The College Scam? Why 4 Million Gen Z Have "Worthless" Degrees and Zero Job Prospects
- Oscar Jones
- Mar 26
- 5 min read
A concerning phenomenon is unfolding across the globe: a growing cohort of Generation Z is disconnected from the traditional stepping stones of early adulthood. They are NEET – Not in Education, Employment, or Training.
In the United States, this translates to over 4.3 million young people seemingly adrift, while the United Kingdom saw its NEET numbers jump by over 100,000 in just the last year. Globally, estimates suggest roughly one in five Gen Zers fall into this category. Dismissing this trend as mere generational laziness ignores a complex web of systemic failures, including intense economic pressures, a crisis in higher education relevance, profound mental health challenges, and a rapidly evolving job market disrupted by technology. Experts argue this isn't just a youth problem; it's a societal crisis demanding urgent, multi-faceted intervention.
The Statistical Shadow: Quantifying the NEET Crisis
The NEET rate serves as a crucial indicator of youth vulnerability and potential long-term socio-economic marginalization. While the Fortune article highlighted striking US and UK figures, global data paints an even broader picture. According to the Organisation for Economic Co-operation and Development (OECD), youth NEET rates remain stubbornly high in many developed nations, often exacerbated by economic downturns and, more recently, the COVID-19 pandemic's lingering effects (Source 1).
These are not just statistics; they represent young individuals facing barriers ranging from lack of job opportunities and relevant skills to health issues or caregiving responsibilities. The longer young people remain NEET, the higher the risk of "scarring effects"—long-term negative impacts on their future earnings, employment stability, and overall well-being.
The rising trend suggests the existing support systems and transition pathways from education to work are fundamentally failing a significant portion of this generation.
Higher Education Under Fire: The "Worthless Degree" Debate and Economic Realities
Sharp criticism has been leveled against the very institutions meant to prepare young people for success. British commentator Peter Hitchens lambasted universities for churning out "worthless degrees" that offer little practical value, suggesting skilled trades offer a more "abundant and satisfying life."
While inflammatory, his comments tap into a genuine anxiety about the return on investment for higher education. The Federal Reserve Bank of New York regularly reports on graduate underemployment, finding that a significant percentage of recent college graduates are working in jobs that do not require a bachelor's degree (Source 2).
While specific majors fare differently (STEM and health fields typically see better immediate outcomes), many graduates in humanities, arts, and some social sciences struggle to find relevant, well-paying work soon after graduation.
This struggle is compounded by the crushing weight of student loan debt in countries like the U.S., which severely limits financial flexibility and increases pressure to take any job, regardless of fit or career prospects. Jeff Bulanda of Jobs for the Future (JFF) correctly notes the payoff of a four-year degree is "uneven and uncertain," challenging the long-held narrative that it's the only path.
While long-term studies, like those analyzed by Georgetown University's Center on Education and the Workforce, often still show a significant lifetime earnings premium for college graduates (Source 3), this long-term promise offers little comfort to young people facing immediate underemployment and debt. The "implicit promise" of economic security after graduation, as recruitment CEO Lewis Maleh stated, feels increasingly broken for many.
The Skilled Trades Imperative and Alternative Pathways
The critique of traditional degrees coincides with a documented and growing demand for skilled trade professionals. The U.S. Bureau of Labor Statistics (BLS) consistently projects strong job growth in fields like electricians, plumbers, wind turbine technicians, healthcare support roles, and various construction trades—often with competitive wages and pathways to entrepreneurship that don't require a four-year degree and its associated debt (Source 4).
Experts argue that these vocational pathways, along with robust apprenticeship and internship programs, need to be significantly elevated in visibility and accessibility. They offer practical skills directly applicable to in-demand jobs, yet often suffer from outdated stigmas or lack of adequate promotion within secondary education systems heavily biased towards college preparation. Revitalizing these pathways is crucial for providing viable alternatives and addressing critical labor shortages.
