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Yesterday β€” 22 December 2024Main stream

The AI job market is set to snowball in 2025

22 December 2024 at 02:42
Salesforce CEO Marc Benioff.
Salesforce CEO Marc Benioff said the firm is experiencing "a big hiring surge."

BrontΓ« Wittpenn/San Francisco Chronicle via Getty Images

  • Demand for AI skills is expected to grow in 2025, driven by tech and non-tech firms.
  • Tech industry hiring could rebound after several slow years, driven by demand for AI skills.
  • AI skills are often scarce, with high vacancy rates for roles like natural language processing.

People and companies are placing big bets on artificial intelligence. One of the safer ones is that demand for workers with AI skills will continue to grow.

Labor market watchers told Business Insider that in 2025, as in 2024, many employers will likely be eager to hire people with skills in AI β€” like machine-learning specialists who train models, one of this year's most-talked-about roles β€” but also in wider areas that touch the technology.

In the tech industry, which has experienced years of lackluster hiring following a pandemic-era surge, there are early signs of a rebound, Hannah Calhoon, VP of AI at Indeed, told BI.

If that continues, she said, hiring will likely include roles involving AI.

Another area of demand, Calhoon said, could come from employers that aren't tech firms yet that need people skilled in incorporating off-the-shelf AI tools into their businesses and datasets.

However, unlike the tech giants, these employers aren't likely to try to build their own AI platforms, she said. So, rather than trying to recruit data scientists and those machine-learning engineers, these companies might instead want workers who can help decide which AI instruments to use and how to incorporate them into their workflow.

"What they're going to be looking for is people who understand those systems and can help them implement those tools in their business," Calhoon said.

That's likely to translate to increased demand in 2025 for roles involving AI implementation and transformation β€” jobs like applications administrators or solutions architects, she said.

There are other signs that the demand for talent involving AI is picking up.

Last week, Salesforce CEO Marc Benioff said that the company is experiencing "a big hiring surge" and working to fill thousands of roles to help sell products, including those involving AI. Benioff said the company has 9,000 referrals for the 2,000 positions it's opened.

Masayoshi Son, the CEO of SoftBank, likewise recently talked up AI's potential. At an event with President-elect Donald Trump last week, Son said that the Japanese conglomerate would invest $100 billion into the US over the next four years and create at least 100,000 jobs in AI and related areas.

Already, other employers are looking to grow around AI. According to Indeed, job postings mentioning AI that saw the biggest growth in the first 11 months of 2024 were senior scientists, software engineering managers, research engineers, and researchers.

AI know-how is scarce for some roles

The market may be growing, though it can be hard for employers to hire in some AI-related areas. The talent firm Randstad reports that it's twice as difficult to find and hire senior-level workers skilled in AI and automation as it is for other senior-level jobs in different industries.

Vacancy rates for roles involving specialized AI skills, like developing natural-language processing models, are as high as 15%, Randstad found. That's about double the overall job vacancy rate in the US. Randstad's estimate on AI jobs is based on an assessment of some 10 million job postings and 136 million rΓ©sumΓ©s in the third quarter of 2024.

According to Randstad, employers worldwide are having the hardest time finding workers skilled in natural language processing, predictive modeling, and "stakeholder communication." The firm notes that this is partly because such abilities are specialized yet also in demand across industries.

In the US, Randstad said, the vacancy rate for jobs that require skills like natural language processing stands at 14%.

Starting from a small base

Indeed recently reported that, as of September, the share of US job postings that mention generative AI or related terminology was up 3.5 times year over year.

Yet that doesn't mean that all employers are looking for GenAI whizzes. Indeed found that only 2% of employers globally included skills related to AI in their job descriptions. By comparison, more than 20% called for basic computer skills.

Nevertheless, Calhoon said, employers' demands for AI skills are only likely to grow.

"Maybe not next year, but three or four years from now, in many roles, there will be an expectation that people will have basic fluency in being able to use some of these platforms," she said.

That's likely in part because it's not only major employers that will expect workers to have AI skills.

