Graduates choose to go to college rather than go directly to the workforce for a number of reasons, whether it is studying in a specific field or obtaining the qualifications required for certain roles. But their motivation often boils down to one thing: landing a career in their chosen profession.
It seems to be in 2025 Those dreams collapsed.
according to St. Louis Federal Reserve Bank (Fred), the unemployment rate for college graduates with bachelor’s degree was 6.1% in May, starting from 4.4% a month ago.
Similarly, the peak unemployment rate last month between the ages of 20 and 24 and the unemployment rate for the same age group with a master’s degree or higher.
Fred reported that Gen gen gen is now at 7.2%, while those with college experience have an unemployment rate of 9.4%.
According to analysis Wall Street Journalthis photo is even more terrifying. Quoting micro data from the Ministry of Labor, WSJ Graduates are estimated to have unemployment at 6.6% over the past 12 months, the highest level in a decade, except for the pandemic spike.
The trend of increasing unemployment is different from that in other parts of the United States The unemployment rate is stable at 4.2% From April to May, the rates are only higher than those 12 months ago.
The graduates may not be surprised Whoever works in the entry-level land job tends to stay in itbecause of fear of being trapped in a stagnant market. Meanwhile, graduates who do not have roles find it It’s hard to get on the career ladder.
As researchers at Oxford Economics reflected in a study last month: “Those who specialize in, scientific and technical services are less likely to seek employment in different industries than their peers, although they are more likely to accept underemployed underemployed under-employment, and no more than 50% of workers in the same position are appointed as college graduates at work without a bachelor’s degree or higher job.”
Indeed, while some young potential workers are willing to take side steps to earn income, analysts suggest that ZZ graduates have more time than most: “The result is that the unemployment rate for recent college graduates will grow in the near future without these people’s surge in demand for technology companies or that these people seem to be different in mass travel for these people.
“Although these workers make up only 5% of the workforce, they play a huge role in driving the national unemployment rate.”
Alternative routes
Arguably, the data suggests that employers have not found the skills needed for new wear-out graduates, although many have thousands of dollars to pay tens of thousands of dollars to achieve their degree.
For example, JPMorgan CEO Jamie Dimon once ranked schools for education reform based on whether their students landed in schools rather than attending colleges.
“If you look at kids, they have to be educated to find a job. The point of too much education is to graduate from college… it should be at work. I think it should be a measure of school, do kids go out and get a good job?” Dimon told Indianapolis Wish-TV last year.
He added that the only way to college is also inaccurate, saying a 17-year-old bank teller can take home $40,000 a year.
Wall Street veteran Dimon also believes educators should focus on skills that will be stable for the rest of their lives For example, nutrition and financial literacy.
this JPMorgan Chase The boss is not alone. exist WSJ on-ed CEO last year titled “Not everyone needs a college degree” Home Depot and Walmart We, Ted Decker and John Furner, wrote: “For decades, young people have been told that achieving the American Dream requires a college degree… While a college degree is a valuable path to prosperity, it is not the only one.”
They added: “The American dream is not dead, but the pathways for job seekers today may be different from their parents. We owe the younger generation to open up our minds with different opportunities to learn new skills from workers and realize their dreams.”
