The year 2025 fell short of labor economists’ expectations. It marked the slowest pace of job growth outside a recession since 2003. Factors like tariffs, stricter immigration policies, and economic uncertainty have all contributed—and artificial intelligence has been a factor as well. However, Nvidia CEO Jensen Huang does not believe AI is the primary cause of the current job market challenges.
He characterizes the present slowdown as a transitional phase—necessary growing pains preceding the emergence of a more efficient and ultimately wealthier economy.
“Our work is not merely about managing spreadsheets or typing on a keyboard—our jobs are typically more significant than that,” Huang stated. “I am reasonably confident that AI will boost productivity, increase revenue, and consequently lead to more employment.”
This positive outlook, however, includes a condition: the shift will not be smooth. The advancement of AI will necessitate a widespread reorganization of jobs and duties throughout the market, demanding flexibility and the ability to adapt from the workforce.
“One thing is clear: AI will alter every job. Certain roles will vanish—every industrial revolution eliminates some positions—but many new jobs will be generated,” said the 62-year-old executive.
There is an even more significant condition. To participate in this shift, individuals must adopt AI; failing to do so could have severe repercussions.
“Everyone will need to utilize AI, because if you don’t, you risk being replaced by someone who does.”
Nvidia did not respond to a request for comment.
2026 may offer little improvement for job hunters—yet here are ways to distinguish yourself
Huang is not the only one perceiving long-term potential within short-term instability. AMD CEO Lisa Su has also expressed optimism—especially for students who are beginning their careers as AI redefines work processes.
“The Class of 2026 will enter the professional world at a thrilling moment, as AI changes our planet and broadens the scope of what’s achievable,” she remarked in an announcement naming her as MIT’s 2026 commencement speaker. “I am eager to honor them as they get ready to contribute their talents and perspectives globally.”
Nevertheless, following a weak 2025, few signs suggest 2026 will bring quick respite for those seeking jobs—particularly if inflation and other economic challenges persist. The prospects for upcoming graduates are especially daunting.
Over 50% of employers describe the job market for the Class of 2026 as “poor” or “fair,” based on a survey by the National Association of Colleges and Employers—representing the gloomiest assessment since the pandemic’s onset.
This trend is evident as young candidates compete for a declining pool of entry-level positions. At Bank of America, for instance, only 2,000 new graduates were selected from 200,000 applicants—an acceptance rate of roughly 1%, making it more competitive than admission to Ivy League universities.
The bank’s CEO, Brian Moynihan, recognized that fear is common among Gen Z applicants but encouraged them to confront it directly.
“If you inquire if they’re afraid, they admit they are. And I comprehend that. But I advise them to channel that fear … The future is yours to shape,” Moynihan told CBS News earlier this year.
Huang has reinforced this sentiment, contending that perseverance—not a sense of privilege—will be the key quality for workers thriving in an AI-powered economy.
“Individuals with extremely high expectations possess very little resilience—and sadly, resilience is crucial for achievement,” Huang noted in a 2024 interview with the Stanford Graduate School of Business. “A significant strength of mine is that I maintain very modest expectations.”
Huang stated that conquering hardship is a common experience for accomplished individuals.
“I’m unsure how to achieve it, [but] for all you Stanford students, I hope you encounter substantial amounts of hardship and struggle,” Huang continued. “Excellence stems from character, and character is not built from intelligence alone—it is forged through adversity.”