Two in every three (66%) global organisations expect to slow entry-level hiring over the next three years, while 91% report roles are already changing or disappearing due to AI.
The result is a widening skills gap and a growing challenge in building the next generation of leaders.
This is according to new research from IDC commissioned by Deel, in which a total of 5,500 business leaders participated.
The research spanned 22 markets worldwide, including Singapore. The data collection was undertaken in September 2025.
Among respondents, 4,911 came from enterprises of more than 500 employees. For Singapore, 250 respondents were involved and out of these, 224 are from enterprises of more than 500 employees.
The findings show that organisations aren’t standing still, with 67% are already investing in AI training programmes to upskill workers and future-proof their teams.
“AI is no longer emerging, it’s fully here,” said Nick Catino, global head of policy at Deel. “It’s reshaping how we work and how businesses operate. Entry-level jobs are changing, and the skills companies look for are too. Both workers and businesses need to adapt quickly. This isn’t about staying competitive, it’s about staying viable.
The impact of AI on the global workforce cannot be overstated. Nearly all organisations surveyed (99%) have implemented AI, and almost 70% have moved beyond pilots to full integration. But with AI taking over repetitive and knowledge-based tasks, there is more than job displacement at stake.
With the slowing of entry-level hiring, companies also face mounting challenges in talent development and leadership pipelines. Three-fourths 75% of Singaporean firms report growing difficulty recruiting and training future leaders due to the loss of entry-level learning pathways, much higher than the globally reported 71%.
Also, 70% of Singaporean firms say fewer on-the-job development opportunities now exist for junior employees.
Globally, media, retail, healthcare, professional services and logistics are the industries most affected by declining entry-level hiring.
To stay ahead, leading organisations are redesigning roles, reskilling teams and building a continuous learning culture to maintain a balance between productivity and people development.
The IDC research reveals that nine in ten organisations (91%) have experienced role changes or displacement, with one-third (34%) undergoing significant workforce restructuring to integrate AI.
As automation takes over routine tasks, companies are shifting human roles toward strategic oversight, AI systems management and creative problem-solving, signalling a fundamental redefinition of how work gets done.
New Zealand (53%), Argentina (53%) and the US (50%) report the highest levels of job displacement, where roles were removed entirely due to AI.
Among all Asian markets surveyed, Singapore reported the highest levels of job displacement at 48%. In contrast, only 11% of Chinese organisations reported displacement, the lowest among all surveyed markets.
China also leads in job redesign (79%) rather than elimination, reflecting robust national reskilling initiatives to adapt its workforce to the AI revolution.
