Seattle tech braces for AI workforce shake-up
Why it matters: Industry leaders say the next 12-18 months could bring seismic workforce changes as AI reshapes job expectations and recruiting playbooks.
Driving the news: Panelists who spoke July 29 at a Seattle Tech Week event warned that traditional job ladders — and the credentials that once almost guaranteed a shot at them — are losing relevance as companies chase versatile operators who can lead AI innovation.
What they're saying:"Everyone is chasing the same talent: the kind of builder who doesn't just code but shapes the intelligence behind the product," said Casium CEO Priyanka Kulkarni. "We're seeing the rise of multi-skilled builders."
Catch up quick: Amid heavy AI investment and warnings from execs that automation will shrink some roles, tech companies — including Microsoft, Amazon and Expedia — have laid off more than 22,000 workers this year, according to Tech Crunch.
This follows the loss of 150,000 tech jobs across 549 companies globally in 2024, per Layoffs.fyi, which tracks tech industry and federal government layoffs.
What's changing: Hiring is shifting from technical execution to critical thinking and tool fluency, said Derek Sessions, chief technology officer at Yoodli.
Coding tests are out. Employers are ditching whiteboard problems and take-home assignments in favor of AI-enabled interviews.
Tool judgment is also in. "I'm hiring someone to drive the tractor, not pull weeds," said Joe Heitzeberg, founder of AI Tinkerers.
Yes, but: Leaning on AI too early in a career can backfire for people who may then struggle to explain their work, said JoNelle Sood of Tripod Networking, who pointed out that internships are crucial for entry-level engineers.
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