Andy Schachtel, CEO of Sourcefit, an offshore staffing firm, told BI that businesses of all sizes are looking to AI to boost efficiency.

The US Chamber of Commerce found in a mid-2024 survey of 1,100 small businesses that four in 10 reported using generative AI, up from 23% in 2023. About three-quarters of small businesses surveyed said they plan to adopt emerging tech like AI.

That could add to the already surging demand for leaders who are experts in AI. According to a review of more than 35,000 public and private companies in the US by Altrata, a research firm focused on executive data, the number of people in the role of chief AI officer or its equivalent β€” a job many people may not have heard of until this year β€” was up 70% year-over-year through late October.

That demand is likely one reason that workers with AI skills or who possess capabilities working with AI tools are, on average, 34% more likely to change jobs, according to Randstad.

Nicole Kyle, who researches the future of work, told BI that even for parts of a business where AI might be expected to take on a good share of the workload β€” like call centers β€”its adoption would likely increase demand for other roles.

She said that in the case of call centers, for example, those added roles might include positions involving data governance and data cleaning, as well as customer experience. That's one reason Kyle, who's cofounder of CMP Research, said she remains optimistic about AI's impact on jobs.

"I do think net-net, it will create jobs the way other technological advancements have," Kyle said.

Read the original article on Business Insider

5 people who make over $100,000 share how they've spent their money

22 December 2024 at 02:03
six-figure earners
Christopher Stroup (left), Abid Salahi (center), and Margaret Pattillo (right) are six-figure earners who've tried to balance spending with saving.

Christopher Stroup (left), Abid Salahi (center), and Margaret Pattillo (right)

  • Five people who earn more than $100,000 annually shared how they're spending their money.
  • They're trying to balance spending on big purchases with saving for future goals.
  • Some have spent money on a new car or travel, while others have invested in a home or startup.

For some, earning a six-figure income can facilitate a big splurge. For others, it's an opportunity to establish additional income streams or financial security.

Abid Salahi earns about $140,000 a year from his software engineering job. The 26-year-old, based in Vancouver, said his biggest purchase over the past year was a new car that cost roughly $37,000. Additionally, Salahi said he upgraded his home workspace.

Despite his earnings, one thing has been out of his reach: owning a home. The houses in his area that check his boxes cost more than $500,000. To afford a down payment, Salahi said he's saving and being more judicious about how much he spends dining out and at the grocery store.

Reaching a six-figure salary can be a challenge for some employees. The average annual salary for US-based full-time workers was about $82,000 as of November, the latest data available, per a New York Fed survey. Some workers who earn more than six figures have used the opportunity to set themselves up for potential future success.

Business Insider asked five people who've made more than $100,000 annually what they've spent their money on in recent years. BI has verified their six-figure earnings.

Balancing spending now and saving for the future

Earning a six-figure income has also created new opportunities for John, who's on track to earn roughly $250,000 this year by balancing a full-time and part-time remote IT role.

The millennial, who's based in California, said one of his biggest expenses over the past year was his sister's medical bills, which were about $30,000, he said.

When he spends money on himself, he focuses on fun and health. He hired a personal trainer, who charges about $130 weekly for a one-hour session. Last year, he spent about $9,000 on a three-week honeymoon in Asia.

While he's trying to take advantage of his money in the present, John said he's also prioritized saving for the future.

"I follow a concept of 'pay yourself first' β€” where I put money into retirement and savings first, and then the rest is disposable," said John. His identity is known to BI, but he asked to use a pseudonym due to fears of professional repercussions.

Looking forward, John said he's saving money for the children he hopes to have one day, a bigger car, and a home.

Corritta Lewis is also balancing spending now while saving for the future. Last year, Lewis earned roughly $280,000 from her consulting job and a travel blog she runs as a side hustle. The 35-year-old, who's based in Orlando, said she and her wife spend most of their disposable income on travel.

"We've been digital nomads for four years, so most of our money was used to travel the world and have amazing experiences," she said.

