New York Fed research shows remote work explains 64% of the rise in unemployment among young college graduates since the pandemic. Firms hire fewer juniors for distributed teams because mentorship and feedback suffer at a distance. The effect holds even after controlling for AI exposure. Early career setbacks could scar earnings for years. (50 words)
The Financial Times reports that major banks and investment firms are rapidly integrating large language models into trading, research, and insurance operations, improving speed and efficiency while reducing certain entry-level roles. This shift demands new skills in prompt engineering and verification, though challenges like hallucinations, bias, data quality, and regulatory scrutiny remain. Overall, AI is transforming financial services without replacing human judgment.
|
