Gen Z Can’t Get A Job

Young people — especially college grads — face an extremely punishing job market.

The Big Picture: The pool of available jobs, especially those that require a college degree, is shrinking. Over 40% of college graduates in their early- to mid-20s are working jobs that don’t require a college degree, and one in five job seekers are long-term unemployed — and these problems are only getting worse.

Between the Lines: Gen Z’s unemployment problem has many causes.

• The rapid implementation of generative AI has slashed a huge number of entry-level and white-collar jobs.
• Older Americans are also staying at work longer, trapping young workers in expendable, entry-level positions where they may get fired before they can advance.
• The massive funding cuts implemented by DOGE and the Trump administration have forced hiring freezes and layoffs in government agencies, nonprofits, public health, and humanitarian work.
• Due to this instability and the aggressive tariffs, many fear a recession that could further chill hiring.
• Even internship postings for college students are down, making it harder for students to pivot these programs into post-grad employment.

Exit Interview: While some generations have faced similarly bleak prospects (like Gen X in the mid-70s and millennials in 2008), Gen Z’s high unemployment rate for graduates is new. And while DOGE is already reversing some of its cuts, the other forces destabilizing the job market don’t have clear solutions, leaving many young people with a cynical attitude about meritocracy and work.

Prediction: Expect Gen Z to shift their priorities even further away from an ambitious, pro-work culture that neither serves them nor rewards their efforts.