GRAD CRISIS: Unemployment SURGES to decade highs

https://www.youtube.com/watch?v=C48HAfOCqKI

The headline points to a real trend: recent college grads are facing a much tougher job market, with unemployment for recent graduates rising to about 5.7% in late 2025 and underemployment hitting 42.5%, the highest since 2020. Other reports show recent-grad unemployment climbing above the overall labor force and reaching decade-high territory in some measures, which helps explain the “grad crisis” framing.

What is driving it

Employers have slowed hiring, especially for entry-level roles, while fields that once absorbed lots of new graduates have cut back. Analysts also point to AI, skills mismatch, and weaker demand in some sectors as adding pressure on first-job seekers.

Why it matters

Recent grads are usually the first to feel a slowdown because they sit at the edge of the labor market and have less experience to buffer them. That means even in a broader economy that still looks stable, the people just entering the workforce can face unusually high unemployment and underemployment.