This paper examines the "employability paradox" in Australian higher education amid rapid technological advancements, particularly artificial intelligence. It critiques the increasing emphasis on employability metrics as primary indicators of educational value, arguing that this approach risks undermining the broader purposes of higher education. The authors contend that aligning curricula with current industry needs is problematic given the volatility of the job market and the potential for widespread job disruption due to AI. Drawing on predictions from the IMF and McKinsey, the paper highlights the scale of impending workforce transformation. It advocates for a reassessment of universities' fundamental purpose, emphasizing the development of critical thinking, ethical reasoning, and adaptable skills over narrow job preparation. The study concludes by calling for a more holistic approach to higher education that balances practical skills with broader educational goals, preparing graduates to shape the future of work and society.