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Title

41% of Recent Grads Work in Jobs Not Requiring a Degree

By

   [65]Elizabeth Redden
   February 18, 2020
   [66]Comments


   The unemployment rate for young college graduates exceeds that of the
   general population, and about 41 percent of recent college graduates --
   and 33.8 percent of all college graduates -- are underemployed in that
   they are working in jobs that don't require a college degree, according
   to [67]new data from the Federal Reserve Bank of New York.

   The December 2019 unemployment rate for individuals aged 22 to 27 with
   a bachelor’s degree or higher was, at 3.9 percent, slightly higher than
   the 3.6 percent unemployment rate for all workers between the ages of
   16 and 65. However, it was lower than the 6.5 percent unemployment rate
   for 22- to 27-year-olds without a four-year degree. The unemployment
   rate for all college graduates up to age 65 was 2.2 percent.

   "It's maybe a little bit counterintuitive, but it’s not particularly
   surprising and the numbers have been pretty consistent for years," said
   David Soo, the chief of staff at Jobs for the Future, a nonprofit
   organization focused on aligning educational and workforce needs to
   promote access to economic advancement. "It's just that young people
   coming out of school often need a couple of years to get a foothold in
   the labor market, and then you start to see their unemployment and
   underemployment numbers come down. An investment in college is still
   the best one out there."

   The New York Federal Reserve data also highlight varying unemployment
   and underemployment outcomes for recent college graduates by major, as
   summarized in [68]this chart. Recent graduates of programs in
   education, engineering and nursing have among the lowest unemployment
   and underemployment rates, while rates are much higher for recent
   graduates in many fields in the liberal arts and sciences and some
   professionally oriented fields. The field whose recent graduates have
   the highest rate of unemployment is mass media (7.8 percent), while the
   field whose recent graduates have the highest rate of underemployment
   is criminal justice (73.2 percent).

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