Gen Y: No jobs, lots of loans, grim future
http://www.msnbc.msn.com/id/38364681/ns/business-economy_at_a_crossroads/?GT1=43001
by Megan L. Thomas
msnbc.com contributor
updated 7/28/2010 8:36:50 AM ET
They are perhaps the best-educated generation ever, but they can’t find jobs. Many face staggering college loans and have moved back in with their parents. Even worse, their difficulty in getting careers launched could set them back financially for years.
The high unemployment rate among young Millennials can affect them financially and psychologically throughout their careers, according to a report by the Joint Economic Committee.
“The 'scarring effects' of prolonged unemployment can be devastating over a worker’s career,” according to the report. “Productivity, earnings and well-being can all suffer. In addition, unemployment can lead to a deterioration of skills and make securing future employment more difficult.”
Competing against older workers with years of experience has put many Millennials on the losing end of job interviews. And while that's typical of past recessions, the long-term unemployment characteristic of this cycle is forcing many older workers to seek jobs that would have gone to younger workers in the past.
Baby boomers also are delaying their retirement, adding to the competition. A quarter of workers postponed their retirement in the past year, with 33 percent of workers now expecting to retire after 65, according to aretirement survey by The Employment Benefit Research Institute.
If they do manage to get hired, younger employees are often the first to be fired in layoffs. And when Millennials do land a job, it probably won’t be as lucrative due to intense competition for jobs. That means that this generation’s potential earning power is likely to lag over the course of their careers.
No comments:
Post a Comment