The debate over AI’s impact on the workplace has moved from speculation to reality, as evidence of jobs lost to AI emerges. New research from Stanford University analyzing millions of payroll records through July 2025 reveals that generative AI is already creating significant employment disruptions.
This research represents one of the first large-scale, real-time analyses of AI’s impact on employment, according to report co-author Erik Brynjolfsson. Titled Canaries in the Coal Mine? Six Facts about the Recent Employment Effects of Artificial Intelligence, the study used comprehensive payroll data from ADP, covering millions of workers across tens of thousands of firms.
The researchers tracked employment patterns, revealing that early-career workers aged 22-25 in what they called “AI-exposed” occupations had experienced a 13% relative decline in employment since late 2022, when ChatGPT launched and AI adoption accelerated. What are these jobs? The researchers identified software engineers and customer service agents as examples of two occupations that are frequently considered to be highly exposed to generative AI tools.
Employment for software developers in this age group, for instance, had declined nearly 20% by July 2025, while opportunities for more experienced developers in the same companies grew or remained stable. Roles for customer service representatives, accountants, administrative assistants and marketing managers showed similar age-based patterns.
Meanwhile, occupations less affected by AI—such as nursing aides, production supervisors and manual laborers—maintained steady employment growth across all age groups.
The research suggests AI primarily replaces codified knowledge, which researchers identified as the “book-learning” at the core of formal education. In contrast, the authors found that experienced workers possess tacit knowledge: the tips, tricks, and contextual understanding that accumulate over time and prove harder for AI to replicate. This may suggest a troubling dynamic where entry-level positions that traditionally served as career stepping stones are being impacted.
Automation or augmentation?
However, not all AI implementations create job losses. The study distinguished between AI that automates work—directly executing tasks—and AI that augments human capabilities—enhancing collaboration and decision-making. Employment declined in occupations in which AI automates work, but grew or remained stable in those that AI augments human capabilities. This distinction matters enormously for workforce planning, according to the research.
Interestingly, the labor market adjustments are occurring through employment cuts rather than wage reductions. Salaries have remained relatively stable across AI exposure levels, suggesting companies are eliminating positions rather than reducing pay—at least initially.
The researchers plan to continue tracking these trends as AI capabilities advance. While the long-term effects remain uncertain, the data show disruption is already underway.
HR tech in the news
At its September 2025 Innovation Day, ADP unveiled AI-powered features to eliminate manual processes, including payroll anomalies, lengthy analytics requests and routine compliance tasks that burden HR teams.
MasterClass, an online learning platform, launched a Certificates program built with Microsoft, NVIDIA, the Navy SEAL Foundation and Google’s Moonshot Factory. The program aims to develop skills and drive career acceleration.
Cybersecurity platform KnowBe4 released a comprehensive resource kit ahead of Cybersecurity Awareness Month 2025 in October with a focus on strong passwords, multifactor authentication, phishing recognition and software updates.
Fintech Green Dot Corporation joined the Workday Partner Program through its pay card division, called rapid!, to deliver payroll and payment solutions. These include earned wage access and financial wellness.
Payroll and benefits platform Gusto reached an agreement to acquire Guideline, a retirement benefits provider. Valued at $1.15 billion, the acquisition comes amid ongoing changes to 401(k) regulations.
Global employment platform G-P has joined the Built on Workday program. G-P customers can build and manage their global teams directly within the Workday platform using G-P’s AI-powered Employer of Record solution and intelligent global HR agent G-P Gia.
HealthEquity, a health savings accounts administrator, announced that its AI-powered HSAnswers tool has received multiple industry awards, including the 2025 AI Breakthrough Awards, which recognize excellence in benefits education innovation.
Learning platform Skillsoft has released the results of its 2025 Global Skills Intelligence Survey, revealing widening skills gaps as the top barrier to employee growth. Only 10% of 1,000 HR professionals feel confident their workforce has the skills needed to reach business goals.
HR platform Deel launched its Business Visas service for short-term international travel management. The company also announced that it has secured its first standalone immigration license in the United Arab Emirates.
LRN Corporation, an ethics and compliance company, released its annual 2025 Code of Conduct Report analyzing nearly 200 global codes and surveying 2,000 employees, revealing insights on AI regulation, management disconnects and accessibility expectations.
WeWard, a free stepcounter app with 25 million users, launched “Communities,” which enables companies and groups to create step challenges, foster team engagement and pool rewards to fund causes—linking everyday activity with team building and charitable giving.
In July 2025, global hiring fell 20% while job openings rose 21%, per BambooHR data, signaling major shifts in the labor market. BambooHR Workforce Insights explores why hiring is slowing and how HR teams are adapting.
HR tech people moves
Brandi Douglas has been hired as VP of Human Resources at Sightview, an eyecare electronic health record company. Her role was established by Sightview’s new CEO, Tycene Fritcher, as part of a strategic initiative to reinforce the organization’s values and place greater focus on supporting both teams and clients.
Cybersecurity firm Fortinet appointed Anthony Walter as SVP Worldwide Human Resources. Walter previously was HR leader for Global Sales at Tanium, overseeing international operations, recruiting and workforce analytics.
Buffkin / Baker, an executive search firm, added Jordy Rabinowitz as a partner in its healthcare and human resources practice. Rabinowitz brings 30 years of legal and HR experience from large academic medical centers.
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