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Junior Roles Vanish Forever While Senior Engineers Become AI Shepherds While

AI BIZ HOUR NEWSLETTER Episode #166 - June 30, 2025

TODAY'S HIGHLIGHTS:

77,000+ tech jobs eliminated in 2025 as AI automation accelerates, with major companies pivoting to AI-driven workflows AI Job Displacement 2025: Which Jobs Are At Risk?More details about AI Job Displacement 2025: Which Jobs Are At Risk?Workday faces landmark AI discrimination lawsuit alleging algorithmic bias against older, disabled, and minority job candidates Holland & KnightMore details about Holland & KnightMonster.com and CareerBuilder file for bankruptcy, signaling the collapse of traditional job board models Monster and CareerBuilder, once popular with job seekers, file for ...More details about Monster and CareerBuilder, once popular with job seekers, file for ...Senior developers evolving into AI agent managers while junior programming positions disappear entirely • Microsoft AI-900 certification emerges as crucial pathway for professionals transitioning to AI-augmented roles Microsoft Certified: Azure AI Fundamentals - CertificationsMore details about Microsoft Certified: Azure AI Fundamentals - Certifications"Statefulness" identified as the missing link preventing current AI from achieving true human-like cognition

INTRODUCTION:

Welcome to the AI Biz Hour, where Andy Wergedal (@andywergedal) and John Allen (@AiJohnAllen) delivered a sobering reality check about AI's impact on the job market. In this Prompt Monday episode, our hosts facilitated one of the most intellectually rigorous discussions yet, featuring expert insights from DoD engineer Marco, AI researcher Umesh, and other industry veterans who shared unfiltered perspectives on programming's transformation, the collapse of traditional hiring, and what professionals must do to survive the AI revolution.

MAIN INSIGHTS:

The Tech Job Crisis Reaches Critical Mass

The numbers paint a stark picture: From January to early June 2025, 77,999 tech job losses were directly linked to AI automation AI Job Displacement 2025: Which Jobs Are At Risk?More details about AI Job Displacement 2025: Which Jobs Are At Risk?, with major companies like Microsoft, Amazon, and Intel announcing mass layoffs throughout the year. While the World Economic Forum predicts 170 million new jobs created but 92 million lost Future of Jobs Report 2025: 78 Million New Job Opportunities by ...More details about Future of Jobs Report 2025: 78 Million New Job Opportunities by ..., the transition period remains "uncertain and stressful for affected workers."

As John Allen noted during the discussion, "This isn't news to us, this is same old story" - but the scale and pace are unprecedented, with 491 people losing their jobs to AI automation every single day AI Job Displacement 2025: Which Jobs Are At Risk?More details about AI Job Displacement 2025: Which Jobs Are At Risk?.

Workday faces a collective action lawsuit alleging its AI-powered hiring tools discriminate based on age, race, and disability Holland & KnightMore details about Holland & Knight. The lawsuit claims automated rejections occur without human review, with plaintiff Derek Mobley submitting over 100 applications through Workday's platform and being rejected every time Holland & KnightMore details about Holland & Knight.

This landmark case, conditionally certified by the Northern District of California, could affect millions of job applicants and sets a critical precedent for legal scrutiny of AI in HR Law and the WorkplaceMore details about Law and the Workplace. Companies now risk "reputational and legal damage if AI systems perpetuate bias."

The Death of Traditional Job Boards

The filing for Chapter 11 bankruptcy by Monster.com and CareerBuilder Monster and CareerBuilder, once popular with job seekers, file for ...More details about Monster and CareerBuilder, once popular with job seekers, file for ... represents more than corporate casualties - it signals the complete transformation of how people find work. These platforms, once central hubs for job seekers, are struggling with the changed dynamics brought by AI and remote work expansion.

The collapse reflects a broader shift where traditional resume-based hiring through Applicant Tracking Systems has become ineffective, as AI now allows job seekers to perfectly tailor resumes to any job description, overwhelming employers with seemingly qualified candidates.

Programming's Great Divide: Senior Shepherds vs. Vanishing Juniors

Marco, a Department of Defense engineer with deep private sector experience, delivered the session's most impactful insights:

"I would not suggest that my boys go into a computer science curriculum right now because we're not gonna hire any more junior developers."

The profession is splitting into two distinct paths:

Senior Developers as AI Managers: Experienced engineers are becoming orchestrators of AI tools like Claude Code, integrated directly into IDEs. As Marco explained: "We will never go back to the way we were writing code, because they can just do it so much faster than we do it."

Junior Positions Eliminated: Entry-level programming roles are disappearing entirely. Companies are either bringing in "hordes of interns" as cheap labor or eliminating these positions altogether, fundamentally breaking the traditional career progression ladder.

Domain Experience: The Unautomatable Asset

Marco highlighted the critical importance of institutional knowledge that AI cannot replicate: "There's a guy that's been in the environment for a long time... we literally had a database that had a row, which was Boolean, and it had yes and no. I'm like, do we really need this, right? And this guy had been there for 30 years, he came back, he goes... no, we could never delete that."

This deep understanding of legacy systems, business logic, and organizational context becomes invaluable as AI handles routine coding tasks but cannot comprehend the historical reasons behind technical decisions.

The Statefulness Gap: Why AI Can't Think Like Humans

Umesh provided the session's most profound technical insight into AI's fundamental limitations: "The missing component right now is the statefulness. It's not awareness. I'm not talking about consciousness or awareness here. I'm talking about statefulness."

