Unfortunately, that headline by itself tells a very misleading story for my students and your kids who are 2025 college graduates or are the upcoming graduating class of 2026!
Unemployment for recent grads (ages 22–27) has surged to 5.3-5.7% compared to 4.1% for the general population and just 3.25% for this same age group back in 2019 marking 2025 as the toughest job market for new grads since the pandemic. Will 2026 be much better? My own prognosis is only marginally, since there are structural forces which are having a much bigger impact than just the economy, and those require a new playbook for college and recently graduated job hunters.
Underemployment is equally alarming. The underemployment rate for recent college graduates rose to 42.5%-its highest level since 2020 according to the Federal Reserve Bank of New York. That means nearly half of recent graduates who do find work are taking jobs that don't require a college degree.
The application-to-offer ratio is collapsing. Members of the Class of 2025 submitted 50% more job applications on average than the Class of 2024. To put that very general comment into the reality of my personal perspective with my own 90 seniors in my various courses, on average, they submit 120 to 200 applications ending with only one to two actual offers.
The outlook for 2026 grads is no better. About 51% of employers rated the job market for this year's college seniors as poor or fair: the highest share since 2020-2021.
The old playbook was about polishing your resume. Resumes are a total waste of time! No one really reads them, and those that are "read" are first machine read providing an AI summary defining the structure of the words used and an interpretation of the jobs listed. All of that then results in a six to ten second quick read of your prized resume by the actual hiring manager; less time is spent by the initial reviewer.
What counts is how you are marketing the value you will bring, not just the history of what you've done.
In order to answer these questions a year ago, I wrote a free book, The Marketing of Me™ which is meant to be a how-to-guide for current students, recent alums and any of my older friends who are dealing with the new realities of a very different hiring environment.
You can register here!
Have a great day marketing yourself today!