Obtaining employment after college is often difficult and the reasons for this are vast. Although some individuals fail to do their part, other times the situation is out of their control. Some graduates accept the first job they find without realizing the potential impact it may have on their future.
Across the world, more students than ever earn degrees each year. Class sizes are on a steady increase. Tuition prices share the same increase, but it fails to dissuade many high school graduates from entering college. Because of this significant increase, the primary reason why graduates find obtaining employment difficult is the sheer amount of competition. There is an incredible amount of graduates entering their fields each year.
From local economic issues to undervalued majors, there are many reasons why graduates struggle in their job search. Personal reasons aside, there are greater causes that face many students and recent graduates such as:
Little work experience
Few or no skills
Lack of follow up
Lack of communication skills
Uncertainty with major
Employment has not been a focus of economic policies in many countries but has been treated instead as a residual outcome of economic policies. Even where policy statements do promote employment, few actually promote youth-intensive growth.
The increasing young population in the world and its effect on youth market inflows (against the backdrop of limited job opportunities) – the youth population bulge – is often cited as a key cause of youth market challenges.
In empirical studies econometric analysis finds that the youth population share has a significant effect on youth unemployment finds that the ratio of youth to total population has a negative and statistically significant effect on youth employment. The rapid increase in the youth population would not be a concern if young people had the relevant skills to make them useful in the economic development process and if the economy had the capacity to absorb them. The youth force in India is growing faster than the rest of the world, which makes it harder to transform the structure of employment.
Human capital endowment – measured by education, skills and work experience – is considered to be the key determinant of the youth market success of individuals.
Youth experience greater formal work market challenges due to their lower level of education and work relevant skills. Low levels of educational attainment and skills are key obstacles to finding work by young people. Studies have also observed, however, that youth with higher education are more likely to be unemployed compared to the less educated. This finding is attributed to higher employment aspirations on the part of graduates (who hold strong preferences and find work in the informal sector unappealing); and to their greater resources, which gives them the ability to engage in extensive job search and to hold out for their ideal job (usually the formal, wage sector). This results in educated youth competing for few well-paying, formal jobs in the public sector – and often searching for employment for a long time without success.
In todays scenario youth who have passed out despite growing educational attainment, lack the skills and experience, as key barriers to youth work opportunities in various areas of the world. The education systems offer a curricula that fails to foster the skills required in the contemporary youth market (e.g. problem solving, communication, cooperation, leadership, critical thinking, creativity, interpersonal, computer literacy, vocational and entrepreneurial skills).