Despite an increase in on-campus hiring this year, less than half of graduates are expected to have a full-time job by the time they leave college. According to a recent study by Rutgers University, only 49% of graduates from 2009 to 2011 found a full-time job within a year of graduating, compared to 73% of students who completed school from 2006-2008. In addition, the U.S. Bureau of Labor reported that the unemployment rate for 20- to 24-year-olds was 6.4% in April of this year, compared to a total unemployment rate of 8.1%. Experts blame four major issues for graduates’ difficulties in starting their careers:
- The job market is still recovering—job figures for March and April both left much to be desired.
- There is fierce competition for jobs. Unfortunately, the newest graduating class has to compete for spots with young men and women who graduated in the last couple years. These individuals are still in search of entry-level jobs.
- Today’s students have substantial loans. Two-thirds of the class of 2010 graduated with student loans with an average debt of $25,250.
- Starter salaries are decreasing. Companies are realizing they can lower starting salaries and still attract top talent.
These four factors can make starting a career extremely challenging for recent graduates!