Ten years ago, the biggest threat to tech jobs was outsourcing, and as a software developer, I worried about being replaced by an engineer working remotely in a developing country earning $5 an hour.
Today, even the $5-an-hour engineers are in danger of being replaced by AI.
Youth unemployment in Canada has risen to 13.8 per cent, according to recent government data. There are a number of reasons why the labour market is tough for these workers, who are among the most negatively affected by AI.
Meanwhile, companies are pouring billions into AI, hoping the boom in artificial intelligence will drive profits higher. Like it or not, AI is here to stay and there will continue to be layoffs as companies streamline operations to boost their earnings.
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How does this affect the Financial Independence, Retire Early (FIRE) movement, which is based on the notion that you can retire in your 30s and 40s by building a portfolio big enough to safely withdraw 4 per cent to meet your needs. The average Canadian household, which spends $76,750 a year, would need $1,918,750 invested to cover those expenses.
AI is a new threat to FIRE because jobs may disappear faster than young people can earn enough to save and invest their way to early retirement. So what would I tell 24-year-old me if I were about to graduate and get a job with a goal of reaching FIRE in the next decade?
In an interview with The Globe and Mail, Vivek Goel, president of The University of Waterloo (my alma mater) said: “We are seeing that there is a softening in the market for what might have been traditional entry-level jobs … But the roles aren’t vanishing – they’re changing.”
Let’s use the role of junior software developer as an example. In the past, being able to write code from scratch quickly and correctly was a highly-valued skill, but that skill is becoming obsolete. Now, junior developers are expected to act as more of a software architect, and skilfully command an army of AI-enhanced tools.
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Although the focus tends to be on the jobs lost because of AI, this overlooks the fact that AI doesn’t build itself. AI needs engineers to develop and fine-tune the large language models (LLMs) that power its intelligence. It needs data centres to be built to house the massive server farms that these LLMs run on. It needs a continuous supply of electricity, heating, and cooling to power those data centres. It needs cybersecurity experts to make sure that systems don’t get hacked. And all those needs create jobs.
In their annual Jobs on the Rise list for 2026, LinkedIn identified 15 job markets that are growing the fastest in Canada. Here are the top four: AI engineer, AI consultant/strategist, power systems engineer, and AI/machine-learning researcher.
Interestingly, not all AI-related jobs require a university degree. Data annotators, for example, help train LLMs on new information, and often don’t require a degree. Data centres need construction workers, electricians, plumbers, and HVAC specialists, which also don’t require a university education.
Gone are the days when taking an idea and turning it into a product required a team of developers, graphics/UX designers, and sales/marketing specialists. Now, individuals that leverage AI tools can do the work of multiple people with different skill sets, all by themselves.
The barrier of entry for entrepreneurs has never been lower because of AI, so if you see a problem in the world that you think you can solve, you can create a startup with a laptop and an AI subscription.
For a 24-year-old graduating today and starting their journey to FIRE, the one bright spot is today’s AI tools. It’s never been easier to be your own boss, rather than being at the mercy of one. As an entrepreneur, you can enjoy the benefits of remote work and geo-arbitrage – earning money from a high-income country while living in a low-expense country.
FIRE is more imperative than ever in the age of AI, because the job market is changing so quickly. When I started working, the idea of a job lasting for 25 years was laughable. Now, even a job that lasts five years is looking increasingly shaky.
And yes, you can achieve FIRE by getting AI-related jobs or building a business using AI, and then investing your savings from those jobs into index funds which passively pays you an income, so you are less and less dependent on your job.
Rather than just relying on one job until you’re 65, you are diversifying your risk across thousands of companies in the index, and participating in AI profits because AI companies are part of the index.
My advice to my 24-year-old self would be “don’t panic.” Pivot your skills, specialize in areas that will benefit from AI’s meteoric rise, and pursue FIRE as quickly as possible.
Kristy Shen and her partner Bryce Leung retired in their 30s and are authors of the books Quit Like a Millionaire and Parent Like a Millionaire (Without Being One).