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What 10.4% youth unemployment means for your career

September 4, 2026

New research from knack and WORK180 shows AI is already shaping what young Australians study and apply for. Here’s what’s actually worth paying attention to instead of chasing a “safe” job title.

Overview 

  • Australia’s youth unemployment rate is 10.4%, more than double the national rate of 4.5%.
  • New knack and WORK180 research finds 58% of young Australians have already let AI influence a career decision.
  • AI is changing which tasks make up entry-level work, not wiping out whole industries.
  • Choosing employers and pathways that keep teaching you new skills matters more than chasing a job title that looks “safe”.

Deciding what to study or apply for used to mean guessing what employers wanted. Now it means guessing what AI is going to do to the job you’re aiming for, on top of everything else.

That guesswork shows up in the numbers. Australia’s youth unemployment rate is 10.4%, more than double the national rate of 4.5%, and new research from knack and WORK180 finds 58% of young Australians have already let artificial intelligence (AI) influence a career decision they’ve made.

What the numbers actually show

According to the Australian Bureau of Statistics, youth unemployment sat at 10.4% in July 2026. The rate did ease slightly that month, so one figure isn’t proof things are getting worse, but young people still find it far harder to get a foothold in the workforce than the population overall.

knack and WORK180 surveyed 200 Australians aged 16 to 25 about the job market, AI and their career decisions.

69% are at least moderately concerned about AI’s impact on their job prospects.
58% say AI has already influenced a career decision they’ve made. Half of the students surveyed are considering switching fields entirely.

“The industry I am in increasingly utilises AI to do jobs that typically a human would do, with this in mind and the exponential growth of AI, I don’t see roles in my industry lasting for a very long time”

– Anonymous response from WORK180 Youth Unemployment survey 2026

Why entry-level work is changing

Many traditional entry-level jobs involve routine tasks, basic admin, data processing, research, first drafts, scheduling, and customer support, exactly the kind of work AI can now support or automate. The World Economic Forum found more than one in three young workers globally are already in roles with medium-to-high exposure to this kind of change.

That’s not proof entire industries are disappearing, but it is a sign the first rung of the career ladder looks different to how it looked for the generation before you, and worth knowing before you commit years of study to a single path.

Should you avoid white-collar careers because of AI?

No. A university degree hasn’t lost its value, a trade isn’t automatically safe from automation, and no one can hand you a reliable list of jobs AI will never touch. Technology will remove some tasks, change others, and create work that doesn’t exist yet, across every industry.

A more useful question than “which job is AI-proof” is: what kind of career will let you keep building skills that stay valuable as things change?

What to actually look for in a career

Look past the job title, and ask a few sharper questions instead. Will this role build my skills beyond the first year? Is there a clear way in, such as an apprenticeship, traineeship, or graduate program, rather than a generic “entry-level” ad that still asks for experience you don’t have yet? What does the work actually involve day to day? Will I get mentoring and structured training early on? And does it involve judgement, communication, and working with others, the kind of skills that tend to matter regardless of which tools people are using?

Getting your first job without experience

This is one of the real contradictions young people face: you need a job to get experience, but many “entry-level” roles already expect you to have it. knack was built to remove that barrier, matching people with early-career opportunities based on their interests and strengths, with real, paid pathways including apprenticeships, traineeships, and cadetships that don’t require previous experience.

You don’t need your whole career mapped out to start. Find your knack and discover paid early-career opportunities matched to your interests, strengths, and preferences.

FAQs

What is the youth unemployment rate in Australia in 2026?

Australia’s youth unemployment rate was 10.4% in July 2026, according to the Australian Bureau of Statistics, more than twice the overall rate of 4.5%.

Which entry-level jobs are most likely to be affected by AI?

Jobs with a high share of routine, repeatable, or information-processing tasks are most likely to change as AI develops. That’s more likely to reshape what the role involves and which skills employers value than to eliminate it outright.

Should I choose a trade instead of university because of AI?

Not necessarily. Trades, university, traineeships, and cadetships can all lead to strong careers. Choose based on your strengths, the skills you’ll build, and what the work actually involves, rather than chasing a pathway that looks “AI-proof”.

How can I get a job without experience?

Look for pathways built for people entering the workforce, such as apprenticeships, traineeships, cadetships, graduate programs, and other paid early-career roles designed to build experience rather than assume it.

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About the Author
Fiona is an employer brand professional with experience in workplace storytelling and career-focused content. As the Global Strategy Lead, Employer Brand & Inclusion at WORK180, she works closely with organisations to share the initiatives and experiences that shape inclusive and supportive workplaces. Fiona is passionate about finding opportunities that allow her to combine her strengths in people experience design to cultivate and manage diverse workplace practices in a way that continues to seek and celebrate difference.

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