This week, Minister of State for AI, Niamh Smyth, acknowledged before the Oireachtas AI Committee that job displacement is inevitable as AI becomes more integrated into the workplace.

New data from Morgan McKinley Ireland’s Employment Monitor highlights a sharp decline in graduate hiring, particularly in the finance and accountancy sectors, due to automation. Major firms are automating routine tasks like payroll, credit control, and invoice management – roles traditionally filled by graduates. This shift raises alarm about the long-term consequences of reducing entry-level opportunities, potentially creating talent gaps at mid-management levels in the years ahead.

Tracy Keevans, Global Director at Morgan McKinley, warned that neglecting early-career recruitment could undermine the development of future leaders. Graduates once learned vital skills by handling foundational tasks, but many of these are now managed by AI. While firms adapt, Keevans hopes this reduction in hiring is a short-term measure during the transition.

AI adoption is also reshaping the types of roles companies seek to fill, with demand rising for data engineers and AI specialists. However, the need for oversight and ethical governance of AI systems means new recruits will require foundational knowledge and experience, which are skills best developed from the ground up.

Meanwhile, AIB announced a major AI rollout in partnership with Microsoft Ireland, deploying tools like Microsoft 365 Copilot across its workforce. While the bank insists the aim is to boost efficiency by automating repetitive tasks, the move sparked concern from trade unions, who emphasised the need for agreements before such large-scale changes are introduced.

These developments are part of a broader trend. Government research has found that up to 30% of Irish workers are in roles vulnerable to AI disruption, particularly in finance, IT, and customer service. As businesses embrace AI, the challenge ahead will be balancing efficiency gains with thoughtful workforce planning and reskilling efforts.