Jared, a Black data scientist in his 30s, has been unemployed for over 18 months after being laid off from his position at a financial-services company. Despite his experience and persistent efforts, he has been unable to secure a new role in the tech and finance industries, forcing him to make significant financial sacrifices including relocating his family, selling stock investments, and withdrawing from his 401(k) retirement savings.
The job market has dramatically shifted since Jared’s layoff. Monthly hires as a share of overall employment have been hovering at decade lows, excluding a temporary 2020 dip. The ratio of job openings to unemployed people has declined considerably over the past two years, and LinkedIn data shows hiring was down in July across 19 of 20 industries measured, including financial services, manufacturing, and healthcare.
Jared attributes his prolonged unemployment to several interconnected factors. He believes AI adoption has allowed companies to “operate a little leaner” with fewer employees, reducing available positions in his field. The tech industry, his primary focus, has experienced widespread layoffs and hiring freezes, creating intense competition for limited roles. He’s also competing against new graduates from top schools and candidates with advanced graduate degrees, which he lacks.
As a Black man, Jared suspects racial discrimination has played a role in his job search difficulties. He noted an ironic shift from 2020, when companies actively sought to hire Black candidates following George Floyd’s murder and the subsequent corporate diversity initiatives. “In 2020, everybody wanted to hire me because I was Black,” he said, wondering if other people of color hired during that period were also disproportionately laid off recently. Black men continue to face employment disparities—as of July, only 81% of Black men aged 25-54 were working, compared to 87.5%-89.5% for white, Asian, and Hispanic/Latino men.
Jared has employed multiple strategies to improve his prospects, with direct referrals and recruiter relationships proving most effective for landing interviews. He’s leveraged his LinkedIn network extensively and maintained long-term relationships with recruiters. Over time, he’s become less selective, accepting that compensation levels have shifted lower and becoming more open to relocation opportunities he previously dismissed. Despite reaching final interview rounds for two positions recently, he remains unemployed and “foolishly hopeful” for responses from companies that have gone silent.
Key Quotes
A lot of roles now require advanced graduate degrees and even if they don’t, those are the people competing for these roles now.
Jared explains how credential inflation has intensified competition in the AI and data science job market, making it harder for experienced professionals without advanced degrees to compete, even when such degrees aren’t formally required.
In 2020, everybody wanted to hire me because I was Black. I wonder if other people of color hired during the 2020 hiring spree were also laid off in the last year or so.
Jared reflects on the dramatic shift in hiring practices following George Floyd’s murder, suggesting that diversity initiatives may have been reversed as companies adopted AI and reduced headcount, potentially disproportionately affecting minority workers.
I do feel like there are a lot of prejudices working against me but there’s nothing I can do to change the way the world works.
Jared expresses resignation about facing discrimination as a Black man interviewing primarily with Asian and white interviewers in tech and finance, highlighting persistent racial barriers in AI-adjacent industries.
Compensation has definitely shifted lower but it took me a long time to fully appreciate that.
Jared acknowledges how AI adoption and market changes have depressed salaries in data science and tech roles, forcing him to adjust his expectations after initially rejecting positions he considered underpaid.
Our Take
Jared’s story represents a troubling convergence of AI-driven workforce optimization and persistent racial inequality in tech. While AI proponents emphasize productivity gains, this case reveals the human cost: experienced professionals facing extended unemployment as companies discover they can accomplish more with fewer workers. The racial dimension is particularly concerning—it suggests that diversity progress made during 2020’s racial reckoning may be eroding as economic pressures and AI efficiency gains prompt companies to reduce headcount. The irony is stark: data scientists like Jared, who likely contributed to AI and automation initiatives, now find themselves displaced by the very technologies they helped develop. This raises fundamental questions about whether the AI industry has a responsibility to workers it displaces, and whether AI-driven efficiency gains are being achieved at the expense of hard-won diversity progress. The extended nature of Jared’s unemployment—18 months and counting—also challenges narratives about tech workers easily transitioning between roles.
Why This Matters
This story illuminates critical intersections between AI adoption, workforce displacement, and systemic inequality in the tech industry. Jared’s experience demonstrates how AI’s efficiency gains—enabling companies to operate with leaner workforces—directly impacts employment opportunities for skilled professionals, particularly in data science and tech roles.
The racial dimension adds urgency to discussions about AI’s role in perpetuating or exacerbating existing biases in hiring processes. While AI tools are often promoted as objective, Jared’s experience suggests the broader ecosystem of AI-driven business efficiency may disproportionately impact minority workers who benefited from recent diversity initiatives.
This case also highlights the volatility of tech employment in the AI era, where even experienced professionals face extended unemployment despite strong credentials. As companies increasingly leverage AI to reduce headcount, the competitive landscape intensifies, with implications for workforce planning, career stability, and the social contract between employers and skilled workers. The story serves as a cautionary tale about the human costs of AI-driven optimization and raises questions about whether diversity gains made in 2020 are being reversed as companies prioritize efficiency over inclusion.
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Source: https://www.businessinsider.com/millennial-cant-find-job-tech-blames-racial-discrimination-ai-2024-9