Entry-Level Hiring Is Drying Up: How Grads Can Survive It
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The U.S. job market isn’t particularly inspiring right now, but it can feel especially discouraging for recent graduates.
Simply put, employers just aren’t looking for entry-level applicants like they used to be. Take your pick of evidence:
• The unemployment rate for college graduates ages 20 to 24 was 9.3% in August, the highest it’s been since 2021 (and excluding the pandemic period, the highest since 2014.)
• Entry-level job openings were down 35% between January 2023 and June of this year, according to labor research firm Revelio Labs.
• Only 30% of 2025 college graduates had secured full-time employment in their fields, down from 41% in 2024, according to a summer survey by Cengage, an online learning firm. Another 33% were unemployed and seeking work, up from 20% in 2024. And 26% were working in jobs unrelated to their degrees.
• Last year entry-level hiring in the technology sector fell to just 50% of pre-pandemic levels, according to venture capital firm SignalFire.
What is driving this squeeze, and how can graduates adapt?
It’s not just artificial intelligence, though that’s a biggie. Employers are increasingly likely to use AI rather than people. But also, when they look for people who can use AI in their work, it’s not necessarily in entry-level jobs. In fact, since 2023, the number of job openings in roles with high AI exposure (meaning a lot can be performed by AI) has fallen much more at the entry level than at higher levels, the Revelio study shows.
“For grads, the lesson is clear, learning to use AI tools isn’t optional,” Revelio Chief Economist Lisa Simon wrote when she released the research in August. “And for employers, the economics are compelling: overlooking AI at the entry level results in missed opportunities and underutilized talent.”
The job market is also tightening overall. The opaque economy has put a lid on hiring, and when budgets tighten and uncertainty is high, entry-level openings can be the first to go. And then there is a widening skills gap. Graduates often report they don’t have the job-specific skills they need for today’s workplace.
So what?
The runway for young people entering the workforce is changing quickly. If you’re a recent graduate or still in college, don’t count on a traditional path to your first job.
Some strategies to consider:
Learn AI. AI applications are everywhere. And AI isn’t going away. Even if having AI skills ends up becoming less relevant to your career choice, you’ll probably benefit from it in other areas of your life.
Pursue AI-resistant jobs. Roles that combine physical work, real-time problem solving, and situational specificity tend to be the least vulnerable to being replaced with AI.
• Resume Now, a resume building website, came up with this ranking of the 12 top AI-resistant entry-level jobs. (They also pay a median salary of at least $50,000 and are in fields expected to grow at least 5% faster than average through 2034.) Top on the list? Dental hygienist. Others include medical sonographer, electrician, and HVAC mechanic.
• The World Economic Forum predicts that over the next five years, the most growth will come from what it calls “frontline job roles” — gigs with hands-on or interpersonal requirements like farmworkers, delivery drivers, construction workers, and salespeople. Roles in teaching, nursing, and health care are also expected to grow significantly.
Consider a double major. Young people worried about finding a job are increasingly opting for two fields of study, which some research has linked to a lower likelihood of layoffs or pay cuts. In the 2023-2024 school year, 12% of graduates left school with more than one degree, compared to 6% ten years earlier, according to a Hechinger Report analysis of federal data.
Related Reading
Most Recent Graduates Can’t Find a Full-Time Job From Their Degree (Newsweek)
Young People Can’t Find Jobs. What Should They Do? (BBC)
AI and Your Job: Ranking the Careers Most and Least Impacted (SoFi)
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