AI Does Not Eliminate Engineering Jobs: Data Shows Resilience

What happened?

A report from SignalFire, a venture capital and data analytics firm, indicates that the proportion of engineers among new hires at tech companies has increased rather than decreased, despite widespread fears that artificial intelligence would replace these positions. According to data collected by SignalFire, which tracks over 700 million professional profiles, engineers accounted for 12% of new hires in 2025, up from 10% in 2020. This contradicts the dominant narrative that AI would leave engineers jobless. The report, covered by TechCrunch, highlights that this increase occurs in a context where tech sector layoffs have made headlines, but SignalFire's data shows that within new hires, the share of engineers has grown. The firm analyzes job postings and profiles in real time, providing an accurate view of the tech labor market.

Why is it important?

This finding challenges apocalyptic predictions about AI's impact on employment. While sectors like marketing or customer service have seen reductions, engineering shows resilience. The key reason is that AI not only automates tasks but creates new demands: the need to train models, integrate systems, ensure security, and scale infrastructure. Additionally, generative AI requires human oversight to avoid hallucinations and biases, increasing demand for specialized engineers. According to Indeed data, job postings for AI engineers surged 300% in 2024, supporting the trend observed by SignalFire. This implies that, far from reducing positions, AI is generating a new wave of opportunities for engineers with skills in machine learning, API integration, and maintenance of systems based on large language models.

What consequences will it have?

In the short term, tech companies will continue competing for engineering talent, keeping salaries high. A report from Levels.fyi indicates that software engineer salaries at companies like Google and Meta exceed $200,000 annually, and are expected to rise further. In the long term, a redefinition of roles is expected: engineers will need to acquire AI skills, but they will not be replaced. For readers, this means that training in engineering remains a safe bet, especially if complemented with AI knowledge. Startups offering tools for engineers (such as AI-powered development platforms) will have a competitive advantage. For example, companies like GitHub with Copilot have seen an increase in their user base, reflecting demand for AI-based coding assistants. Additionally, engineers who master these tools can increase their productivity and value in the labor market.

What should readers know?

SignalFire's data comes from its talent intelligence platform, which analyzes job postings and profiles in real time. It is important to note that the study focuses on tech companies, not the entire economy. Furthermore, resilience does not mean immunity: some more routine engineering roles (such as legacy code maintenance) could decline, but the overall trend is positive. Readers should consider that AI is a tool that increases engineer productivity, not a substitute. A 2023 McKinsey study estimated that AI could automate up to 60% of tasks in some jobs, but would also create new functions. In the case of engineers, repetitive tasks like writing boilerplate code can be automated, but system design, code review, and strategic decision-making remain human domains. Therefore, demand for high-skilled engineers will remain strong.

“AI is not killing engineering jobs; it's transforming them. The demand for engineers who understand AI has never been higher,” says a SignalFire spokesperson.

Historical context

This is not the first time technology has sparked fears of mass unemployment. During the Industrial Revolution, handloom weavers feared for their jobs, but new professions like machine operators and maintenance technicians emerged. In the digital age, automation of administrative processes did not eliminate accountants but shifted their focus toward analysis and consulting. With AI, the pattern repeats: repetitive tasks are automated, but creativity, critical judgment, and human oversight remain essential. A more recent example is the advent of spreadsheets in the 1980s, which many thought would end accountants' jobs but actually increased their productivity and created new specializations. Similarly, AI is transforming engineering, not eliminating it.

Comparison with previous events

In 2023, when ChatGPT burst onto the scene, many predicted the end of programmers. However, job postings for AI engineers surged 300% in 2024, according to Indeed data. The difference now is that generative AI is more integrated into workflows, but engineers are still needed to design, audit, and maintain these systems. Compared to the dot-com bubble, where demand for engineers fell after the crash, the current cycle is different because AI is driving structural, not speculative, demand. Moreover, unlike robotic process automation (RPA), which primarily affected administrative jobs, generative AI directly impacts knowledge work, but SignalFire's data shows that engineers are not only holding their own but gaining share in hiring.

Implications for companies and users

For companies, investing in AI training for their engineers is critical. A 2024 Gartner report recommends that companies allocate at least 20% of their training budget to AI skills. For end users, the resilience of engineering jobs means that tech products will continue to improve, as there is human talent behind every advance. Additionally, engineers who embrace AI can offer faster and more personalized solutions. For example, in customer service, AI chatbots are more effective when supervised by engineers who fine-tune the models. In summary, AI is not replacing engineers; it is elevating their strategic importance.