Young Australians wary of AI despite strong skills

Research by Anyway, KPMG Australia and Microsoft found that 45% of young Australians say they have a strong understanding of artificial intelligence, but only 10% believe it will make it easier to get a job.

The survey of 1,029 Australians aged 15 to 24 points to a gap between growing familiarity with AI and confidence in using it at work.

That divide is most evident in job preparation. Only 34% said they felt highly confident explaining their use of AI in a job interview, even as employers increasingly seek workers who can use the technology in day-to-day tasks.

AI use was far more common in education than in work-related settings. Some 41% of young people said they use AI regularly for assignments and learning, compared with 15% who use it for work or career development.

Schools and universities may be contributing to that disconnect. More than a quarter of respondents, 27%, said their institution actively discourages AI use, limiting opportunities to build practical experience relevant to early-career roles.

Will Stubley, co-founder and co-chief executive officer of Anyway, said the findings revealed a divide between experimentation and application.

"It's great to see so many young Aussies trying out AI, but what we're seeing is they're not always being supported to actually apply that in a career context. There's a bit of a gap between learning and doing," he said.

"If we can bridge that and give young people the tools and guidance to turn those skills into something practical, that's where the real opportunity is."

Job concerns

The findings also show widespread anxiety about AI's effect on work. Nearly half of those surveyed, 49%, said AI makes them worried about their future.

Most respondents expected AI to reduce employment rather than expand it. Some 63% said they believe AI will eliminate jobs, while 35% think it will create jobs in equal measure.

Two-thirds said AI is already helping them overcome challenges, suggesting young people see direct value in the tools even as they remain cautious about what the technology may mean for the labour market.

Stubley said that concern could persist without clearer support during the transition from education to work.

"Fear will continue to own the narrative around AI unless industry and government work together to create clear career pathways and guidance for students during the school-work transition," he said.

Usage divide

The report found that patterns of AI use differ sharply by career path. Young people pursuing technology and institutional careers recorded the highest levels of regular use, both at 45%.

That compared with 39% among those interested in people-centred roles and 33% among those pursuing practical careers. Creative and cultural pathways recorded the lowest regular use, at 17%.

Career direction was a stronger divider than gender, geography or socio-economic background, although those factors still mattered. Rates of rare or non-use stood at 47% in rural areas and 52% among young people from low socio-economic backgrounds, compared with 35% in higher socio-economic groups.

Microsoft said AI skills should not be limited to those planning careers in technology-related fields.

"AI skills development shouldn't be limited to young Australians pursuing tech-adjacent careers. It's important that everyone, regardless of where they live or the path they choose, has the opportunity to build these skills. We're all on this journey together, and everyone should have access to the AI advantage. AI capability will be valuable across the entire workforce and is highly transferable across roles and careers," said Tim Allen, elevate skills director at Microsoft Australia and New Zealand.

KPMG Australia said employers are already building AI into graduate recruitment and training.

"Demand for AI capability is accelerating across Australia, with employers rapidly integrating AI training into graduate programs. Students who are already leveraging AI to learn faster and work smarter are positioning themselves ahead of the curve. The real challenge now is ensuring young Australians recognise AI not just as a disruption, but as a generational opportunity to step confidently into the future workforce," said John Munnelly, chief digital officer at KPMG Australia.