The adoption of artificial intelligence in German companies has led to a 6.3% decrease in salaries for new hires. In some cases, income losses for entry-level professionals reach 3,400 euros per year. This was reported by ausnews.de citing ifo, according to the portal PromPolitInform.
Research from the ifo Institute indicates that one in five companies in Germany is already prepared to replace qualified staff with less experienced workers who possess artificial intelligence tools. Currently, AI technologies are integrated into the business processes of 54.5% of German enterprises.
Changing Wage Structure
Data analysis shows that starting salaries for new hires have fallen by 6.3%, while salaries for mid-level specialists have declined by 5.9%. Meanwhile, executive compensation remains stable.
According to calculations, entry-level professionals lose an average of nearly 3,400 euros annually, while mid-level managers are missing out on almost 3,200 euros. This reduction applies exclusively to the hiring process for new personnel; this trend does not yet affect those already employed.
Labor Market Challenges
The International Labour Organization emphasizes that administrative, service, and office positions are at the highest risk. The need for traditional diplomas or many years of experience is diminishing, while digital literacy and AI interaction skills are becoming critically important.
Experts point to the need for state-funded retraining programs to maintain workforce competitiveness. Mastering these technologies is becoming a decisive factor in preserving career earning potential in current conditions.
Illustrative photo: Chairman of the Joint Chiefs of Staff / CC BY 2.0
