New university graduates face high unemployment in the deterioration of the labor market

Graduates of modern universities They are strongly looking for their first job, but they face one important problem: the labor market is deteriorating.

Economic research from the Federal Reserve in New York indicated that the labor market is “declining significantly” in the first quarter of 2025, as they enter the workforce in obtaining the most difficult visits.

The Ministry of Labor stated that employers He added 139,000 jobs In May, while unemployment was fixed at 4.2 %. The unemployment rate for all university graduates was 2.7 %, but the rate of imaginations between the ages of 22 and 27 has jumped to 5.8 %, according to the Federal Reserve in New York. This is the highest reading since 2021.

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This rise in the unemployment rate among new graduates raises concerns about the strength of the wider labor market, according to researchers in the Oxford economy.

While we expect the impact of definitions, High inflationThe researchers said that the weakest demand leads to a decrease in employment of business and the layoffs of explicit workers in the coming months.

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They cited the slowdown in technology employment, along with increasing university graduates in the fields of computer science as the main cause of high unemployment between this age group.

Some normalization after increasing childhood after she played a worker. However, the researchers said that there are “signs that beginners situations are displaced through artificial intelligence at higher rates,” according to the Maya report.

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The researchers conclude the unemployment rate for new university graduates will remain raised in the short term unless there is an increase in demand from technology or collective migration from the workforce by these individuals. These scenarios “seem unlikely”, according to researchers.

“While these workers only represent about 5 % of the workforce, they played a major role in paying national unemployment,” the researchers said in the report.

Dr. Nathan Mondragon, chief innovation employee at Hirevue for AI and Human Resources Management, said the biggest challenge for job seekers not only finds jobs but stands out when applying in the very competitive market.

“With an excess of applicants for every open role, employers use systems that follow the applicants who move AI to liquidate the candidates before the person sees an appeal.”