to AI, so job searches are best built on skills that can be acquired.job seekerThe study does not confirm mass displacement by AI, but researchers and trade outlets say the effect may still appear later.HR professionalEntry-level hiring plans are better based on facts: an AI effect cannot yet be detected in the aggregate data.managerEntry-level headcount planning should not be scaled back by citing AI, as the current data give no grounds for it.survey · United StatesCNN: AI could force 11 million US workers to change careers by 2035
An estimate says AI could force about 11 million US workers, roughly 6.5% of the current workforce, into new careers by 2035. Over the past two years the job market has been marked by low hiring and…
employeeCareer change is a large-scale risk, so it is worth building transferable skills now.HR professionalReskilling and internal mobility programmes should be sized for the expected wave of career changes.managerWorkforce planning must address the slow hiring environment and the reshuffling of skills together.Hungary
More key stories of the week
Tech layoffs pass 225,000 in 2026 as AI becomes the most-cited reason
According to Challenger, Gray data, 225,122 tech-sector workers have lost their jobs in 2026, and AI has become the most frequently cited reason. PayPal, for example, cut a further 251 jobs in San…
employeeEngineering and technology roles remain the focus of layoffs, so it is worth updating skills and building a financial reserve.managerCiting AI as the reason for layoffs is increasingly a closely watched question of communication and credibility.HR professionalOrganised redeployment and outplacement programmes may be needed in technology teams.layoffs · United StatesChallenger: job cuts citing AI affected only 3,961 people in September
According to Challenger, Gray & Christmas, 120,136 US job cuts have been attributed to AI so far in 2026, but only 3,961 in September, making it the fifth most common reason. Analysts say AI is more…
employeeThe current data do not yet confirm mass AI-driven layoffs; slower hiring poses the greater risk.HR professionalAI plays a bigger role in hiring plans than in layoffs, so headcount plans are best adjusted accordingly.job seekerThe hiring environment remains selective, with more applicants for fewer advertised positions.survey · globalWorkers want a legal duty on employers to disclose AI monitoring
A global survey finds that almost all workers want a legal requirement for employers to disclose AI-based monitoring. Most workers also oppose AI monitoring at work.
employeeAsk to be informed about monitoring, and know your rights.HR professionalSet up a transparent AI monitoring policy and notification process in advance, as both trust and the law call for it.managerCovert monitoring carries legal and trust risks.recruitment · AsiaIndia's white-collar hiring grows 2% in September while AI/ML jobs rise above 20%
India's white-collar hiring grew by only 2% in September, while AI/ML hiring rose above 20%. Traditional IT and entry-level hiring lost momentum.
early-career professionalTraditional entry-level IT positions are shrinking, so it is worth building on AI and specialist skills.job seekerHiring is becoming more selective, and demand for AI/ML skills is growing.HR professionalThe focus of recruitment is shifting towards specialist and AI roles.recruitment · globalAI broke the job application, CNBC reports, as experts seek new ways to assess candidates
CNBC reports that the résumé has been "broken" by AI, and experts are looking for new ways to assess candidates. Other articles cover the spread of AI screening and interviews, and what happens when…
job seekerGiven the screening filters, it is worth rethinking both résumé keywords and how personal the cover letter is.HR professionalRésumé-based screening needs to be supplemented with another assessment method, because AI-written applications blur the differences between candidates.SME ownerEven at a smaller company, it is worth keeping human review in the screening of applications.survey · globalSurveys: many workers hide or exaggerate their AI use, and do not check the output
One survey finds that nearly half of workers exaggerate their AI use, while another says about half also hide it. A further finding is that one in three employees rarely checks AI's work, and 83%…
employeeAI output must be checked, because the user is responsible for errors.managerHidden AI use creates error risks and data security problems, so clear rules are needed.HR professionalAn AI usage policy and an encouraging culture that reduces secrecy can help.regulation · United StatesAI raises interest in unions as employers remain unprepared
Littler's 2026 survey finds that employers fear AI will become a powerful argument in union campaigns, but most have not updated their labour-law strategies. Other data show that only 9% of…
HR professionalPlan communication on AI rollouts and consultation with employee representatives in advance.managerDiscuss AI with workers, because misinformation can strengthen organising efforts.employeeAI can also be negotiated through collective bargaining.platform change · globalLinkedIn updates its AI-powered hiring bot as its CEO discusses how AI is reshaping hiring
LinkedIn updated its AI-powered hiring bot on 30 September, and its CEO spoke about how hiring is changing. LinkedIn's HR leader also outlined what the recruiter of the future looks like.
HR professionalThe platform's AI tools are reshaping the recruiter workflow, so it is worth testing them and preparing for the new role.job seekerA LinkedIn profile matters more and more in AI-based candidate search, so it is worth keeping up to date.case · United StatesAI labour disputes: Kaiser Permanente deal, Seattle Times picket, Montefiore
Employers can learn from Kaiser Permanente's labour agreement on AI, while Seattle Times journalists are picketing for AI protections. According to the union, about a dozen nurses at Montefiore in…
employeeContractual AI protections can be won, so it is worth putting them in a collective agreement.HR professionalThe Kaiser agreement can serve as a model for AI rollout frameworks agreed with employee representatives.managerDisplacement caused by AI leads to union disputes.recruitment · globalDraup: AI builder roles account for 27% of tech demand as companies rethink hiring
A Draup report says AI builder roles account for 27% of tech demand, as companies rethink hiring. According to China Daily, AI proficiency is becoming a basic requirement for tech jobs.
employeeIn tech roles, proficiency in building and applying AI is increasingly a baseline expectation.job seekerIn tech job listings, AI-building skills are prominent.HR professionalA new competency profile is needed to measure and advertise AI skills.survey · globalAI skills show up in IT pay, but raises mostly go to senior roles
Several articles published between late September and early October report that AI skills are now visible in salaries. In the IT sector, pay rises mainly benefit senior roles.
employeeAI skills can bring a pay premium, but mainly for more experienced staff.50+/seniorIn IT, senior roles gain the most from the pay effect of AI skills.HR professionalPay bands and salary negotiations need to account for the market premium on AI skills.survey · globalAI is pushing more people into managerial work without a pay rise
An article published on 4 October says AI is leading more people to take on managerial tasks, without a pay rise. The excerpt does not detail the background of the survey.
employeeIf AI gives you managerial duties, raise this in role and pay negotiations.managerReassigning tasks without adjusting pay can breed dissatisfaction.HR professionalJob descriptions and pay must be aligned with the tasks that AI has changed.