As players throughout the supply chain scramble to deploy artificial intelligence (AI) tools, they’re discovering they also need to alter their hiring practices.
In a recent workplace survey, 59% of employers said AI has caused them to prioritize different skills when recruiting, with many companies shifting toward skills-based hiring instead of degree-based hiring. The findings come from Cengage Group, a Boston-based education technology and workforce training company, whose “2023 Employability Report” surveyed 1,000 recent graduates and 1,000 U.S. hiring decision-makers. According to Cengage, 50% of employers admit they’ve dropped two- and four-year degree requirements for entry-level positions (a 32% increase over 2022) and started prioritizing softer skills and previous job experience (66%).
Recent graduates have also noticed the change, with just 41% saying their program had taught them skills needed for their first job—down from 63% who said the same in 2022. The report further found that while 65% of these graduates are eager for training on working alongside AI, more than half (52%) say competition from AI has them questioning how prepared they are for the workforce.
“The workplace has changed rapidly in the last few years, and now we are witnessing a new shift as AI begins to reshape worker productivity, job requirements, hiring habits, and even entire industries,” Cengage CEO Michael Hansen said in a release. “With new technology comes both new uncertainties and new opportunities for the workforce, and educators and employers must do more to prepare today’s workers for these technological shifts.”
