Graduate Careers: Good opportunities despite AI challenges
Two-thirds of employers are hiring this year as planned, while 24% of employers are hiring “but with more caution”, states a new report by University of Limerick.
New graduates might be facing challenges with the increased use of AI, however it is not all doomed as the early careers market remains resilient.
Due to the increased usage of artificial intelligence (AI) and amid rising labour costs, employers in Ireland are cautious about new hires but continue to recruit graduates.
According to the Early Careers Employer Survey published by the University of Limerick, the market remains resilient despite an unpredictable economic climate.
Last year, the Irish Examiner reported most 2024 graduates were in employment or further study, despite an uncertain job market. More than 71,000 were surveyed, and over 80% reported being in employment nine months after graduation, while almost 11% were currently undertaking further study.
This year, while employers are increasingly cautious in their hiring activities, graduate expectations around salary, flexibility and career progression are shifting upwards. This results in a misalignment in employer and graduate expectations.
According to the report published by UL, while 66% of employers are hiring as planned, 24% of employers are continuing to hire “but with more caution”.
With one of the most detailed reports of the Irish early careers market, the UL findings reflect the views and experiences of 269 employers who hired graduate and student interns in 2025, across a broad range of sections, organisation types, and regions.
While the graduate market remains relatively strong, it has become more selective and unpredictable.
With increased AI adoption, more employers are expecting graduates to demonstrate a practical understanding of AI tools. While AI used to be seen as an additional or specialist skill, it is now viewed by employers as a core capability.
UL’s Early Careers Employer Survey also found AI adoption in early career recruitment is gradually increasing. In 2026, 12% of organisations report musing AI tools in recruitment, up from 7% last year. A further 28% are considering future adoption, while 60% report no current use.
This suggests that while AI is still far from mainstream in graduate recruitment, interest is steadily growing.
Among organisations already using AI, the technology is primarily applied to earlier, efficiency-focused stages of recruitment. Candidate sourcing is the most common use (64%), followed by screening CVs and applications (32%) and interview scheduling (29%).
According to higher careers experts which took part in the report, the graduate market is recalibrating.
The experts have noted a static or declining graduate intake in certain sectors, such as technology and consulting. However, they also said application/hiring windows are shortening, and recruitment cycles are becoming less visible to students.
The result is a market that still offers opportunities but calls for earlier engagement, stronger awareness, and more proactive self-navigating on the part of students.
Meanwhile, the latest IrishJobs hiring trends report found two-thirds of employers believe the skills needed in their industry are rapidly evolving.
According to the research, nearly half of employers plan to increase hiring in the second half of the year, with 83% of recruiters saying that hiring is now more focused on specific roles.
In the first half of the year, almost 40% of employers increased recruitment levels in the first half of the year.
Some 56% of employers in the IT and telecoms sector increased hiring over the last six months, despite recent high profile job cuts in the sector. In May, social media giant Meta announced 350 jobs were being cut from its Irish workforce as part of a global round of job losses.
This came as Meta chief executive, Mark Zuckerbeg, has made AI the top priority of the company, to keep pace with his rivals, including Google and OpenAI.
In the Irish Department of Finance’s Economic Insights paper, a note highlighted that AI is widely touted as a potentially transformative technology that will have profound impacts on the economy, labour markets, and society.
According to their report, the Irish sectors with the highest concentration of jobs at risk from AI integration were financial services and information, and communication technologies.
The UL research found that more than a quarter of firms in Ireland are hiring for highly specialised roles in AI and machine learning.
According to country director of the Stepstone Group Ireland, with responsibility for IrishJobs, Christopher Paye, the labour market in Ireland remains resilient – despite ongoing economic uncertainty.
Mr Paye noted: “Rising labour costs and advances in AI are also reshaping workforce planning, prompting many employers to rebalance their hiring mix and focus on experienced talent with in-demand skills”.
Beyond an increased usage of AI, the Early Careers Employer Survey published by UL, also points out salary remains a key factor for graduates in their early career decision-making.
The report found 42% of employers are reporting increases in graduate salaries, however only 27%of employers include details of salary in their job descriptions.
Salary transparency remains relatively limited in graduate recruitment, while just 26% of employers report including salary details in graduate job advertisements, 74% do not.
According to the report, this represents a continued gap between employer practice and student expectations.
Previous student data shows that around half of students say they are less likely to apply for roles if salary information is not provided, which suggests transparency can influence application decisions.
Among employers who do not disclose salaries, the most common reason listed by 57% of them is that the topic is discussed later in the recruitment process.
Many organisations also said this is due to internal company policy (37%) or note that salary varies depending on the candidate or specific role (27%).
A small number of employers also highlighted decision not to share salaries are based on competitive sensitivities and wider sector norms of salaries not being typically advertised.
The report also highlights long recruitment timelines and increased competition, as 70% of employers reported issues regarding graduates accepting offers before declining later While this figure is slightly lower than the 73% reported in 2025, it remains significantly higher than the 61% recorded in 2024, suggesting the issue is no longer a short-term fluctuation but an ongoing feature of the graduate recruitment landscape.
While a lot of graduates refuse an offer after having received a higher salary elsewhere, relocation can also be a factor in their final decision.
According to some employers, lack of affordable housing, particularly in Cork and Dublin, frequently prompts graduates to reconsider an offer. Meanwhile, long commutes or a desire to stay closer to home also play a role.
According to the report, 70% of graduate opportunities are based in Ireland, with the East (25%), Mid-West (21%) and South-West (21%) emerging as the most common locations.
Meanwhile, 30% of graduate opportunities are international, led by Britain and the EU. Other destinations include North America, the Middle East, as well as Australia and New Zealand. A distribution which highlights strong regional demand and continued international mobility.
