Companies haven’t stopped hiring, but they’re more cautious, according to the 2025 College Hiring Outlook Report
Every year, I tell my students in my business analytics class the same thing: “Don’t just apply for a job. Audition for it.” This advice seems particularly relevant this year. In today’s turbulent economy, companies are still hiring, but they’re doing it a bit more carefully. More places are offering candidates short-term work experiences like internships and co-op programs in order to evaluate them before making them full-time offers. This is just one of the findings of the 2025 College Hiring Outlook Report. This annual report tracks trends in the job market and offers valuable insights for both job seekers and employers. It is based on a national survey conducted in September 2024, with responses from 1,322 employers spanning all major industries and company sizes, from small firms to large enterprises. The survey looks at employer perspectives on entry-level hiring trends, skills demand and talent development strategies. I am a professor of information systems at Drexel University’s LeBow College of Business in Philadelphia, and I co-authored this report along with a team of colleagues at the Center for Career Readiness. Here’s what we found:
Employers are rethinking talent pipelines
Only 21% of the 1,322 employers we surveyed rated the current college hiring market as “excellent” or “very good,” which is a dramatic drop from 61% in 2023. This indicates that companies are becoming increasingly cautious about how they recruit and select new talent. While confidence in full-time hiring has declined, employers are not stepping away from hiring altogether. Instead, they’re shifting to paid and unpaid internships, co-ops and contract-to-hire roles as a less risky route to identify talent and “de-risk” full-time hiring. Employers we surveyed described internships as a cost-effective talent pipeline, and 70% told us they plan to maintain or increase their co-op and intern hiring in 2025. At a time when many companies are tightening their belts, hiring someone who’s already proved themselves saves on onboarding reduces turnover and minimizes potentially costly mishires. For job seekers, this makes every internship or short-term role more than a foot in the door. It’s an extended audition. Even with the general market looking unstable, interest in co-op and internship programs appears steady, especially among recent graduates facing fewer full-time opportunities. These programs aren’t just about trying out a job. They let employers see if a candidate shows initiative, good judgment and the ability to work well on a team, which we found are traits employers value even more than technical skills.
What employers want
We found that employers increasingly prioritize self-management skills like adaptability, ethical reasoning and communication over technical skills such as digital literacy and cybersecurity. Employers are paying attention to how candidates behave during internships, how they take feedback, and whether they bring the mindset needed to grow with the company. This reflects what I have observed in classrooms and in conversations with hiring managers: Credentials matter, but what truly sets candidates apart is how they present themselves and what they contribute to a company. Based on co-op and internship data we’ve collected at Drexel, however, many students continue to believe that technical proficiency is the key to getting a job. In my opinion, this disconnect reveals a critical gap in expectations: While students focus on hard skills to differentiate themselves, employers are looking for the human skills that indicate long-term potential, resilience and professionalism. This is especially true in the face of economic uncertainty and the ambiguous, fast-changing nature of today’s workplace.
Technology is changing how hiring happens
Employers also told us that artificial intelligence is now central to how both applicants and employers navigate the hiring process. Some companies are increasingly using AI-powered platforms to transform their hiring processes. For example, Children’s Hospital of Philadelphia uses platforms like HireVue to conduct asynchronous video interviews. HR-focused firms like Phenom and JJ Staffing Services also leverage technologies such as AI-based resume ranking, automated interview scheduling and one-way video assessments. Not only do these tools speed up the hiring process, but they also reshape how employers and candidates interact. In our survey, large employers said they are increasingly relying on AI tools like resume screeners and one-way video interviews to manage large numbers of job applicants. As a result, the candidate’s presence, clarity in communication and authenticity are being evaluated even before a human recruiter becomes involved. At the same time, job seekers are using generative AI tools to write cover letters, practice interviews or reformat resumes. These tools can help with preparation, but overreliance on them can backfire. Employers want authenticity, and many employers we surveyed mentioned they notice when applications seem overly robotic. In my experience as a professor, the key is teaching students to use AI to enhance their effort and not replace it. I encourage them to leverage AI tools but always emphasize that the final output and the impression it makes should reflect their own thinking and professionalism. The bottom line is that hiring is still a human decision, and the personal impression you make matters.
This isn’t just about new grads
While our research focuses on early-career hiring, these findings apply to other audiences as well, such as career changers, returning professionals and even mid-career workers. These workers are increasingly being evaluated on their adaptability, behavior and collaborative ability – not just their experience. Many companies now offer project-based assignments and trial roles that let them evaluate performance before making a permanent hire. At the same time, employers are investing in internal reskilling and upskilling programs. Reskilling refers to training workers for entirely new roles, often in response to job changes or automation, while upskilling means helping employees deepen their current skills to stay effective and advance in their existing roles. Our report indicates that approximately 88% of large companies now offer structured upskilling and reskilling programs. For job seekers and workers alike, staying competitive means taking the initiative and demonstrating a commitment to learning and growth.
