Many supply chain companies are slowing or pausing entry-level hiring as they try to figure out how artificial intelligence will change the workforce. But Gartner says that strategy could create bigger problems over the next few years.
Speaking at the Gartner Supply Chain Symposium/Xpo in Orlando, analysts warned that companies pulling back on early-career hiring today could create talent shortages later.
According to Gartner, 75% of supply chain organizations that paused entry-level hiring in 2026 will end up paying more than 15% extra for early-career professionals by 2030.
“Many organizations are attempting to manage uncertainty today by pausing entry-level hiring, but they will face talent shortages for themselves in the near future,” said Simon Bailey, VP Analyst, Gartner. “AI is not a ‘plug and play’ replacement for people. Organizations that stop hiring, and fail to develop early-career professionals, will soon face talent pipeline gaps, employee dissatisfaction, and elevated hiring pay premiums, especially for AI-native talent.”
The comments come as many companies continue to experiment with generative AI and agentic AI tools across their supply chain. A Gartner survey of 509 supply chain leaders found that 55% expect entry-level hiring to decline because of advances in agentic AI.

