The Challenging Job Market Americans Navigate Quote from UCONN Grad Michael Macaluso

Many recent college graduates receive no interview callbacks and face rejections, while older, experienced workers also struggle to find jobs in today’s polarized economy.

CBS News anchor, Ali Bauman interviewed 22-year-old, University of Connecticut graduate Michael Macaluso about his job prospects. Macaluso majored in Mechanical Engineering, but he hasn’t found a job in his field. He sent out nearly 200 applications to various companies. In the meantime, he has resorted to managing the pool in his hometown.

“I was told by a lot of people that I was going to get a job, right out of college,” Macaluso said. “Then, all of a sudden, there’s no jobs.”

Networking

On the other hand, Kaylin Tomlin was more fortunate to find employment after graduating from university. As a graduate of Stevens Institute of Technology, she interned with Verizon in her sophomore year. She was hired by Verizon right after she graduated.

“Something that is important with entry level jobs is the networking and the opportunities that you made from it,” Tomlin said.

According to the U.S Bureau of Labor Statistics, the unemployment rate for recent college graduates has exceeded the national unemployment rate. The unemployment rate for college graduates between the ages of 20-29 is 7.1% compared to the national average of 4.1%. The staggering gap between these two demographics accounts for various factors which range from AI’s rise in the job market to companies’ elimination of entry level positions. Such factors could play a role in the high unemployment among college graduates, but there are others that were more fortunate to find work after university. How do their trajectories conflict or even confirm the difficulties their peers face in the job market?

Other Americans’ difficulties in finding work

Within the past year, Americans, of various ages and backgrounds, have experienced difficulties in finding a job. Many of these people were laid off due to the Trump administration’s laying off federal workers. Others have been applying to various jobs and not heard back from employers. Despite the experience and accolades of these job seekers, it hasn’t landed them a job. Especially a job with a decent salary, benefits, and sustains their lifestyle.

Despite the unemployment rate decreasing from 4.2% to 4.1% and the economy adding 147,000 jobs last month, there is uncertainty about the impact of President Trump’s trade policies on Americans. Much of the gains in jobs were in healthcare, leisure, hospitality, state, and local government. Hiring slowed in the private sector. 138,000 people dropped out of the job force.

On the other hand, tech, logistics, and finance companies are laying off employees at a rapid pace. There are hiring freezes and stagnant wages that inhibit job growth in these specific job sectors. There is also a lack of growth in job seekers.

Though there has been job growth, stagnation in the job market inhibits Americans’ ability to find work. The instability of the job market could impact Americans’ job security in the years to come.

Certain demographics are disproportionally impacted

Along with college graduates, African Americans have been affected by this situation. Despite being one of the most educated demographics, unemployment has risen among African American women since the past year. African American men are experiencing rising unemployment rates as well.

The unemployment rate for African American women increased from 5.1% in March 2025 to 5.8% in June 2025. These rates are higher than the national average of 4.1% and those of other races of women-White and Asian. At one point, their unemployment rate was 6.2% in May.

Labor Statistics

The U.S. Bureau of Labor Statistics showed that African American women experienced the largest job loss of any racial and gender group in April 2025. African American women lost 106,000 jobs while the economy added 170,000 jobs.

As for African American men, they faced a rapid unemployment rate jump from 5.2% in May to 6.9% in June. Their unemployment numbers are much higher than men of other races, but their employment rates haven’t wavered as much as African American women’s.

Over the past three months, it is reported that nearly 300,000 African American women have left the workforce. Another 518,000 African American women haven’t returned to the job market since the pandemic. The most accurate assessment of the unemployment rate for African American women is above 10%.

Changes in the Job Market: The Causes

The rise of AI has led to certain industries not hiring workers. Especially the inexperienced and college graduates. Many entry level jobs are being replaced by AI. As a result, many young people haven’t been able to find work.

Industries, such as finance, healthcare, retail, manufacturing, tech, and transportation, are hit the hardest by the AI revolution. AI is being used to fill in diagnostics and accelerate drug development in healthcare, facilitate customer support and detect fraud in financial services, utilize energy sustainability in manufacturing, and organizing materials in retail. Many companies utilize AI’s productivity to complete tasks quicker without human interference.

Tariffs

Many corporations and companies feel the pressure of the implementation of President Donald Trump’s tariffs would have on their funding and upkeep. There has been hiring freezes and pull back on hiring employees. Some companies have laid off workers, purely for financial reasons.

Amid this, those from marginalized groups, such as African Americans, have experienced the brunt of the ordeal. African Americans are known to be the last hired, but “first” to be fired. Systematic and economic racism has decimated the wealth and being of African Americans. Centuries of redlining, literacy tests, and policies that decimated African American’s ability to build wealth while their White counterparts prosper.   

According to a segment on MSNBC, Angela Hanks, Consumer Financial Protection Bureau FMR Associate Director, was assessed for her opinions.

“It is true that Black women get a higher level of Master’s degrees, bachelor’s degrees, terminal degrees at the nocturnal level, etc,” Hanks said. “It often doesn’t relate to the earnings that we get when we go into the labor market.”

Hanks elaborated.

“Black women with a college degree often make less than their White counterparts that only have a high school degree. So, even with that additional education, which sometimes and oftentimes comes with costly student loans. We’re still not seeing that show up in Black women’s paycheck,” Hanks said.

In addition, President Trump’s cuts and lay-offs in the federal government disproportionally affected African American women. The Trump Administration’s crack down and abolishment of DEI put a dent in their employment numbers. From February to March 2025, these cuts accumulated in 266,000 jobs lost for Black women. African American women tend to work in the public sector and federal government, which ensured job stability and pay. These cuts have had a detrimental impact on African American women’s employment rates.

Other factors, include negative stereotypes, working minimum wage and low paying jobs, and hiring discriminations, contribute to African American women’s high unemployment rates.

The Counterargument

College graduates, like Kaylin Tomlin, have been fortunate to find work. Many of them contribute it to doing internships while in school and networking with employers. College students that did internships and networked were more likely to land a job after graduation. A study said that college students with internship experience were 12.6% to be invited to an interview by employers.

Also, college students that were trained by professors and career advisors were more able to obtain a group. The university that Kaylin Tomlin attends, Stevens Institute of Technology, is presided by Nariman Farvadin. He helps professors and students adjust to the changing job market by preparing them for the usage of AI. Not only this, but he also allows students to have resources to the skills and opportunities necessary for success in the job market.

Along with this, recent job claims show that less Americans are filling for unemployment benefits. Less layoffs and more people are being hired. The growing uncertainty among President Trump’s tariffs doesn’t dampen the slow, but steady progress being made in the job market.

Conclusion

Despite the progress made in the job market, much progress can be made to ensure that all Americans have access to a well-paying job. Many Americans, especially African American women, have dealt with policy changes and structures that prohibited further progress in the job market. While interning and networking in university does improve the likelihood of a job after graduation, it doesn’t account for the bulk of college graduates that have difficulty finding work. The changes brought on by the advent of AI and automation has hastened the demise of the traditional trajectory that workers faced in the job market. Will things improve? How will Americans adjust to this increasingly polarized yet changing job market? Only time will tell.