Show up early, and show up well
So what can students, or anyone entering or reentering the workforce, do to prepare?
Start early. Don’t wait until senior year. First- and second-year internships are growing in importance.
Sharpen your soft skills. Communication, time management, problem-solving and ethical behavior are top priorities for employers.
Understand where work is happening. Over 50% of entry-level jobs are fully in-person. Only 4% are fully remote. Show up ready to engage.
Use AI strategically. It’s a useful tool for research and practice, not a shortcut to connection or clarity.
Stay curious. Most large employers now offer reskilling or upskilling opportunities – and they expect employees to take initiative.
One of the clearest takeaways from this year’s report is that hiring is no longer a one-time decision. It’s a performance process that often begins before an interview is even scheduled. Whether you’re still in school, transitioning in your career or returning to the workforce after a break, the same principle applies: Every opportunity is an audition. Treat it like one. Murugan Anandarajan, Professor of Decision Sciences and Management Information Systems, Drexel University This article is republished from The Conversation under a Creative Commons license. Read the original article.
Consider these ideas to blend function, comfort and style, and create a home office that inspires creativity and makes you want to sit down and get things done.
(Family Features) Hybrid schedules and remote work have become the norm for many people, which means a functional and inspiring workspace is more necessity than luxury. With the right setup – be it a dedicated room or a cozy corner – your space can boost productivity, spark creativity and make your workday more enjoyable. Consider these ideas to blend function, comfort and style, and create a home office that inspires creativity and makes you want to sit down and get things done. Focus on Comfort The desk and chair are the foundation of any home office. Be sure to build a setup that matches your work style by picking the right height desk (with the proper amount of storage and workspace to complete your tasks) and an adjustable chair with good lumbar support. If you’re at your computer most of the time during the day, an ergonomic keyboard and monitor stand can also make a comfortable difference. Create a Clutter-Free Work Zone Incorporating smart storage solutions like shelves, filing cabinets or baskets can help keep your workspace tidy and free of distracting clutter. Desk trays can keep small office supplies organized and within easy reach while maintaining a clean aesthetic. Add Personality with Decor Much like the rest of your home, your workspace should reflect your personality and style. Add artwork, decorative accents, plants or a photo wall to bring inspiration and freshness to your office and choose a color palette that promotes positivity and focus, such as soft blues, greens or neutrals. Layer Functional Lighting For optimal productivity, combine natural light with task and ambient lighting. If possible, position your desk near a window to capture natural light then supplement your space with a desk lamp for focused illumination and floor lamps, under-shelf lighting or wall sconces to add warmth and depth. Don’t Forget Acoustics Distracting noises can negatively impact focus. To absorb sound, use soft furnishings like rugs, upholstered chairs or curtains and consider a white noise machine if you need a more soothing work environment. Find more ideas to update every room in your house at eLivingtoday.com. Photo courtesy of Shutterstock SOURCE:eLivingtoday.com
When TV Talks About Gentrification and Shopping Local — and Where It Gets It Right (and Wrong)
A closer look at how the TV show The Neighborhood tackles gentrification and shopping local—and where the reality of online sales and small business survival is more complex.
In our continuing look at how entertainment—television, movies, and streaming shows—grapples with real-world issues, this time we turn our attention to gentrification and the often-repeated call to “shop local.” Once again, we examine how popular culture frames these conversations, this time through the CBS sitcom The Neighborhood and the episode “Welcome Back to What Used to Be the Neighborhood.”
A Familiar Story: When the Neighborhood Changes
In the episode, Calvin’s favorite longtime restaurant closes its doors and is replaced by a flashy new pet spa. To Calvin, the change symbolizes something much bigger than a single business closing—it represents the slow erosion of the neighborhood he knows and loves. In response, he launches a campaign urging friends and neighbors to buy local in order to protect small businesses from disappearing.
Emotionally, the episode hits home. Many communities across the country have watched beloved neighborhood institutions vanish, replaced by businesses that feel disconnected from the area’s history and culture. In that sense, The Neighborhood gets something very right: gentrification often shows up one storefront at a time.
Where Television Simplifies a Complicated Reality
But, as is often the case with television, the episode also simplifies a much more complex economic reality.
The show frames “shopping local” as a direct alternative to shopping online, subtly suggesting that online platforms are inherently harmful to small businesses. In real life, however, the line between “local” and “online” is no longer so clear.