Despite her travel expenses, Lewis said she doesn't live a luxurious lifestyle and is focused on long-term saving. She aims to work part-time hours by her 40th birthday.

"Right now, we are prioritizing savings and investments," she said.

Investing in themselves and real estate

Margaret Pattillo took home around $128,000 last year from her digital marketing and PR business. The 27-year-old, who's based in Florida, said she's on track to earn more than $160,000 this year.

Pattillo used her earnings to buy a home earlier this year and has plans to buy a second home as an investment property. She tries to use her money to create additional income streams that will set her up for future financial success.

"I don't place much value in material items and I'm lucky that I get to travel for work frequently," she said. "I'd say my biggest goal is to build up as many cash-flowing assets as I can in the next 10 years."

Christopher Stroup has put his earnings toward a different type of investment: a new business.

Stroup earned roughly $130,000 last year working as a financial advisor. The 33-year-old, who's based in California, said his income has helped him improve his relationships with friends and family by giving him the budget to go out to eat and on trips. He said his goal is to travel to Europe at least once a year.

Over the past year, Stroup said the biggest thing he's spent his money on is the financial planning business he launched in September. He said his startup costs have included marketing expenses and hiring a team. However, he hopes the investment in his business will put him in an even better financial position.

"If it works out well, achieving my financial goals on my desired timeline has a much higher probability of happening," he said, adding that two of his main goals are owning a home and starting a family.

Are you making over $100,000 a year? Are you willing to share your story and the impact this income has had on your life? If so, contact this reporter at [email protected].

Read the original article on Business Insider
Before yesterdayMain stream

Job growth bounced back in November before the Fed's last interest-rate decision of the year

6 December 2024 at 05:33
A person and a dog by a hiring sign for U-Haul jobs

Justin Sullivan/Getty Images

  • The US added 227,000 jobs in November, greater than the expected gain of 202,000.
  • Unemployment ticked up as expected from 4.1% to 4.2%.
  • The job market's strength in October was clouded due to hurricanes and strikes impacting data collection.

The US added 227,000 jobs in November, more than the consensus expectation of 202,000.

Unemployment increased as expected, from 4.1% in October to 4.2% in November. The rate has been at least 4% since May. While that's low compared to historical averages, the overall labor market has cooled due to a hiring slowdown.

The new jobs report gives the Federal Reserve better information about the state of the labor market after October's report was hampered by the effects of hurricanes and strikes. Friday's report from the Bureau of Labor Statistics showed October's preliminary gain was revised up β€” from 12,000 jobs to 36,000. September's growth was also revised upward, from 223,000 to 255,000.

"Some of the story in November is post-hurricane bounce back," Ernie Tedeschi, the director of economics at The Budget Lab at Yale, wrote on X.

Tedeschi said the revisions for October and September increased the three-month moving average job growth to 173,000 a month. That's in line with this year's trend, suggesting that the weak October report was indeed a hurricane- and strike-fueled outlier.

Slightly fewer people were working or looking for work in November. Labor force participation dropped from 62.6% in October to 62.5%.

Wage growth remained steady, with average hourly earnings increasing 4% year-over-year in November, matching October's rate.

The Fed's two most recent interest-rate decisions were both cuts, a 50-basis-point cut in September and a 25-basis-point cut in November. Americans will know if there will be one more rate cut this year on December 18.

The CME FedWatch tool, which shows what traders think Fed rate decisions will be, showed a roughly 90% chance of a 25-basis-point cut in December after the BLS release, up from around 70% before the report.

This is a developing story. Please check back for updates.

Read the original article on Business Insider

The most common jobs for US men and women without college degrees

4 December 2024 at 01:03
Construction workers in a construction site.
Drivers and customer service representatives are the most common jobs for young men and women, respectively, in the US without a four-year college degree.

Ron Watts/Getty Images

  • A Pew Research Center analysis shows the largest occupations for young US workers without degrees.
  • Men often work as drivers or in construction, while women work in customer service or nursing roles.
  • College enrollment rates have declined in recent years.

