AI Disruption: Young Graduates in Ireland's Tech Economy Face Employment Challenges

Early evidence suggests artificial intelligence is impacting employment opportunities in Ireland's tech-focused economy, with young graduates feeling the strain, according to research by Ireland's finance department. Ireland's labor market faces greater AI exposure due to a high concentration of jobs in knowledge-intensive sectors like tech, science, and financial services.

Growth in employment categories vulnerable to AI disruption, such as tech and financial services, lagged at approximately 4% between 2023 and 2025, compared to 4.5% in medium-risk firms and 6.25% in low-risk ones. Notably, employment for 15 to 29-year-olds in the 'at risk' category fell by 1%, with a 20% drop among technology firms, while employment for tech workers aged 30 to 59 increased by 12% in the same timeframe.

The findings indicate younger workers in lower AI-exposed sectors experienced faster employment growth, suggesting the results cannot solely be explained by a broad downturn among younger workers. Finance Minister Simon Harris stressed the importance of government investment in up-skilling and re-skilling workers in vulnerable sectors to confront these emerging labor market shifts.