It was not great to be a college senior in the year 2021, but unlike the class before them, they have a little more to look forward to (mainly not moving back into their parent’s basements.) On the trail of the purported hiring boom, employers project hiring 7.2% more new college graduates from the Class of 2021 than they did from the Class of 2020.
This new report from the National Association of Colleges and Employers, predicts the job market will be better for the Class of 2021 for a myriad of reasons. However, the gradual suppression of COVID-19 cases appears to be the most impactful one.
“The rebound in hiring suggests optimism on the part of employers, fueled by expectations around the reopening of shuttered businesses, COVID-19 vaccine distribution, and the addition of jobs to the economy. While not at the pre-pandemic hiring levels seen in 2019, the overall increase does signal strong movement in a positive direction,” the authors wrote.
“Further evidence of the rallying job market for college graduates is evident in the individual hiring plans of respondents to this survey. Almost 30% of respondents now report that they will hire more new college graduates—up from 16.5% in the fall—and just 8% plan to decrease hiring, down significantly from 31% reporting such plans in the fall.”
Not only do new graduates have a better shot at securing gigs after graduation, but they’re also going to be making more money—on average, than their class of 2020 counterparts.
The average salary projection for the former is currently hovering around $72,173, which is more than a 5% increase from last year’s projected $67,411.
Employers surveyed for the new paper, appear to be enthusiastic about filling and maintaining positions throughout the year.
“Of course, this is due in large part to the greater need for technology in the new ‘virtual world’ we live and work in as a result of the Covid-19 pandemic,” NACE executive director Shawn VanDerziel said in a statement.\
Insiders contend that the medical industry, digital transformation, education, business development, and sales jobs are currently experiencing the biggest talent gains.
In a recent paper written by a financial expert, Jan Hatzius, it was reported that the US could return to the record job numbers recorded in the early—pre-pandemic—months of 2020 before the end of 2022.
Even industries disproportionately impacted by the pandemic appear to be enjoying employment gains as This may be the starkest in the hospitality industry.
The main reason that we expect a hiring boom this year is that reopening, fiscal stimulus, and pent-up savings should fuel very strong demand growth,” Hatzius writes.
“Another key reason we expect a quick labor market recovery is that two-thirds of remaining pandemic job losses are in highly virus-sensitive sectors, where employment should rebound as the economy fully reopens. The sharp increase in the virus-depressed leisure and hospitality category in the February employment report provided an early hint of things to come.”
“There were clear signs that restaurants had begun resuming activity after slowing in late 2020 and that came through in today’s report,” Citigroup economist Andrew Hollenhorst explains.
“The continued rise in seated dining activity suggests that this will continue to be a source of support for jobs in coming months.”