Customer service representatives and truck drivers are the most common jobs for young women and men without a four-year degree, respectively.

Men and women between the ages of 25 and 34 who don't have college degrees also work as construction laborers, health aides, cashiers, and chefs, per a Pew Research Center analysis published in July.

There was little overlap in the most common jobs for young men and women without a college degree, but the two groups did share two roles: first-line supervisors of sales workers and retail salespersons.

Roles like these have become particularly prevalent for men, whose college enrollment rates have fallen behind women's in recent years.

Forty-seven percent of US women between the ages of 25 and 34 have a bachelor's degree compared to 37% of men, per a Pew analysis published in November. However, overall college enrollment rates have fallen in recent years: The share of male high school graduates between the ages of 16 and 24 enrolling in college has declined to 58% as of 2023 from 67% in 2018, per the Bureau of Labor Statistics. Young women's enrollment rate has declined to 65% from 71% over this period.

Many of these young people are seeking jobs that don't require a college degree, and some have benefited from companies dropping degree requirements. The share of US job postings that require at least a college degree has fallen to 17.8% from 20.4% in 2019, according to an Indeed report published earlier this year. To be sure, many employers still prioritize hiring workers with a college diploma.

The Pew report published in July also highlighted the most common job categories for Americans with a four-year college degree. Four occupation categories were among the 10 most common jobs for both men and women: software developers, managers, accountants and auditors, and elementary and middle school teachers.

Are you looking for a job and comfortable sharing your story with a reporter? Please fill out this form.

Read the original article on Business Insider

Russian companies are turning to teenagers and retirees amid the country's wartime labor shortage

2 December 2024 at 08:44
Russia recruitment ad for soldiers at a bus stop
Russia is short 2 million workers, according to an estimate from one of the nation's largest auditing firms.

Vladimir Aleksandrov/Anadolu via Getty Images

  • Russia's labor shortage has businesses turning to teens and retirees to fill positions.
  • Openings for workers as young as 14 or older than 55 have jumped.
  • The nation was short around 5 million workers last year, Russia's Academy of Sciences estimated.

Russia's wartime economy is dealing with a difficult labor shortage, and the problem is pushing companies to broaden the age range of new hires as they look to fill their ranks.

An analysis cited by the Russian news site Nakanune showed that job openings tailored to "young applicants" β€” as young as 14 β€” soared 119% year-over-year in the first quarter. That adds to last year's 289% increase, with openings for young workers rising from 14,500 to 42,000, the analysis found.

In catering and retail, the demand for workers between the ages of 16 and 18 has doubled, Bloomberg reported, citing an analysis from the Russian ad agency Avito.

Demand is also growing for older workers. Openings for specialists over the age of 55 climbed 65% in the culture and education sectors in the third quarter, while openings for specialists in the services sector rose 12%, according to a study viewed by the Russian state-owned news agency TASS.

The average age of specialists has also climbed by three to six years since 2022, per Bloomberg, citing an analysis from the Russian recruiting agency SuperJob.

Russia has also dialed back rules to allow younger people to work, or to allow retirement-age people to continue working.

Last year, Putin approved the employment of workers as young as 14 in some circumstances, though Russia's legal working age is still technically set at 16 years old.

In 2018, Russia raised the retirement age from 60 to 65 for men and from 55 to 63 for women. The nation also plans on raising pension payments for working retirees early next year, with retirement-age people who choose to work potentially receiving an average minimum increase of 1.3 million rubles a year, or $12,264, according to estimates from Russia's Deputy Prime Minister.

Russia's working-age population took a hit in 2022, when millions of Russians fled the nation after the start of the war in Ukraine. The nation is short around 2 million workers, Bloomberg reported, citing an analysis from FinExpertiza, one of the nation's largest auditors. Last year, the Russian Academy of Sciences estimated the nation was short around 5 million workers.

Meanwhile, around 73% of businesses are experiencing a staffing shortage, according to polls conducted by Russia's central bank.

