Degree Holders Taking DATA ENTRY Jobs – WHY?

Many highly educated and specialized professionals are now settling for unskilled and remote jobs due to AI automation, raising concerns about workforce erosion, economic inequality, and the long-term health of innovation pipelines.

At a Glance

A Global Work AI survey of 5 million users shows many degree-holders are accepting data entry, customer service, and assistant roles

Over 60% of underemployed job seekers hold higher education credentials but are in roles below their capabilities

Mid-level professionals aged 25–40 are most affected by underemployment and career stagnation

U.S. underemployment for recent grads has hit 41.2%, with unemployment at 5.8%

Economists warn this trend could erode innovation capacity and deepen socioeconomic divides

The Deep Underemployment Shift

Global Work AI, a workforce analytics firm, reported that 62.7% of remote job seekers with university degrees are accepting roles in data entry, customer service, and scheduling support—fields typically requiring fewer skills. As detailed in Business Insider, these individuals are primarily aged 25–40 and now face stalled career advancement and suppressed earnings potential.

In the U.S., a Morning Consult survey shows 41.2% of college graduates are working jobs beneath their skill level. Automation has rendered many traditional entry-level white-collar positions obsolete, leaving graduates with fewer pathways to upward mobility.

Watch a deep dive: AI’s Impact on Entry-Level Careers

Deskilling and Labor Market Polarization

Experts refer to the trend as deskilling, where automation removes the need for mid-tier professionals and polarizes the labor market. AI tools are now capable of automating tasks in fields such as legal research, software development, and even financial analysis. A McKinsey report projects that over 375 million workers globally could be displaced by automation by 2030 unless major reskilling efforts are launched.

Without intervention, middle-skill jobs may vanish, widening the economic divide between high-earning specialists and low-wage service workers. According to the Brookings Institution, failure to build a future-ready workforce could undermine long-term innovation and economic resilience.

Consequences for Growth and Innovation

Underemployment doesn’t just harm individuals—it weakens national innovation capacity. With fewer workers progressing into senior or creative roles, organizations are slashing mentorship programs and long-term talent development investments. The World Economic Forum stresses that the next generation of leaders may not emerge if early career development continues to decline.

To reverse course, economists and labor advocates recommend:

Expanding apprenticeship and digital upskilling initiatives

Incentivizing companies to preserve career progression paths

Deploying public-private training partnerships that align with AI-era demands

While AI will inevitably reshape work, a strategic, inclusive response could ensure it enhances rather than erodes opportunity. The future of employment will depend not just on innovation—but on whether society can adapt fast enough to ensure that people aren’t left behind.