Munich-based Ifo Institute said a June survey of more than 3,000 German companies deploying AI found about half expect wages for employees with under five years’ experience to fall over the next five years as AI adoption expands. Around 40% of firms expect pay declines for more experienced staff, while university-educated employees are markedly more likely to see pay gains than non-degree workers. Ifo researcher Anna Ruffert said AI’s impact will not be uniform, with formal qualifications and gr

2026-08-12

Munich-based Ifo Institute said a June survey of more than 3,000 German companies deploying AI found about half expect wages for employees with under five years’ experience to fall over the next five years as AI adoption expands. Around 40% of firms expect pay declines for more experienced staff, while university-educated employees are markedly more likely to see pay gains than non-degree workers. Ifo researcher Anna Ruffert said AI’s impact will not be uniform, with formal qualifications and greater experience more often linked to positive wage outcomes.