The tassel has been turned, the degree is in hand—but the job market isn’t welcoming the Class of 2025 with open arms.
Despite graduating with in-demand degrees in tech, business, or engineering, a growing number of recent grads are applying to hundreds of jobs with little to no response. Many are accepting retail roles or jobs outside their field—often earning less than they expected when they started college.
This is a systemic issue.
New grads are entering one of the toughest job markets in years. According to CNBC, the unemployment rate for recent college graduates is now 5.3%, compared to about 4% for the broader workforce, and the pace of hiring isn’t picking up: in July, employers added just 73,000 new jobs—the slowest pace since the pandemic.
Long-term unemployment is also on the rise. In July alone, the number of people out of work for more than 27 weeks jumped by 179,000, bringing the total to 1.8 million.
“Recent graduates are on the margin of the labor market,” said Jaison Abel, economist at the Federal Reserve Bank of New York. “They’re the first to feel it when hiring slows.”
– CNBC
In short, this economy is stable for those already employed—but deeply uncertain for those trying to get in the door.
Several key trends are working against job seekers:
Economic uncertainty: Federal spending cuts and global trade tensions (especially new U.S. tariffs) are making employers more cautious.
AI disruption: Automation is eliminating many entry-level roles, especially in fields like customer service, marketing, and software development.
Hiring freezes: Many firms are hitting pause on growth until economic conditions stabilize.
We’ve already covered how these shifts are affecting international students’ access to U.S. opportunities, as seen in our deep dive on the student visa pause. Now it’s clear that domestic graduates are feeling the pinch too.
Despite the headwinds, jobs are still out there, but companies are being selective—and looking for more than just a degree.
According to Walmart’s Chief People Officer Donna Morris, attitude is everything. A negative outlook, complaints, or the habit of shooting down ideas? Big red flags.
“Nobody wants a Debbie Downer,” Morris told CNBC. Instead, hiring managers want candidates who bring solutions—not just problems—and stay positive under pressure.
– CNBC
Ask yourself:
Are you someone people want on their team?
Are you proactive or reactive?
Do you bring calm, curiosity, and clarity to challenges?
In a shaky economy, reliability becomes a premium skill.
Meet your deadlines
Raise your hand for stretch projects
Deliver early if you can—and always follow through
The job market may be tight, but managers notice those who quietly deliver.
In a time when AI is changing job descriptions overnight, intellectual curiosity isn’t a soft skill—it’s survival.
Pick up skills in industry-specific software
Learn new AI tools that impact your field
Share insights or new approaches with your team
That kind of initiative gets remembered—and promoted.
Let’s be real: lower starting salaries, delayed job offers, and inconsistent gig work don’t just affect your résumé—they impact your wealth-building trajectory.
This is especially true when paired with rising student loan repayments. If you haven’t already, check out our breakdown of how the new federal student loan overhaul could cost you more.
Fewer job opportunities mean less financial independence, and for many Gen Z grads, that’s contributing to a rise in short-term thinking—especially when the future feels increasingly out of reach.
It’s something we explored in our recent report on Gen Z and financial planning, where we highlight the mental health cost of feeling like “success” is always just out of reach.
Yes, this job market is tough, but you’re not powerless. Employers are still hiring—just more carefully.
Bring optimism, not excuses.
Show up as a problem-solver, not a spectator.
Sharpen your skills and stay curious.
Keep building—even if the results are slow at first.
This economy rewards energy, initiative, and discipline. So don’t just wait for your shot—create it.
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