Job Market for New College Grads
Source: usatoday.com
Many students recently earned diplomas, but face challenges finding jobs in their fields. Opportunities may be more limited due to factors like artificial intelligence and tariffs, according to Oxford Economics.
The U.S. Bureau of Labor Statistics reported 7.2 million job openings in March, similar to pre-pandemic levels. April's numbers will be available on June 3.
While the economy is still adding jobs, there are some warning signs. Initial jobless claims rose to 240,000 for the week ending May 24. Continued jobless claims are the highest since 2021. Nancy Vanden Houten from Oxford Economics noted that it's becoming harder for workers to find new jobs.
Economists have observed that fluctuating tariffs create uncertainty for businesses. Allison Shrivastava, an Indeed Hiring Lab economist, mentioned that new graduates face a murky job market, with many entry-level roles not aligning with graduates' aspirations.
According to Oxford Economics, college enrollment in computer system design and related tech fields increased over the past two decades. However, since 2022, positions in computer and mathematical sciences have been affected by the adoption of AI.
Before the pandemic, recent college graduates had lower unemployment rates. Since mid-2023, their unemployment rates have increased, contributing to the overall unemployment rate.
Health care programs also saw a surge in enrollment. Job opportunities in health care remain strong. Medical careers dominate Indeed's list of job postings with the highest growth since 2020.
Most unemployed recent graduates are actively searching for jobs, according to Oxford Economics. Shrivastava suggests exploring internships. Pharmacy roles are common on Indeed, due to licensing requirements, and other listings align with various college degrees.
Individuals with a bachelor’s degree typically earn $1 million more over their lifetimes than those with only a high school diploma, and $500,000 more than those with an associate degree. College-educated workers often fare better during economic downturns than those with less education, according to Oxford Economics.