With my college graduation looming, the prospect of getting a job is terrifying. Am I prepared for the real world filled with 9-5 days? Probably not but it’s reality.
Daunting is the state of the U.S. workforce. Unemployment for recent graduates stands at 5.2% in 2011, which is up from 2.4% in 2007. Figures like this are scary for people like myself who are about to graduate with almost $30,000 in student loan debt.
The Department of Education reported that 9.1% of the 4.1 million borrowers have defaulted on their student loans in the 2010 fiscal year. The report also stated that an average senior in the class of 2010 graduated with $25,250 in student loans.
What is especially scary about this sort of debt is that salaries of recent grads isn’t what it needs to be to effectively pay back student debt. The Wall Street Journal reported that on average the starting salary for bachelor degree recipients is only about $27,000. This figure is 10% less that what it was 5 years ago. Many resort to taking jobs that they are overqualified for.
The upside of the story is that the economic climate is slowly getting better. In fact, the National Association of Colleges and Employers (NACE) projects that the class of 2013 will see a 13% hike in employment.
With things looking up in the job market, hopefully graduation won’t be as scary as it seems.