The Digester

China turns to AI to create jobs as employment pressure mounts

Mar 10th 2026

At the Two Sessions, labour minister Wang Xiaoping said Beijing will use AI and training policies to protect jobs as China faces record graduate inflows and a slower growth target for 2026.

  • Beijing says it can maintain employment stability over the next five years and is studying policies to harness AI to create new jobs and upgrade existing roles.
  • The government aims to create more than 12 million new urban jobs and keep unemployment around 5.5 percent in 2026.
  • A record 12.7 million university graduates are expected to enter the Chinese workforce in 2026.
  • China downgraded its 2026 GDP growth target to 4.5 to 5 percent, the lowest target since 1991.
  • Nationwide unemployment averaged 5.2 percent in 2025 while youth unemployment stood at 16.3 percent in January.
  • Authorities say 72 new occupations have been created recently and plan to support labour intensive sectors while expanding roles in the digital economy and high-end manufacturing.