The Impact of AI on the Job Market
Artificial intelligence (AI) has not yet had a negative impact on the hiring of graduates, according to Employment Minister Amanda Rishworth. While some occupations are beginning to show signs of a slight decline, the overall employment outcomes for young tertiary graduates remain positive. This is despite concerns that they might be the first to feel the effects of AI in the workplace.
In a keynote address at the AFR Workforce Summit in Sydney, Ms Rishworth will highlight new government data that outlines the effects of AI on the job market. She will also announce the formation of a new forum aimed at fostering collaboration between employer groups and unions as AI technology is rolled out.
“Employment outcomes for young tertiary graduates have been positive, despite some expectations that they could be the ‘canaries in the coalmine’ for AI in the workplace,” Ms Rishworth will say. “We are not seeing an elevated rate of compositional change, meaning that the mix of jobs in the economy is not changing faster than usual.”
However, she notes that there is a slight softening in the rate of growth for occupations most exposed to AI adoption, such as filing clerks or keyboard operators. This suggests that while AI is not yet causing widespread disruption, it is starting to influence certain sectors.
Balancing Concerns and Opportunities
The government is working to balance union concerns about the potential impact of AI on job security with employer warnings that over-regulation could hinder productivity gains. Labor ministers, including Ms Rishworth, Treasurer Jim Chalmers, and Assistant Minister for Productivity Andrew Leigh, have all emphasized the potential of AI to boost productivity.
Ms Rishworth will stress the importance of ensuring that workers are included in the transition to AI-driven workplaces. She believes that the benefits of AI should be shared and that dialogue between the government, unions, and businesses is essential.
“One of the ways I am building this dialogue is through the newly elevated AI Employment and Workplaces Forum,” she will say, according to an excerpt of the speech. The forum includes representatives from the Australian Council of Trade Unions and major employer groups like the Business Council Australia and the Australian Industry Group.
The first meeting of the forum will take place in Adelaide on Wednesday. One of the key topics will be how to build trust around AI adoption. This could involve employers ensuring that employees have a say in how AI is used in their workplace.
Key Themes and Future Steps
Themes of capability, transparency, safety, and productivity will also be discussed during the forum. These themes will guide discussions on how to build a common understanding and translate them into agreed outcomes.
“The themes will shape our discussions on how we can build common understanding, and translate these themes into agreed outcomes,” Ms Rishworth will say.
Earlier this year, at an economic roundtable in August 2025, Dr Chalmers announced that the government would conduct a gap analysis to determine whether existing legislation is sufficient to regulate AI or if a comprehensive bill would be needed.
Conclusion
As AI continues to evolve, its impact on the job market remains a topic of careful consideration. While the current data shows no significant negative effects on graduate hiring, the government is taking proactive steps to ensure that the transition to AI is managed responsibly. Through forums and ongoing dialogue, stakeholders are working together to address concerns and maximize the potential benefits of AI for all Australians.






