Gen Z Faces AI Job Crisis: From Radicalization to Hope in Nonprofit Solutions

by Marcus Liu - Business Editor
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Gen Z Faces AI Job Disruption: Ex-Meta Executive Launches Nonprofit to Bridge the Skills Gap

As artificial intelligence transforms the workplace at an unprecedented pace, recent college graduates and early-career workers are confronting a harsh reality: traditional pathways to employment are narrowing. Clara Shih, former head of business AI at Meta and Salesforce, has witnessed this shift firsthand and is responding with a latest initiative designed to equip Gen Z with the tools needed to thrive in an AI-driven economy.

Shih’s turning point came last fall when she observed Meta’s AI agents matching and even surpassing the performance of her top employees across multiple tasks. “In that moment I knew that nothing would ever be the same,” she told Fortune. “You experience radicalized in that moment when you see it working.” This experience, combined with growing concerns from friends and family about their children’s job prospects—despite elite educations—prompted her to take action.

Recognizing that conventional career advice and skill-building methods are too slow to keep pace with AI’s rapid advancement, Shih launched the New Work Foundation, a nonprofit organization supported by the consumer-facing brand Dear CC. The initiative aims to train young workers for a future where AI agents are integral to nearly every job.

“I realized that the only way to help people keep up with the pace of AI was to give them AI tools,” Shih explained. “Due to the fact that if you leverage the traditional ways…it’s just not fast enough to keep pace with how quickly AI is advancing.”

The foundation’s debut includes three free AI tools designed to address different aspects of the job search and career development process:

  • JobClaw: An open-source prototype (available on GitHub) that maps an individual’s strengths and interests to suitable roles, with plans for a broader consumer release.
  • Dear [CC]: A modern take on career advice columning, modeled after Dear Abby, offering profession-specific guidance on how AI is reshaping various fields.
  • Field Report: A tool to help recent college graduates identify the best job opportunities aligned with their academic majors.

Shih describes today’s job market as a “Tale of Two Cities”: those who are proficient in using AI agents have access to abundant opportunities, although those without such skills face the most challenging entry-level job market in decades. According to the New Work Foundation, citing Axios, young workers today are navigating the worst entry-level job market in 37 years.

This divide is further underscored by broader trends. A ZipRecruiter report noted that many Gen Z workers are reevaluating traditional corporate careers, exploring alternatives such as entrepreneurship, gig work, and trade schools in response to AI-related layoffs and stalled hiring.

Shih likewise addressed those who resist AI adoption on ethical grounds, saying: “While I admire their principle, I don’t think they’re doing themselves or society any favors. They’re the exact young people that I want being part of building these AI solutions.”

The initiative has already garnered support from notable figures, including former presidential candidate Andrew Yang, who joined the New Work Foundation as a founding adviser due to his long-standing focus on job displacement from automation.

As AI continues to reshape industries from finance to healthcare, Shih’s message is clear: the future of work is not about humans versus machines, but about humans who use machines effectively. Her goal is to ensure that Gen Z isn’t left behind in this transition—but instead leads it.


Key Takeaways

  • Clara Shih, former AI executive at Meta and Salesforce, launched the New Work Foundation to help Gen Z navigate AI-driven job market disruption.
  • The nonprofit offers three free AI tools—JobClaw, Dear [CC], and Field Report—to improve career readiness and job matching.
  • Shih cites AI agents outperforming top human employees as her “radicalizing” moment that inspired the initiative.
  • Today’s entry-level job market is the worst for young workers in 37 years, creating a growing divide between those with and without AI skills.
  • The foundation argues that AI proficiency is no longer optional—it’s essential for career resilience in the modern workforce.

Frequently Asked Questions

What is the New Work Foundation?

The New Work Foundation is a nonprofit organization launched by Clara Shih to help Gen Z workers prepare for careers in an AI-enabled workplace. It operates under the consumer-facing brand Dear CC and provides free AI-powered tools for career exploration and job searching.

Key Takeaways
Shih Foundation Meta
From Instagram — related to Shih, Foundation

What tools does the New Work Foundation offer?

The foundation currently offers three tools: JobClaw (matches skills to roles), Dear [CC] (AI-informed career advice), and Field Report (helps graduates find jobs related to their major). JobClaw is available as an open-source prototype on GitHub.

Why is Clara Shih focused on AI tools for job seekers?

Shih believes traditional career development methods are too slow to keep up with AI’s rapid progress. After seeing Meta’s AI agents match or exceed her top employees’ performance, she concluded that providing direct access to AI tools is the most effective way to future-proof young workers’ careers.

How awful is the job market for Gen Z right now?

According to the New Work Foundation and Axios, Gen Z is facing the worst entry-level job market in 37 years, marked by AI-driven layoffs, reduced hiring, and a growing opportunity gap between those skilled in AI use and those who are not.

The Gen Z Job Crisis is Unreal

Is the New Work Foundation affiliated with Meta or Salesforce?

No. While Clara Shih previously held leadership roles in AI at both Meta and Salesforce, she is no longer in those positions. She currently serves as an adviser to Meta but leads the New Work Foundation independently as a nonprofit initiative.

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