Young Graduates Looking For Opportunities May Not Fare So Well In The Current US Job Market

Although nearly 500,000 new positions opened up in July 2022 creating a strong job market, the unemployment rates seem to be still higher among recent graduates.

Many recent graduates claim that they are unable to find full-time roles, even several months after graduating. The job gains across the country might be strong, but the unemployment rate among recent graduates is higher than the national average for all workers. The unemployment rate for all US workers was scored at a percentage of 3.5% in June while that of the recent graduates was higher at 4.1%.

In a market where there are almost two job openings for one person, this 0.6 percent gap is a significant number. It is important that steps be taken to close this gap in order to battle inflation and economic growth.

According to the data, the national average unemployment has decreased to the delight of many US workers in the last few months. However, this number has risen for recent graduates. This is no new phenomenon. Even pre-pandemic, around 2018, a higher unemployment rate was observed for this demographic.

There could be a number of reasons behind this unfortunate occurrence. College graduates enter the job market and compete for opportunities shoulder-to-shoulder with all other experienced workers. The recent trend reflects how employers are eliminating degree requirements in their job descriptions in order to attract more talent.

Graduates have stopped being benefitted from degree requirements stated by employers. This could be a driving reason behind the spike in their unemployment rates since June, as found by the U.S Bureau of Labor Statistics.

The case is worse for recent graduates who are women of color. More women became unemployed during the pandemic months, and the rate of their job recovery isa low value. Although gender-based occupational segregation is lesser today than ever before, we can still observe some strong gendered differences in certain types of jobs. Race-based occupational segregation seems to not have decreased noticeably.

According to The International Labor Organization, young women have a much more difficult time finding work than young men. Even the starting salaries of young women are lower than those of male workers in similar positions. Equity pay seems more of a fantasy for young American women when we look at the current gender pay gap. As of 2022, an Asian woman worker in the US earns only 75 cents for every dollar made by a white, non-Hispanic man. Latinas receive only 49 cents, while Black women earn 58 cents. This is truly a sad scenario.

When a younger woman looks for employment, gender equity issues become more prominent. 67% of all student loan holders are women, while they also earn less. If you are unconcerned by this playout since you don’t belong in the demographic, you are wrong to do so. Because many women who do not receive equitable pay are more likely to be on social assistance programs. This means this money is coming from all taxpayers’ wallets. If the gender pay gap issue can be addressed, the US can definitely close the social security savings gap by a third.

Many experts suggest that recent graduates struggling with finding full-time employment should consider starting their own side hustle. It will give you some financial security while letting you add an impressive element that shows your initiative to your resume.

It is also advisable for you to take up online courses relevant to your field of study. This helps you gain professional skills, even though you are not employed. Your network is also an important thing that can factor in. Most of the time, people find wonderful opportunities, just by talking to their network and asking for help.