PwC study finds AI driving shift from degrees to trade schools

A PwC report reveals declining demand for university degrees in AI-automatable roles like software engineering and customer service, potentially reshaping higher education. According to Andrew Reece, chief AI scientist at BetterUp, a career coaching platform, this trend could lead to lower college enrollments and the emergence of specialized AI trade schools that teach students how to leverage artificial intelligence in their chosen careers.

What you should know: Traditional degree programs are losing relevance as AI transforms workforce requirements and makes certain university-acquired skills obsolete.

• Students are questioning the value of college as AI changes job market dynamics and makes academic cheating easier
• Skills like coding, previously requiring formal education, can now be displaced by emerging AI technologies
• Master’s degree programs, already experiencing declining enrollment, are expected to face additional pressure

The big picture: While specialized professions like medicine and law will still require traditional education pathways, many other fields may pivot toward AI-focused vocational training.

• Reece envisions AI vocational schools that teach students to apply artificial intelligence to their specific career interests
• These programs would replace traditional bachelor’s and master’s degree paths for certain professions
• The shift represents a fundamental rethinking of how professional skills are acquired and validated

Why this matters: Workforce development initiatives are pivoting away from technical task-based learning toward human-centered skills that complement AI capabilities.

• Future training programs may emphasize management and interpersonal communication skills rather than technical competencies like learning new coding languages
• This transition reflects a broader recognition that AI will handle routine tasks while humans focus on relationship management and strategic thinking
• The change could democratize access to career training by offering more targeted, practical alternatives to expensive degree programs