Current AI models are stateless - when a token passes through the system, the model isn't aware of tokens that previously went through. Unlike human brains, which physically change based on experiences, AI architectures don't modify themselves based on inputs. This limitation means "these models will never produce a new budget" or create truly novel solutions.

Information Crisis and the 80-20 Rule

Umesh shared his radical approach to information consumption: "I have kind of disconnected myself from any kind of news whatsoever... I ask myself a question, why do I need the news? So you can build something... that might have an impact, like, the news might have an impact. Then I'm just fired up an agent."

He identified a critical insight: "80% is bullshit, 20% is really, really good quality content." This makes trusted communities like the AI Biz Hour increasingly valuable for actionable insights rather than noise.

The Rise of AI Agents and Certification Pathways

Marco specifically recommended the Microsoft AI-900 certification Microsoft Certified: Azure AI Fundamentals - CertificationsMore details about Microsoft Certified: Azure AI Fundamentals - Certifications as a crucial pathway for professionals transitioning to AI-augmented roles: "Go to Microsoft.com and go through the AI900 course. It's free. It's really extensive. And you will just work... just concentrate on agents, because that's where everyone's using."

The focus shift from traditional programming to agent development represents the biggest practical opportunity for professionals seeking to remain relevant in the AI-driven economy.

Our Sponsor Gov Bid Mike

Looking to tap into the $7 trillion government contracting market? GovBidMike helps businesses secure government contracts and grants. With important AI procurement rule changes coming in October 2024, now is the time to position your business. Mention AI Biz Hour for a 10% discount on services. Government contracts increasingly specify American-made AI technologies and interoperability requirements. Visit biddata.ai to learn how to navigate the complex world of government procurement.

EXPERT CORNER:

Nathan provided perspective on the evolving skills landscape: "I think that getting those skills of being able to talk about in very precise language, what you want to build, it's gonna be immensely valuable." The ability to translate business needs into technical specifications becomes crucial as AI handles more implementation.

Michael emphasized the verification imperative: "The way this works is... you have your prompts and then you have your output. And the way that us engineers really measure it is if I'm putting in 1 plus 1 in, and I'm getting out 3, I've got a tweak what I'm doing." This highlights the critical skill of AI output validation.

Princess raised the essential question about job creation: "Is there any information on what kind of jobs are being created? What's the speculation? What kind of things C-suite people should be investing in?"

Umesh distinguished between different types of programmers: "80% of the junior programmers of middle-level programmers who joined the company because they found pay to be good. But they don't have any motivation whatsoever of developing new logic... they lose their place." Only the passionate 20% who drive innovation will remain secure.

Microsoft AI-900 Course: Free comprehensive training on AI fundamentals and agent development Microsoft Certified: Azure AI Fundamentals - CertificationsMore details about Microsoft Certified: Azure AI Fundamentals - Certifications

Claude Code Integration: Revolutionary IDE integration eliminating traditional coding workflows

Custom GPT Development: For creating specialized AI assistants for business functions

LM Studio with MCP Support: Advanced local AI model management for technical professionals

Agent Development Frameworks: The new programming paradigm replacing traditional software development

QUICK HITS:

• Focus on domain expertise that AI cannot replicate • Build relationships and networking - human connections remain crucial
• Develop AI agent management skills rather than traditional coding • Verify AI outputs rigorously before implementation • Consider certification programs to demonstrate competency • Embrace tools rather than fighting the transition • Learn to translate business needs into precise technical language

RESOURCES MENTIONED:

Microsoft AI-900 Course: Free at Microsoft.com Microsoft Certified: Azure AI Fundamentals - CertificationsMore details about Microsoft Certified: Azure AI Fundamentals - Certifications
Purple Pill Community: Access to AI Biz Hour resources and newsletters • AI Biz Hour Website: aibizhour.comWorkday Lawsuit Coverage: Multiple sources documenting the landmark AI discrimination case Holland & KnightMore details about Holland & KnightTech Layoff Statistics: Final Round AI and TrueUp data tracking AI Job Displacement 2025: Which Jobs Are At Risk?More details about AI Job Displacement 2025: Which Jobs Are At Risk?

COMING UP:

Join us tomorrow for another live AI Biz Hour session at 12 PM ET, where we'll continue exploring the rapidly evolving AI landscape and its impact on business and careers.

CONNECT WITH AI BIZ HOUR:

Website: aibizhour.comAndy: @andywergedal
John: @AiJohnAllen • Show: @aibizhour

CALL TO ACTION:

The AI transformation isn't coming - it's here. Don't get left behind. Subscribe to our newsletter at aibizhour.com, join our Purple Pill community, and start building the skills that will matter in the AI-driven economy. The future belongs to those who adapt, not those who resist.

OUR SPONSORS

GovBid Mike - Looking to tap into the $7 trillion government contracting market? GovBid Mike helps businesses secure government contracts and grants. With important AI procurement rule changes coming in October 2024, now is the time to position your business. Government contracts increasingly specify American-made AI technologies and interoperability requirements. Mention AI Biz Hour for a 10% discount on services. Visit biddata.ai to learn how to navigate the complex world of government procurement.

See you tomorrow at 12 PM ET for another live AI Biz Hour session. The future is happening now - make sure you're part of it.

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