For all fresh graduates (or even young working professionals) who are out in the market searching for a job in the midst of a recession, you might come with some very valid fears about your employability. In episode 6 of our podcast, we address this issue and rope in some personal stories to help you navigate this. Here’s a quick roundup of what was discussed!
The Effects of the 2008 Recession on Graduates (2:30)
- Canadian study: The recession negatively affected university students and graduates in 2008 in terms of job prospects.
- If you graduate in a recession, it will lead to losses in your earnings initially. These losses can go up to 9% of your annual earnings — not just for the next 5 years but even 10 years.
- The good news: someone can close that pay gap — through upskilling.
Why Is There a Pay Gap At All? (4:15)
- Those with lower skills suffer a lifelong pay gap — skills do play a huge role in one’s career.
- So why do graduates earn less during a recession anyway? Because graduates are forced to start careers with smaller companies that don’t pay as well.
- They can catch up in the end by job-hopping, to find better employers as the economy improves.
- The remaining pay gap can be closed up by building industry-specific skills.
- For those with more skills, the effects are short-lived; skills and experiences are tied to how much salary you’ll earn. (5:08)
Work On What You Can Control (8:20)
- If you guys can’t find a job right now, what you can do is to focus on upskilling — pick up a new skill or start a personal project.
- Designers and creatives can engage in freelance jobs and projects — it might not even be for the sake for a better job, but because it’s enjoyable
- Upskilling doesn’t have to be super boring or client-based, but something you’re really passionate about.
- Future employers will appreciate your passion projects — you’ll look like a candidate who really loves their work.
Want to hear more? Head on over to Episode 6 of Keep It Simple to hear the rest of this discussion!