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Because of the potential value of a college degree over a worker's lifetime, investment in a college education is still worthwhile. College graduates need to realize, however, that not all college degrees are created equal.

Seekers Exceed Openings
    Similar to the results of previous BLS studies, the projections outlined above indicate that, between 1996 and 2006, there will be more college degree holders entering the labor force each year than the number of college-level job openings. An average of 1.38 million entrants will be met with approximately 1.13 million college-level job openings each year, a projected annual difference of about 250,000. The size of this difference remains almost unchanged from the previous 10-year period, as the number of both projected entrants and openings is expected to grow at approximately the same rate over the 1996-2006 period.

    The proportion of college graduates who do not find employment in college-level jobs - projected to be about 18 percent between 1996 and 2006 - will most likely work as sales representatives, first line supervisors, clerks, secretaries, service workers, farm managers, and as various production and blue-collar workers. As mentioned previously, many workers choose these positions because they offer desirable job characteristics. However, some college-educated workers in these positions would rather have the earnings, status, and other qualities typically associated with college-level jobs.

In a labor market with more college-educated entrants than college-level openings, recent college graduates are well-advised to carefully study the changing employment and earnings of the Nation's occupations and industries.

Degrees, Skills, and Jobs
    As the number of new college-educated entrants continues to exceed the available college-level jobs, the job market will continue to frustrate many college graduates. The level of frustration will vary widely based on major field of study, individual aptitude, personal circumstances, and geographic location. Applicants whose majors are in high demand, such as computer engineering, are likely to find jobs more easily and receive higher salaries than jobseekers with degrees in other fields, such as philosophy. Similarly, graduates looking for work in areas where the local economy is booming are likely to be more successful than those seeking work in economically depressed areas. More than ever, jobseekers need to become familiar with the job market in their chosen fields and tailor their skills to the requirements of employers.

    Because of the potential value of a college degree over a worker's lifetime, investment in a college education is still worthwhile. College graduates need to realize, however, that not all college degrees are created equal. An article by Frederic Pryor and David Schaffer in the July 1997 Monthly Labor Review, "Wages and the University Educated: A Paradox Resolved," underscores this point. The authors found that the labor market success of college-graduates is highly correlated with the skills college graduates bring to the workplace. Graduates with a high level of functional literacy - the ability to read, interpret documents, and perform quantitative calculations in real-life situations - were more likely to be employed in college-level jobs. In contrast, college-educated workers with low functional literacy were more likely to be employed in what were called "high school jobs." The researchers stressed the fact that functional literacy is learned and that success in the labor market is influenced by the efforts of each college graduate.

    In a labor market with more college-educated entrants than college-level openings, recent college graduates are well-advised to carefully study the changing employment and earnings of the Nation's occupations and industries. Although a detailed discussion of specific occupational growth is beyond the scope of this article, the above analysis points to major occupational groups that are expected to provide the most college-level openings between 1996 and 2006. More detailed information on working conditions, employment, training requirements, earnings, and job outlook for about 250 occupations, covering 6 of every 7 jobs in the economy, is in the 1998-99 Occupational Outlook Handbook. In addition, the 1998-99 Career Guide to Industries provides similar information from an industry perspective. These publications are found in most public libraries, career centers, and guidance counselors' offices. The Handbook is also accessible online at http://stats.bls.gov/ocohome.htm. As the quest for college-level jobs continues, these publications can help you get a step up on your competition - and there will be plenty of it.

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