New grad unemployment hits record high

The traditional entry-level career ladder is broken as remote work and AI squeeze junior roles, leaving new graduates stranded even in a strong overall economy.

• –The graduate unemployment penalty began in early 2019, predating both the pandemic and the generative AI boom, signaling a deeper structural shift in hiring.
• –Remote work is a leading culprit, with employers hesitant to hire and train inexperienced staff who require significant hands-on mentoring.
• –Generative AI is directly impacting entry-level roles in highly exposed fields like computer science, where graduates have doubled while open junior positions have shrunk.
• –Despite the entry-level bottleneck, older college graduates remain highly employed, and the lifetime financial return on a degree continues to hold value.