College graduates are facing the worst job market in a decade, revealing the devastating economic legacy left by failed liberal policies that prioritized government spending over real economic growth.
Story Highlights
- Youth unemployment hits 10.4% as college degrees lose their value for the first time in modern history.
- Class of 2025 graduates received fewer job offers despite submitting 67% more applications than the previous year.
- Only 30% of 2025 graduates secured full-time jobs in their field, down from already dismal previous years.
- Employers are replacing entry-level workers with AI, while persistent inflation crushes consumer spending.
Biden’s Economic Chickens Come Home to Roost
The numbers paint a stark picture of economic mismanagement. Youth unemployment stands at 10.4% for workers ages 16-24, more than double the overall rate. Goldman Sachs analysis confirms what many suspected: the “safety premium” of a college degree has shrunk to its smallest advantage in decades.
This represents a fundamental breakdown of the traditional pathway to middle-class prosperity that sustained American families for generations.
This is probably the worst job market for recent graduates and junior employees in a very long time
If you have a good job currently, you should cherish it. You are one of the lucky ones pic.twitter.com/n30l2OHQ2k
— Boring_Business (@BoringBiz_) September 22, 2025
The Great Degree Devaluation
Gad Levanon, chief economist at the Burning Glass Institute, delivered sobering news: “For the first time in modern history, a bachelor’s degree is no longer a reliable path to professional employment.”
The National Association of Colleges and Employers found that Class of 2025 graduates submitted an average of 10 job applications, compared to 6 for 2024 graduates, yet received fewer offers—0.78 versus 0.83. This represents a complete collapse of the higher education value proposition.
The Cengage Group survey reveals that only 30% of 2025 graduates secured full-time employment in their chosen fields.
Even more troubling, only 41% of 2024 graduates found relevant work after a full year of searching. These statistics expose how progressive policies focusing on degree production rather than economic fundamentals have failed an entire generation of young Americans.
Artificial Intelligence Displaces American Workers
Large corporations are systematically replacing entry-level positions with artificial intelligence systems, prioritizing cost-cutting over American job creation. This trend accelerated under policies that encouraged corporate consolidation while ignoring the needs of working families.
The combination of persistent inflation—a direct result of reckless government spending—and declining consumer purchasing power has created a perfect storm for young job seekers entering the workforce.
Oxford Economics warns this crisis represents “an enormous challenge for members of Gen Z who are just now entering the labor force.”
Anders Humlum from the University of Chicago suggests rising youth unemployment could signal an approaching recession, validating concerns about economic instability created by the previous administration’s fiscal irresponsibility.
Long-Term Economic Damage
Grace Zwemmer from Oxford Economics identified the true scope of this crisis: “Unemployment is rising and wage growth is declining for young adults, which could have a long-term scarring impact.”
When young workers cannot establish career foundations, it permanently damages their earning potential and widens income inequality. This economic scarring effect will plague these graduates for decades, representing a generational theft of opportunity.
Indeed’s Cory Stahle emphasized the broader implications: “These workers are a vital part of the labor market, and if they’re having a hard time, that means the economy could be having a hard time.”
The 2026 outlook appears even bleaker, with 51% of employers rating the job market for upcoming graduates as poor or fair—the highest pessimism since the 2020-21 pandemic disruption.
