New report claims AI is leading to job layoffs but higher-level more
educated workers are being hit hardest

Date:
Thu, 02 Jul 2026 15:00:00 +0000

Description:
AI unemployment is disproportionately affecting higher-level, more educated tech workers in California, report warns.

FULL STORY ======================================================================Copy link Facebook X Whatsapp Reddit Pinterest Flipboard Threads Email Share this article 0 Join the conversation Follow us Add us as a preferred source on Google Newsletter Subscribe to our newsletter Report claims degree holders
and tech sector workers continue to see AI-induced layoffs New unemployment tracker lays foundation for future employment laws Despite layoffs, new job opportunities remain elsewhere A New California Policy Lab report has
revealed artificial intelligence could actually be leading to a number of layoffs despite recent promises that the tech is creating new roles.

But the data points towards certain roles being more susceptible than others. Those with a bachelor's, master's or PhD degree in highly AI-exposed roles
saw higher unemployment rates after ChatGPT was released in late 2022. Insurance claims for unemployment among bachelor's degree holders rose more than 50% between November 2023 (13,000 claims per month) and July 2023
(22,000 claims per month). Claims have since fallen, but remain above earlier levels, standing at around 16,000 claims per month currently. Latest Videos From Watch full video here: AI still causing some job losses And California leads the way for AI-induced layoffs, with the Bay Area's high concentration of tech companies making it a likely place for labor market effects to emerge first.

But the report is largely optimistic about AI's impacts on roles although certain roles are clearly at risk of displacement, other roles still promise opportunities for human workers. You may like Report warns younger workers
set to be hit by AI hiring Nearly 80,000 tech workers have already lost their jobs in 2026 and AI impact means more could be to come Half of workers worry AI will still take their job, as agent usage rises

"AI does not seem to have affected national unemployment rates... but has affected the headcounts of certain occupations with more exposure to AI," the paper concludes.

Though region-specific, the report marks the introduction of the California AI-Unemployment Tracker (CAIT) using near-real-time data, which it says is important for guiding employment laws and support as AI's impacts on the
labor market continue to evolve. Are you a pro? Subscribe to our newsletter Sign up to the TechRadar Pro newsletter to get all the top news, opinion, features and guidance your business needs to succeed! Contact me with news
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Ultimately, the paper concludes that higher-level workers are being affected first, particularly in Califorina's tech sector, but the overall impact on
the labor market might be more displacement rather than replacement. Follow TechRadar on Google News and add us as a preferred source to get our expert news, reviews, and opinion in your feeds.



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Link to news story: https://www.techradar.com/pro/new-report-claims-ai-is-leading-to-job-layoffs-b ut-higher-level-more-educated-workers-are-being-hit-hardest


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