College graduation ceremonies will soon begin around the US, marking the culmination of four hard years of undergraduate studies for new graduates. This also means droves of new job seekers will enter the market.
Since the 2007-2008 recession, much of the news for new job seekers has been bleak, with intermittent periods where the market rebounds.
But soon-to-be grads should be happy to learn that hiring is expected to go up this year, The Wall Street Journal reported.
Employers plan to hire 5.2% more recent graduates this year than in 2015, according to the National Association of Colleges and Employers.
While that’s down from the 11% increase that was estimated last fall, it still represents the best hiring figure for recent college graduates in nearly a decade.
In addition, 37% of employers plan to increase the starting salary for these recent grads.
While the availability of non-college jobs has been steadily increasing since 2009, the job postings for college jobs has been much less dramatic, even levelling off by 2013 and declining through mid-2014.
During the recession, both the unemployment and underemployment rates rose sharply. They continued to climb in the recession’s aftermath.
But starting around 2011, unemployment and underemployment diverged, with unemployment decreasing and underemployment increasing.
This movement suggested that while more college-educated job seekers found employment, they were undesirable jobs — and potentially ones that didn’t require the college degrees.
The increased appetite for hiring recent college grads, and indication that more companies are looking to increase compensation, should provide some optimism to the newest cohort of college graduates.