In a recent Handshake survey, 57 percent of participating college seniors said they “feel pessimistic about starting their careers.” Further, 68 percent are at least “somewhat stressed” about their futures, and 25 percent are “extremely stressed” according to Inside Higher Ed’s 2024 Student Voice survey. Current seniors’ predecessors, the class of 2024, were less worried about life after graduation, with only 49 percent agreeing that they felt pessimistic about starting their careers. Why is the class of 2025 so anxious about the future?
Only 45 percent of students deemed their college’s career-preparation methods “good” or “excellent.”For many current seniors, job prospects and job security are a major source of stress. Job competition was listed by roughly two-thirds of respondents as a contributor to their pessimism—and for good reason. Over the past year, the job market has shown signs of decline, with the unemployment rate reaching a three-year high of 4.3 percent this past summer. Recent data from the Bureau of Labor Statistics showed that, in March 2024, there were approximately “818,000 fewer jobs … than were initially reported,” implying that job growth this year has been slower than initially thought. These trends have been reflected on Handshake itself, where employers post jobs specifically targeted towards young undergraduates and graduates. According to the firm’s survey report, the number of jobs created on Handshake has decreased year-over-year; there are fewer openings for seniors now than there were a year ago. Given this decline in opportunities, it’s unsurprising that so many students are worried about starting their careers.
Aside from the competitiveness of the job market, members of the class of 2025 have other concerns weighing on their minds. AI has advanced rapidly over the last two years, and graduates are becoming increasingly aware of generative AI’s potential to take over their careers. Forty-five percent of students list genAI as one factor contributing to their stress about the future. Separately, the average college student graduates with nearly $30,000 in student-loan debt and takes an average of 20 years to pay it off. Unsurprisingly, 54 percent of current seniors graduating with loans consider them to be “a major source of stress,” with roughly two out of three believing that student-loan forgiveness “should be a top government priority.” Lastly, the current political climate is a source of stress for 45 percent of college seniors. Nearly half of the class of 2025 believe the 2024 election will “significantly influence the trajectory of [their] career”; they’re worried that the election, a new president, and new policies will negatively impact the economy and the job market.
The uncertainty brought about by the combination of these factors explains the class of 2025’s heightened anxiety about the future. Christine Cruzvergara, chief education strategy officer at Handshake, points out that “there’s already, naturally, anxiety when you’re a senior … much [more] when you’re hearing all of these other pieces buzzing around you.” She explains that colleges can help alleviate this stress by stepping up their career-preparation strategies for students. Although many attend college to launch their careers, only 68 percent of college-senior respondents believe their school “contributed to their ability to secure a well-paying job.” Further, only 45 percent of students deemed their school’s career-preparation methods “good (34%)” or “excellent (11%).”
By taking steps to bolster students’ confidence, colleges can help reduce pessimism.In light of the student concerns listed above, there are a few steps colleges can take to better prepare students for their careers. First, Cruzvergara recommends that college career centers research and provide students with job market data to “combat misinformation and encourage career decisions.” By giving students a better picture of the opportunities available to them, career centers can help students plan their career paths more concretely in the face of high job competition and rapidly changing political and economic climates.
Separately, colleges can prepare students for an AI-altered professional world by training undergraduates in genAI usage. With almost two out of three employers believing that applicants and employees should have “foundational knowledge” of this new technology, an applicant with a background in AI training is more valuable and thus more likely to get hired than one without AI experience. Further, for students who are worried that AI will replace their dream jobs, college career centers can teach students about alternative careers within desired industries or emerging opportunities to work with AI. These strategies and others can help students feel more secure about their career paths, reducing worries about finding a good job amidst widespread uncertainty. By taking steps to bolster students’ confidence about their careers, colleges can help reduce graduating seniors’ pessimism about the future.
Sophia Damian is a student at Wake Forest University and a 2024 Martin Center intern.
This article was originally published at www.jamesgmartin.center
