ChatGPT Effect: Why University Graduates Now Earn 13 Percent Less

TVS News AI, editorially supervised, presents ChatGPT Effect: Why University Graduates Now Earn 13 Percent Less.

You've got your university degree in hand – and that first job feels like a punch in the gut? You're not alone. Since ChatGPT launched in late 2022, breaking into many professions has changed noticeably. A working paper from a US statistics agency now puts numbers on the table that give pause for thought.

Specifically, it's about 13 percent less in salary that today's university graduates earn compared to the pre-ChatGPT era. One group that was long considered a safe bet is hit particularly hard: computer scientists.

What exactly the US data shows, why tech people in particular are affected – and what that means for your own career start – let's take a look now.

What does the US working paper say specifically?

The findings come from a working paper by a US statistics agency – so an official, governmental source, not a survey of a few dozen tech companies. Career entrants with university degrees were studied, and the result is clear: since ChatGPT launched in November 2022, they earn less than the comparison groups before.

The scale: 13 percent less. That's not a minor growth-dip phenomenon, but a noticeable cut to starting salaries. So if you're wondering why application rounds are tougher and salary offers look weak, here's a possible answer: AI tools like ChatGPT have evidently taken over parts of the work that used to be assigned to entry-level hires.

Why are computer scientists in particular affected?

At first glance it sounds paradoxical: the tech industry, which makes AI possible in the first place, is suffering from its own inventions? According to the report, computer science graduates are hit particularly hard. The logic is at least understandable: anyone who used to outsource simple coding tasks, standard bug fixes, or routine documentation to juniors can now delegate that work directly to an AI tool.

That doesn't mean computer science is becoming worthless. Quite the opposite: experienced developers who use AI strategically are in higher demand than ever at many companies. The entry level, though – precisely the rung you as a career starter rely on – is getting narrower.

What does this mean for your career start?

If you're currently deciding which subject to study, or already in the middle of your degree: the US data is a warning sign, but not the end of the world. Three points to take away.

First: the study refers to the US labor market. Germany has its own dynamic with skilled labor shortages, collective bargaining agreements, and a different economic structure. Whether the 13 percent effect hits the same way here remains to be seen.

Second: AI doesn't replace entire professions overnight, but shifts job profiles. Those who understand AI as a tool and integrate it into their own workflow move their profile up – away from what an AI can already do today.

Third: entry-level salaries aren't set in stone. When fewer junior positions are advertised because AI steps in, demand drops – and with it the pressure on employers to pay high starting salaries.

Conclusion: Take note, adapt, look for opportunities

The study's message is uncomfortable but clear: AI tools like ChatGPT have made the entry into many knowledge-based professions harder – and that translates into concrete numbers. 13 percent less pay sounds dramatic, but above all it's a sign that the labor market is reorganizing itself.

Anyone studying today or just starting out should take the development seriously without falling into knee-jerk action. AI isn't going away – but those who command it gain an edge over those who ignore it.