There’s good news and there’s bad news for the Class of 2015. The good news is, new college graduates are entering the best job market since the recession, and demand for skilled workers is up. The bad news is a recent study by Accenture found that more than 44% of new graduates will still be underemployed (having just part-time employment, or a job that does not require their degree), with 41% making less than $25,000 a year.
Underemployment has always been a fact of life for some, but in the past these entry-level jobs were typically better paid, according to this recent Slate article. “The last few years have seen not only a rising number of underemployed bachelor’s holders, but a rising number stuck in outright low-wage work.” Unfortunately, even when they do find a job suited to their degree, “those workers could still earn less than their peers for several years.”
The consequences cut across generational lines. A study cited in Money magazine found that about half of young Millennial graduates “expect to be financially dependent on their parents for two years after graduation,” with many moving back home. This “failure to launch” phenomenon is a direct result of years of tough economic conditions. Nearly a quarter of 25- to 34-year-olds lives with parents or grandparents now, compared to 11% in 1980.
Despite the bleak short-term picture, 2015’s graduates are prepared to make the best of it. Many of them attended community college for a year or two to minimize the student loan debt they’ll have to repay. 72% of them completed an internship or apprenticeship, with many of these leading to a job offer.
Mobile is shifting the job landscape for these newly-minted professionals very quickly. 64% of this Millennial graduating class has used or plans to use a mobile app to search or apply for a job, as opposed to just 36% of 2013 and 2014 grads. And new mentoring apps are making it easier for those just starting out in their careers, especially women, to find a mentor in their chosen profession.
If your audience includes Millenials, we can help you get to know them better and the role your service plays in their lives, like we did for connected-student platform Chegg and BookRenter.com. Contact us to learn more.