Lessons Learned from MSNBC’s “Gen Y: No Jobs, Lots of Loans, Grim Future”
I just finished reading MSBNC.com‘s “Gen Y: No jobs, lots of loans, grim future” by Megan L. Thomas. Wow, it definitely paints a frightening picture! Let’s break the article down piece-by-piece, shall we?
Certainly the recession has hurt young workers badly. While the overall unemployment rate was 9.5 percent in June, it was 15.3 percent for those aged 20 to 24, compared with 7.8 percent for ages 35-44, 7.5 percent for ages 45-54 and 6.9 percent for those 55 and older.
This is certainly a true statement and one I wish the general public would pay more attention to. Everyone always says the baby boomers have been hit the hardest, but as you can see above, the impact on them has actually been the lowest among the age groups. Gen Y has more than double the unemployment rate.
Armed with an undergraduate degree in literary journalism from the University of California, Irvine, and experience from an internship, the 23-year-old [Michael] Barreto believed he had a better chance than many of his peers to find a job. But more than a year after graduation, Barreto is still struggling to find employment.
I’m actually really surprised the reporter who wrote this story even included Michael’s story. She of all people should know that one internship in journalism just won’t cut it. I hate to say that, but it’s the (sad, sad) truth.
The article goes on to say that Michael’s been working at a Panera Bread Co. since college. While this is exactly what he should be doing to make ends meet, it’s not all he should be doing. He should also be writing — even if it is for free. After all, he has $21,000 in federal loans. The sooner he gets a full-time job, the better.
The high unemployment rate among young Millennials can affect them financially and psychologically throughout their careers, according to a report by the Joint Economic Committee.
“The ‘scarring effects’ of prolonged unemployment can be devastating over a worker’s career,” according to the report. “Productivity, earnings and well-being can all suffer. In addition, unemployment can lead to a deterioration of skills and make securing future employment more difficult.”
This, unfortunately, is true. I know it’s not exactly the same scenario, but when I was laid off in June 2008, I took a low-paying job the following month — and have not been able to increase my salary since (despite stellar performance, if I do say so myself). Once you take a job that’s lower than your worth, it’s extremely hard to recover.
However, no one should let unemployment deteriorate their skills! I understand that it’s hard and depressing to be unemployed. (If you’re a regular reader here, you know about my mom’s situation.) But don’t let it beat you! Remaining positive and keeping up your skill set (and even gaining new skills) while unemployed are several surefire ways to be employed faster.
Jordan Hueseman, 25, accrued roughly $100,000 in student loans at the University of Denver earning a bachelor’s degree in international business and a master’s in business administration. On the job hunt, he found his graduate degree sometimes hindered more than it helped.
Again, true — for some industries. Thank goodness Michael doesn’t have a graduate degree. He’d be receiving the ol’ “you’re overqualified for this position” responses from employers. Although the article doesn’t detail Jordan’s ideal job, apparently his MBA has given him the same problems. I always tell students and recent graduates to carefully consider whether or not going to grad school immediately after completing their undergraduate studies is the best choice for them. If you’re going into law or medicine, it’s essential, of course. But don’t just use it as an escape from the “real world”!
Hueseman said that after one job application, he was told he should leave his degrees off his resume. Hueseman said he was tempted to follow the advice but couldn’t bring himself to do it.
Good for him! He shouldn’t drop it off his resume — for a couple of reasons. First, for himself, which he mentioned. Second, a background check will reveal his master’s degree. What if he receives an offer (pending a background check), which is then revoked because he “lied” (more like didn’t tell the whole story) or once again is viewed as “overqualified,” the label he was trying to escape in the first place?
Competing against older workers with years of experience has put many Millennials on the losing end of job interviews. And while that’s typical of past recessions, the long-term unemployment characteristic of this cycle is forcing many older workers to seek jobs that would have gone to younger workers in the past.
If the job is truly entry-level, employers doing this are being extremely short-sighted. Those older workers are going to jet the second they can, whereas they at least have the potential of retaining young professionals.
What did you think about this article? Do you have any additional comments to add? I personally wish Megan had told both sides of the story — there are Millennials getting jobs out there.
