MW These are the fastest-growing jobs for new college graduates - even in this low-hire market
By Venessa Wong
The post-inflation job market has been especially hard for new grads, but there are ways they can help themselves prepare for the search
College grads are entering the workforce at a disadvantage with "fewer internships, less work experience, and ultimately a harder time breaking into the labor market."
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This year's graduating class is entering a low-hire job market that, in the post-inflation era, has remained especially difficult for young, college-educated workers.
New data from the New York Federal Reserve shows that in the first three months of 2026, the unemployment rate for recent college graduates (ages 22 to 27) was 5.6%, which was higher than the rate for all workers with college degrees (3.1%) and higher than the average rate for all workers (4.2%).
Only young workers - all those aged 22 to 27, including those without college degrees - had a higher unemployment rate (7.2%) than recent college grads.
This was not always the case. Until 2018, recent college graduates typically had lower-than-average unemployment rates. Then, their rate began to mirror that of all workers until late 2021, when the jobless rate of young college grads started exceeding the average.
According to a 2025 Oxford Economics report, 85% of the rise in the unemployment rate since mid-2023 "is concentrated in new market entrants who can't find work." The advisory firm expects "the unemployment rate for recent college graduates will remain elevated in the near term without a surge in demand from tech companies or a mass exodus from the labor force by these individuals, both of which seem unlikely."
While some of it is due to companies investing in AI, making them more likely to "offset that cost by pulling back on hiring young talent, there are other factors at play too," Sneha Puri, an economist at Indeed, told MarketWatch. She attributed the trend to the combination of a structural shift toward AI investment, a "hangover" from the post-pandemic hiring boom, and young workers entering the workforce at a disadvantage with "fewer internships, less work experience and ultimately a harder time breaking into the labor market."
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Higher interest rates and economic uncertainty have slowed hiring, Kory Kantenga, head of economics at LinkedIn, told MarketWatch. "Rate hikes hit the very industries where graduates concentrate - technology, finance, and professional services such as law, accounting and consulting," where hiring remains 20% to 30% below its pre-pandemic pace, even after some stabilization in tech and finance, he said, citing LinkedIn data. "Overall, economic conditions are likely driving elevated unemployment among new graduates, while factors such as demographics and AI play a more limited role."
While experienced workers have been "protected" by low layoffs, recent graduates have suffered from a lack of turnover among more experienced workers, Kantenga said.
"Companies are navigating economic uncertainty and rising costs, which is pushing many to tighten their belts and slow hiring," according to recent LinkedIn research. Their data shows that from December 2025 to February 2026, the average seasonal adjusted hiring rate of U.S. entry-level workers decreased by 6% compared to the same period a year earlier.
Meanwhile, "many of the tasks that used to fall to entry-level employees - research, drafting, analysis, coordination - can now be accelerated by new tools" using AI, according to the LinkedIn report.
That's not just affecting new grads: Coinbase (COIN) announced Tuesday that it was cutting 14% of its workforce, especially middle managers, in part because of new efficiencies created by AI.
Handshake, a college-oriented job platform, also considers AI to be " just one of many factors influencing the early talent job market," although it noted in a report that many employers are now looking for AI familiarity, among other in-demand skills. According to Handshake's data, mentions of generative AI have increased five-fold in full-time job descriptions since 2023, and four-fold in internship descriptions.
Read more: The under-the-radar cities where new college grads can get good jobs - and even afford to buy a house
LinkedIn researchers identified some of the fastest-growing job titles for new graduates in 2026. They include:1. AI engineer2. Marketing coordinator3. Recruitment assistant4. Legal specialist5. Human-resources operations specialist6. Business development representative7. Partnerships associate8. Machine-learning engineer9. Loan officer10. Purchasing coordinator
They also noted the fastest growing industries for new grads:1. Tech information, and media2. Real estate3. Financial services4. Utilities5. Construction
"Fields with the lowest unemployment aren't necessarily the highest-paying or most glamorous. They're the ones with embedded pipelines," said Indeed's Puri. "Education majors get hired out of student teaching. Nursing grads get pulled from clinical rotations. The lesson for everyone else? Build your own pipeline. ...Get into rooms, internships and projects that can get you considered for a job that hasn't even been posted yet."
The grads who are struggling the most "are the ones entering open labor markets cold. The ones who succeed treat their last year of school like an extended job interview," Puri added.
Young job seekers benefit from prioritizing "projects, side hustles and practical experience that show you can build, adapt and solve problems - not just what you studied," Kantenga said.
Recent grads can also consider relocating. MarketWatch recently reported on the cities with the most opportunities and affordable cost of living for college grads, according to an analysis by job site Glassdoor and housing site Redfin. Washington, D.C. led the big cities, followed by Omaha, Neb., and Boston. Among midsize metro areas, New Orleans ranked on top, along with Palm Bay, Fla. Meanwhile, Wichita, Kan., Springfield, Ill., Santa Fe, N.M., and Panama City, Fla., were the top small metro areas.
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-Venessa Wong
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May 09, 2026 15:12 ET (19:12 GMT)
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