Choosing the right college or university. Photo courtesy of Intelligent.com
Historically, the dominant narrative has been that getting a college degree is the clearest, most reliable path to employment for young professionals – but is that still the case?
A recent commentary from the Federal Reserve Bank of Cleveland, “Are Young College Graduates Losing Their Edge in the Job Market?” by Alexander Cline and Barış Kaymak has revealed that the job‑finding gap between college graduates and high school graduates has narrowed to its smallest point.
Pepperdine’s Maile Hetherington: “There is a hope and essentially an expectation that recent graduates will know how to use some of this new tech and know how to apply it to whatever industry they are in”
Considering the findings in this report, Poets&Quants spoke with Maile Hetherington, director of career opportunities at Pepperdine University, to unpack what this means for students, families, and employers. “This is the smallest gap we’ve seen since the ’70s,” she says.
After ten years with Pepperdine’s career center, she’s seen firsthand how students navigate the shifting terrain of early career life, and she’s not alarmed by the report. She still believes that a college degree is the way to go for anyone who isn’t set on pursuing a trade.
“I think the ROI in college is very strong,” she says, “but you don’t necessarily see that return automatically.”
THE KEY SKILLS EMPLOYERS ARE LOOKING FOR
In Hetherington’s eyes, despite the gap narrowing, a four‑year degree is still an extremely powerful engine for exploration, skill‑building, and social mobility. “College is an opportunity to explore careers, an opportunity to build personal and professional skills,” she explains.
Pepperdine is a part of the Association of Colleges and Employers, which surveys companies annually on the skills they value most. This means that the school has access to real-time data on what employers are looking for the most.
Hetherington says the association is showing heightened expectations for incoming employees, therefore Pepperdine is focusing on teaching their students eight core career competencies: communication, leadership, teamwork, equity and inclusion, career management, technology, professionalism, and critical thinking. Learning these skills are critical to giving students a competitive chance in today’s job market.
“Those are the foundational skills employers are looking for,” she says.
While many students develop these skills naturally throughout their college experience, she says it’s crucial for students to take initiative and intentionally strengthen any competencies where they feel less confident. Pepperdine has many resources to help them.
One competency that’s seemingly rising in importance is AI and data fluency.
“I do see that employers are looking for early career professionals to have some sort of AI fluency,” she notes. “There is a hope and essentially an expectation that recent graduates will know how to use some of this new tech and know how to apply it to whatever industry they are in.”
STANDING OUT IN THE JOB MARKET
How do business studnets showcase their skills in a market where the degree itself is no longer the differentiator? The main method, says Hetherington, is to start preparing early.
“Students who get engaged early on have more time to develop their skills, gain clarity about their own unique strengths and values,” she says. Early engagement also opens doors to mentors, alumni, and employers. These are the kinds of relationships that can easily shape career trajectories.
“I think early exposure to this all gives a competitive advantage to their post‑graduate plans,” she adds.
Hetherington adds that it’s crucial to keep tabs on recruiting timelines, which, in many industries, have moved to earlier points in the year.
“Having a general awareness and understanding of the timeline for the industry you’re interested in is a critical step to have more options and be better prepared,” says Hetherington.
OVERARCHING ADVICE FOR SUCCESS
When all is said and done, Hetherington believes the strongest path to early‑career success is to start exploring interests early, and to treat college as an active, hands-on experience.
“The students that position themselves for success are the ones that are really taking ownership of their experiences and using the resources that are available to them,” she says.
“I would recommend they start exploring their career interests early on so they understand the path they need to take to achieve their desired career,” she adds. “Come to the career center early on.”
Pepperdine even offers a dedicated career course which Hetherington says is a great way for students to lay the foundation for their career planning process.
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