Millions of young graduates, brimming with hope and ambition, step into the world with college degrees in hand. Yet, a new study paints a sobering picture: nearly half (52%) find themselves in jobs that don't require their hard-earned credentials. This widespread underemployment has lasting consequences on their earning potential and career trajectories.
The study, conducted by Burning Glass Institute and Strada Education Foundation, analyzed the resumes of over 10 million graduates who entered the workforce between 2012 and 2021. Their findings shatter conventional wisdom and spark a crucial dialogue about the value and purpose of a college education in the face of skyrocketing costs.
The research reveals a disturbing trend: many graduates are not equipped with the specific skills employers seek. This skills gap leaves them vulnerable to underemployment, hindering their progress and dampening their earning potential. Alexander Wolfe, a 2018 graduate with a degree in integrative studies, exemplifies this struggle. Despite his degree, he works security at a corporate facility, a career path far from his initial aspirations.
The study emphasizes the critical importance of the first job after graduation. Landing the right opportunity sets the tone for the future – a strong start can propel individuals towards fulfilling careers, while a misaligned job can lead to a cycle of underemployment. Joseph Fuller, a management professor at Harvard Business School, highlights this point, noting that early career choices can create a "pigeonhole effect," making it challenging to switch industries later.
While STEM degrees (science, technology, engineering, and math) are often touted as safe bets, the study reveals a nuanced picture. Nearly half of graduates in biology and biomedical sciences remain underemployed five years after graduation. The study emphasizes that underemployment often translates into "severely underemployed" positions, meaning jobs requiring only high school diplomas or less.
The research also shines a light on the powerful impact of internships. Students who secure internships during college significantly increase their chances of landing college-level jobs upon graduation. This holds true across various disciplines, with internships significantly reducing underemployment rates for humanities, psychology, and social sciences majors.
Leading institutions are recognizing the importance of internships and actively promoting them. Tufts University mandates at least 100 hours of internship experience for environmental studies majors, while Northeastern University boasts a remarkable 91% placement rate in jobs related to students' majors, largely due to its mandatory six-month internship program.
Brennan Bence, a recent graduate with a passion for tech and gaming, illustrates the value of internships. Despite his double major in theater and business, a lack of internship experience due to the pandemic hindered his initial job search. Now, he contemplates an MBA, highlighting the potentially drastic measures graduates might have to take to reset their careers due to underemployment.
