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KPMG Intern Pulse Survey: As AI Reshapes Entry-Level Work, Gen Z Prioritizes Career Growth and Critical Thinking

  • 76% say future career success will require both human skill and knowing how to direct AI well
  • Yet their top concern about AI is that over-reliance limits critical thinking (43%), so they're guarding the human skills that set them apart
  • They say the most valuable way they learned during their internship was through people: direct coaching (57%) beats every other method
August 4, 2026

NEW YORK, August 4, 2026 – While AI reshapes work, Gen Z interns are laser focused on career growth, ranking it as the No. 1 most important factor when choosing a full-time employer, ahead of workplace culture, work-life balance, salary, and staying ahead of new technology, according to a new survey from KPMG LLP, the U.S. audit, tax, and advisory firm.

Their ambition runs deep: 93% express at least some interest in reaching the C-suite or a senior executive role. They're also clear-eyed about the role AI will play in getting there. While 94% expect AI to automate or enhance over 20% of their future role and 88% believe their generation is ahead at using AI effectively, they identify critical thinking as the skill most likely to set entry-level employees apart over the next five years.

“You'd expect the most digitally native generation we've ever hired to say the technology is their edge. Instead, they're telling us that critical thinking, judgment, and communication are what will set them apart,” said Derek Thomas, National Partner-in-Charge, University Talent Acquisition at KPMG U.S. “For organizations, the challenge isn't simply teaching people how to use AI. It's creating opportunities for employees to develop the human skills that are even more critical in the AI era.”

The sentiments of our summer interns echo a recent KPMG and University of Texas at Austin early-career field study, published in Harvard Business Review, which found that early-career AI success is shaped by more than just having foundational skills like critical thinking and domain knowledge. It also depends on how people use those skills to guide, evaluate and collaborate with AI.

In July 2026, KPMG surveyed 906 U.S. interns across the firm's Audit & Assurance, Tax, Advisory, and Business Process Group (BPG) functions to better understand their perspectives on career development, AI adoption, workplace relationships and long-term goals. Respondents overwhelmingly identify as Gen Z (99%), with a small subset of Millennials (1%).

Gen Z is deliberately protecting the human skills that AI can't build for them, starting with critical thinking.

THOMAS: “Gen Z sees the risk clearly. Lean on AI for all the thinking early on, and you never build the instincts that make you a strong employee. What's striking is that they're guarding those reps, the hands-on work that builds real human skills, because they know it's what turns an entry-level hire into someone worth developing and investing in.”

  • Their top concern about AI's impact on leadership development is over-reliance limiting critical thinking (43%), while only 5% cite job displacement as their primary reaction to AI agents.
  • When asked which skills matter most in an AI-agent-enabled workplace, critical thinking and problem-solving ranked first, followed by adaptability and continuous learning and interpersonal and communication skills.
  • Looking five years out, interns again put critical thinking at the top, followed by relationship building and communication.
  • 76% say future career success will require both human skill and knowing how to direct AI agents well.

Gen Z is leaning into AI in the workplace.

THOMAS: “There's a real energy here that's easy to miss under all the disruption headlines. This generation likes working with AI. It makes them more curious, more confident, and quicker to share what they learn. They're not bracing for the future of work, they're pulling it toward them.”

  • When AI finishes a task in seconds, their top reaction is motivation to learn more.
  • They're bullish on themselves: 72% say their internship made them better at working with AI agents, and 75% say AI has increased their confidence in a professional setting.
  • They share the wealth, too: As they used AI, 42% describe themselves as highly collaborative – actively trading prompts, workflows and lessons learned with peers.
  • Their mindset toward AI agents is overwhelmingly exploratory: 61% say their primary reaction is curiosity about how work will change.

Rather than using AI to cut corners, Gen Z uses it to reach higher-order work.

THOMAS: “Gen Z isn’t using AI to skip the hard part. They're using it to get to the hard part faster, the analysis, the framing, the tough calls. That's exactly how you'd want someone stepping into more senior roles to use the technology.”

  • Close to half (46%) say AI will make them more productive without changing their career trajectory and 31% believe AI will accelerate their career growth.
  • When asked what they thought the workplace would look like in 5 years, AI agents handling most routine work while humans focus on judgment and relationships (34%) and humans and AI agents working as collaborators (31%) were the most popular selections.
  • 53% say AI’s most enabling them to understand new topics faster, and 19% say it helps them produce work that feels more senior than their experience. Of note, only 1% say AI’s biggest value is to churn out polished work that lacks depth or original thinking.
  • 61% say AI success should be measured by the quality and effectiveness of work it produces; compared with just 2% who say by frequency of use.
  • 51% say they’d use AI more if their employer rewarded it, however, they remain cautious with 38% saying rewarding AI usage could create pressure to use it unnecessarily.
  • 64% say more than a quarter of their current assignments are AI-assisted.

They believe judgment is built through in-person experiences and interpersonal feedback, and no algorithm can replicate that.

THOMAS: “You build judgment in the room: watching how a partner handles a tough client call, getting feedback in real time, and learning from people who've done it. Our first digitally native generation is telling us the in-person stuff matters more than ever.”

  • Over half say direct coaching was the most valuable way they learned during their internship (57%), while AI-assisted learning ranked last at 3%.
  • Asked how universities could better prepare them for the workforce, interns selected more hands-on, real-world experience (44%) as the top response.
  • 53% believe AI will make workplaces less human, yet 59% believe managers and mentors become more important in an AI-driven workplace (only 9% say less important).
  • 48% say building relationships and speaking with others about opportunities and challenges is the single biggest value of being in the office, more than any other benefit.
  • Half (50%) said the most valuable outcome of KPMG Lakehouse was building meaningful relationships and networks for the future.

About the KPMG Summer Intern Pulse Survey

The KPMG Summer Intern Pulse Survey encompasses responses from 906 KPMG U.S. summer interns across the firm's Audit & Assurance, Tax, Advisory, and Business Process Group (BPG) functions. The survey was conducted in July 2026, and respondents primarily identify as Gen Z. KPMG offers paid internships to thousands of college and graduate students annually.

About KPMG LLP
KPMG LLP is the U.S. member firm of the KPMG global organization of independent member firms providing audit, tax and advisory services. The KPMG global organization operates in 138 countries and territories and has more than 276,000 people working in member firms around the world. Each KPMG firm is a legally distinct and separate entity and describes itself as such. KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its related entities do not provide services to clients.

KPMG is widely recognized for being a great place to work and build a career. Our people share a sense of purpose in the work we do, and a strong commitment to increasing access to education and opportunity, advancing mental health, and supporting community vitality. Learn more at www.kpmg.com/us.

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