Many local and small businesses now survive precisely because they sell online—through their own websites, through Amazon, or through other platforms that support independent sellers. For some, online sales are not a threat to local commerce; they are a lifeline.
Why Brick-and-Mortar Isn’t Always Sustainable
Rising costs are a major factor driving these changes. Commercial leases, insurance premiums, utilities, staffing costs, and local fees have all increased dramatically in many cities. For small business owners, keeping a physical storefront open can become financially impossible—even when customer support remains strong.
As a result, some businesses choose to close their brick-and-mortar locations while continuing to operate online. Others scale back to pop-ups, shared spaces, or hybrid models. These businesses may no longer have a traditional storefront, but they are still local—employing local workers, paying local taxes, and serving their communities in new ways.
The Real Issue Behind “Shop Local”
Where The Neighborhood succeeds is in capturing the emotional truth of gentrification: the sense of loss, displacement, and cultural change that comes with rising rents and shifting demographics.
Where it misses the mark is in suggesting that consumer choices alone—simply avoiding online shopping—can solve the problem.
The real challenges facing local and small businesses go far beyond individual buying habits. They include zoning policies, commercial rent practices, corporate consolidation, and economic systems that increasingly favor scale over community presence.
A Conversation Worth Having—Even If TV Can’t Finish It
The Neighborhood deserves credit for bringing these issues into mainstream conversation. It sparks discussion, even if it wraps a complicated topic in a sitcom-friendly moral lesson.
The reality is messier. Supporting local businesses today often means rethinking what “local” looks like in a digital economy—and recognizing that survival sometimes requires adaptation, not nostalgia.
At STM Daily News, our Local and Small Business coverage continues to explore these real-world dynamics beyond the TV screen, highlighting the challenges, innovations, and resilience of the businesses that keep communities alive—whether their doors are on Main Street or their storefronts live online.
📍 Read more Local and Small Business coverage at:STM Daily News
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Preparing Students: Automation, AI and societal economic changes are affecting the workforce and making a significant impact on the employment prospects of future generations. Consider this guidance to put students on the path toward greater earning potential and economic mobility in a rapidly changing economy.
(Family Features) Automation, AI and societal economic changes are affecting the workforce and making a significant impact on the employment prospects of future generations. More than one-third of today’s college graduates are “underemployed,” meaning they work jobs that don’t require a college degree and may pay less than a living wage, according to data from the Federal Reserve Bank of New York. At the same time, a World Economic Forum report explored how advances in AI are threatening to negatively impact access to entry-level and even mid-level jobs for millions of Americans. Looking ahead, research by Georgetown University indicates that by 2031, 70% of jobs will require education or training beyond high school. However, data from the National Center for Education Statistics indicate only one-third of high school graduates go on to complete a college degree with many of those being in fields that are not in high-earning, high-growth professions. These challenges are not lost on today’s students. In a survey by Junior Achievement and Citizens, 57% of teens reported AI has negatively impacted their career outlook, raising concerns about job replacement and the need for new skills. What’s more, a strong majority (87%) expect to earn extra income through side hustles, gig work or social media content creation. “To put students on the path toward greater earning potential and economic mobility in a rapidly changing economy, students need proactive education and exposure to transferable skills and competencies, such as creative and critical thinking, financial literacy, problem-solving, collaboration and career planning,” said Jack Harris, CEO, Junior Achievement. This assertion is consistent with findings from the Camber Collective. This social impact consulting group identified four key life experiences students can consider and explore that positively affect lifetime earnings, including:
Completing secondary education
Graduating with a degree in a high-paying field of study
Receiving mentorship during adolescence
Obtaining a first full-time job with opportunity for advancement
Students aiming to equip themselves with the skills and experience necessary for the future workforce can seek:
Learning opportunities that are designed with the future in mind. For example, learning experiences offered through Junior Achievement reflect the skills and competencies needed to promote economic mobility.
Internships or apprenticeships that provide hands-on experience and exposure to a career field that can’t be found in a textbook.
Volunteer or extracurricular roles that develop communication and leadership skills. Virtually every career field requires these soft skills for growth and greater earning potential.
Relationships that provide insight and connection. Networking with individuals who are already excelling in a chosen field, as well as peers who share similar aspirations, offers perspective from those who are where you wish to be and potentially opens future doors for employment.
Courses that offer introductory insight into a chosen career path. Local trade or technical schools and other training organizations may even offer certifications that align with a student’s area of interest.
To learn more about how students can pursue education for what’s next, visit JA.org. SOURCE: