Two-Thirds of Early Careers Teams Now Use AI; What Benefits and Challenges Can They Expect in 2026?

New research from ECO and The Smarty Train reveals that AI integration is bringing speed and scale to Early Careers processes, but not without consequences.

As Early Careers functions face mounting pressure to do more with less, artificial intelligence is fast becoming a critical tool. In just a year, the proportion of EC teams using AI in screening and assessment has jumped from 50%, marking one of the most significant technology shifts the function has seen in recent years.

And the impact is undeniable: AI is helping teams manage workloads that would have been unthinkable only a few years ago. Yet while the efficiency gains are clear, new data from the 2026 Early Careers Trends Report reveals that automation also brings a set of emerging challenges organisations must address to ensure that short-term efficiency does not come at the expense of long-term success.

What benefits and challenges is AI integration bringing to Early Careers?

Confidence in selection is rising:

Organisations using AI in their candidate screening were almost twice as likely to feel confident that their processes were finding the right candidates (43%) compared with those that use no AI (23%). This suggests that AI is bringing consistency and structure to early-stage decision-making, helping teams navigate large application pools with greater assurance.

Clear productivity gains:

Early Careers functions with some AI integration handled 23% more applications and made 24% more offers per recruitment team member than those without. These gains reflect AI’s growing role in taking on administrative tasks, enabling recruiters to manage higher volumes more efficiently.

A cautionary trade-off:

Despite clear operational advantages, functions using AI showed a 6.5% point lower third-year retention rate (66.5% vs. 73%). This raises important questions about the downstream impact of AI-driven processes: candidates may move more quickly through automated systems, but without deliberate human connection, they may feel less embedded once they join.

What are best-practice organisations doing to responsibly integrate AI in their processes?

Without deliberate design, AI adoption risks eroding the very outcomes Early Careers teams are built to deliver: impact, value, and retention. Here’s how some global organisations have already begun taking a considered approach to Early Careers AI integration:

• Combine AI processes with human judgement: AI offers clear strengths in streamlining early screening, identifying patterns and reducing administrative load. But it cannot replace the human factors that shape long-term success, such as context, potential and personal connection. Use AI to support the early stages of selection, while ensuring that later, more impactful decisions involve meaningful human interaction and conversation. Talk to our Early Careers Advisory Team about responsibly integrating AI into your processes.
  
  
• Track the impact beyond recruitment: Speed and cost savings are important, but they represent only part of the Early Careers value chain. Track how AI-enabled processes affect quality of hire, retention and the diversity of your intake. The true measure of AI’s impact is not just how many candidates you process, but how well those candidates stay, grow and perform over time. Find out how ECO can help you build robust data tracking processes.
  
  
• Train teams to use AI critically: Equip recruiters and Early Careers leaders with the skills to use AI tools responsibly and confidently. This includes training on how to interpret AI outputs, understanding potential biases, and ensuring transparency with candidates. Regular development ensures AI is used as an informed decision-support tool, rather than a default answer. Talk to our Solutions Team about Generative AI training for your leaders, function or teams.

Not sure where to start?

The data that informed the 2026 Early Careers Trends Report was collected from over 30 leading global organisations using TST’s Early Careers Optimiser (ECO) methodology. For more information on how ECO has helped organisations build data-driven, human-centred strategies for their Early Careers, talk to our data experts.

AI integration in Early Careers, while a pivotal trend, represents only part of the challenges facing Early Careers functions in 2026 and beyond. For a comprehensive understanding of all five trends shaping Early Careers, download the 2026 Early Career Trends Report, which includes additional insights, case studies, and actionable recommendations.