Read the original article on Business Insider

A Gen Zer who used AI to apply for hundreds of roles says it helped him land a job

27 November 2024 at 01:01
A man wearing glasses working at his computer, which the screen is reflected back in his glasses' lenses.
A Gen Zer (not pictured) said an AI tool helped him apply to hundreds of jobs and ultimately land a tech role.

pixdeluxe/Getty Images

  • A 28-year-old used an AI tool called AIHawk to apply for hundreds of jobs on LinkedIn.
  • He said AIHawk helped him land a software engineering job.
  • Using AI tools during the application process comes with risks.

Applying for jobs can be a time-consuming and frustrating process, and some job seekers are using AI to try to make it more tolerable.

Guilherme, a 28-year-old based in Brazil, began looking for a software engineering role after he was laid off in April. In October, after little luck, he learned about AIHawk β€” a tool that allows users to easily apply for up to hundreds of jobs per day. One month later, AIHawk had submitted more than 1,300 applications on Guilherme's behalf and he landed a job.

"This the type of job I was looking for," said Guilherme, whose identity was verified by Business Insider but asked to use a pseudonym. "It was certainly a byproduct of AIHawk."

Guilherme is among the people who have struggled to find work over the past year and turned to AI tools to help them write rΓ©sumΓ©s and cover letters, prepare for interviews, and apply for jobs.

To be sure, relying on AI during the application process comes with risks β€” including a rΓ©sumΓ© littered with mistakes β€” and it could be a dealbreaker for some HR departments. Additionally, in the quickly evolving AI landscape, there's a lack of clarity over how employers and job platforms view candidates' use of these tools.

Automating the job search process can save time

Federico EliaΒ created AIHawkΒ earlierΒ this year, and in August, he published the code hosting platform GitHub so anyone could use the tool. AIHawk automates the application process for LinkedIn's easy-apply jobs β€” which pulls info from a user's profile to fill in an application. To date, AIHawk has been "starred" β€” or bookmarked β€” on GitHub by more than 22,000 people globally. There are more than 6,300 members of the AIHawk community on the messaging service Telegram, where users critique the tool, share tips on how to use it, and provide updates on their job searches.

AIHawk is one of many AI job application tools on the market. While it can be installed and used without any cost, users previously told BI that doing so requires some familiarity with the programming language Python.

Guilherme's tech background made it easier to use the tool. He said AIHawk typically applied to about 50 jobs a day and that some of these applications turned into interviews.

Guilherme ultimately was hired for a job he didn't apply for using AIHawk. He said he learned about the role after someone from the company reached out to him via LinkedIn. However, Guilherme believes AIHawk played a major role in the outcome of his job search. When he started using the tool, he said he began hearing from several recruiters about jobs he'd never applied for.

"I got several LinkedIn InMails a day, every single day, since mid-October, from recruiters, hiring managers, and C-suites of companies," he said, adding, "This was something that never happened to me before."

Guilherme said that he believes applying for so many jobs "boosted" his LinkedIn profile in the platform's algorithm β€” making it easier for recruiters to find him.

"With my account's activity being through the roof, my profile was boosted up in searches, which led to my new boss finding me," he said.

A LinkedIn spokesperson told BI that applying to more roles would not make a person's profile more visible to a recruiter. The spokesperson said that job seekers who keep their profiles up to date are more likely to hear from recruiters.

The spokesperson said that the company doesn't permit the use of third-party software β€” such as bots β€” that scrapes or automates activity on LinkedIn.

Guilherme recommended that AIHawk users spend time filtering out job titles that aren't a good fit and use interviews as an opportunity to practice their communication skills β€” which could help them land a job down the road.

Overall, Guilherme said the biggest perk of AIHawk was the time it saved him.

"Imagine if I had to do this manually?" he said, referring to the resumes he submitted with AIHawk. "I'd probably go insane."

Are you looking for a job and comfortable sharing your story with a reporter? Did an AI job tool help you land a job recently? Please fill out this form.

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