When I started learning programming and working as a developer, there was little help available beyond good old Stack Overflow, a few YouTube tutorials, and the occasional colleague to ask.  But in just a few years, Claude Code and other AI tools are like electricity now—you don’t notice them until the moment they’re gone. So why would any company need to hire new developers?

Let’s take a look at how AI has changed software development, whether companies are still hiring, and what the job market looks like today.

How AI Is Changing Development Work

Companies have spent billions of dollars on developing AI with the promise that it will give substantial productivity gains and new income sources. Just Microsoft, Amazon, and Alphabet alone projected roughly $495 billion in 2026 capital expenditures, much of it tied to AI infrastructure.  

The reality is more complicated, and there is ongoing debate about whether AI revenues justify the enormous infrastructure costs.  

“Productivity gains from AI are appearing in many of the same fields where entry-level employment is starting to decline. Studies show productivity gains of 14% to 26% in [..] software development, with weaker or negative effects in tasks requiring more judgment.’

Stanford HAI 2026 AI Index (April 13, 2026)

While AI can generate code in seconds, it cannot be held accountable for the quality, security, or long-term maintainability of a product. 

Studies show that developers are shifting from being code producers to code reviewers and system designers. Instead of spending hours writing boilerplate code, developers spend more time validating AI-generated solutions, identifying edge cases, detecting security vulnerabilities, and ensuring that generated code aligns with business requirements .

This creates an interesting paradox. The more code AI generates, the more important human judgment becomes. A bug introduced by an AI assistant can affect thousands or even millions of users if it reaches production. As a result, organizations still need skilled developers who understand the underlying technologies and can distinguish between code that merely works and code that is reliable, secure, and maintainable.

Are companies still hiring?

The answer becomes clearer when we look at what AI is actually changing—and what it isn't. 

During the Covid boom, the demand for developers rose so much that hiring increased by 130% in early-mid 2022, compared with the pre-pandemic period. But like every boom, it eventually had to slow down. 

The decline began in late 2022, accelerating through 2023. By 2024, the hiring demand had dropped by about 70% from the 2022 peak. According to a Stanford study from April 2026, employment among U.S. developers aged 22 to 25 dropped by nearly 20% since 2024, while the number of older developers in the workforce continued to increase.

What this suggests is not the disappearance of programming jobs, but a shift in what entry into the field looks like. The work is not going away—it is moving up the skill ladder.

To wrap it up, no, programming jobs will not disappear, but the barrier to entry is higher than it was a few years ago. The question is no longer whether developers are needed. The question is what kind of developers companies need in an AI-assisted world.  

If you'd like to dive deeper into how AI is changing software development and what skills you should focus on learning, check out my other articles.

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