The Crushing Weight of Economic Uncertainty and Mental Health
Gen Z entered adulthood amidst significant economic turbulence. Soaring inflation on essentials like housing, transportation, and food creates immense pressure. Anecdotal reports cited by Fortune mention graduates turning down job offers due to unaffordable commutes or inability to buy work clothes – a stark indicator of how precarious finances are for many.
This economic anxiety intersects profoundly with a documented mental health crisis affecting this generation. Major surveys, such as Deloitte's 2023 Global Gen Z and Millennial Survey, consistently reveal high levels of stress and anxiety among Gen Z, often linked to financial concerns, the state of the world, and employment uncertainty (Source 5).
Poor mental health acts as a significant barrier, impacting motivation to search for jobs, ability to perform in interviews or work, and capacity to engage in education or training. Addressing the NEET crisis requires acknowledging and integrating mental health support as a core component of any intervention strategy.
Navigating the AI Revolution: The Shifting Skills Landscape
Layered onto these challenges is the rapid advancement of Artificial Intelligence. While AI promises productivity gains, it's also reshaping the job market, particularly for entry-level white-collar roles that traditionally served as stepping stones for recent graduates. Tasks involving data entry, basic analysis, customer service, and even content creation are increasingly being automated or augmented by AI.
Analysis from organizations like the World Economic Forum (WEF) in their "Future of Jobs" reports consistently highlights a shift in required skills, emphasizing critical thinking, creativity, emotional intelligence, technological literacy, and adaptability—skills that may not be adequately fostered by all educational programs (Source 6 - Example, specific report year can vary). This creates a potential "skills gap" where graduates possess credentials but lack the specific, evolving competencies employers now seek in an AI-integrated workplace, further contributing to hiring difficulties.
Forging a Path Forward: Systemic Solutions Needed
The confluence of these factors makes it clear that tackling the Gen Z NEET crisis requires more than superficial fixes. Blaming the individuals is unproductive; systemic change is essential. Experts like Bulanda and Maleh advocate for:
Revamped Career Guidance: Early, personalized, and realistic counseling that presents all viable pathways—college, trades, apprenticeships—with transparent data on costs, outcomes, and required skills.
Strengthened Education-Industry Links: Curricula must be more responsive to current and future labor market needs, developed in closer collaboration with employers.
Expansion of Work-Based Learning: Significantly increasing access to high-quality internships, apprenticeships, and co-op programs that provide practical experience and industry connections.
Integrated Mental Health Support: Embedding mental wellness resources within educational institutions and workforce development programs.
Focus on Future-Proof Skills: Deliberately cultivating adaptability, critical thinking, digital literacy, and socio-emotional skills alongside technical knowledge.
Addressing Affordability: Tackling the root causes of high education costs and exploring solutions for student debt relief and cost-of-living support for young workers/learners.
Conclusion: A Generation's Potential at Stake
The millions of Gen Zers currently classified as NEET represent not a failure of a generation, but a stark warning signal about the inadequacies of our current systems in preparing and supporting young people for the complexities of the 21st-century economy. Addressing this requires a concerted effort from educators, policymakers, employers, and communities to move beyond outdated paradigms, invest in diverse pathways, prioritize well-being, and rebuild the broken bridges between learning and earning. The challenge is immense, but failing to act risks squandering the immense potential of this generation and perpetuating cycles of disadvantage for years to come.
Sources (Examples based on the text):
OECD Data on Youth NEET Rates: https://data.oecd.org/youthinac/youth-not-in-employment-education-or-training-neet.htm
Federal Reserve Bank of New York - The Labor Market for Recent College Graduates: (Search for their latest report on this topic, e.g., https://www.newyorkfed.org/research/college-labor-market/index.html)
Georgetown University Center on Education and the Workforce - The College Payoff: (Search for their reports on ROI of education, e.g., https://cew.georgetown.edu/cew-reports/the-college-payoff/)
U.S. Bureau of Labor Statistics (BLS) - Occupational Outlook Handbook: https://www.bls.gov/ooh/ (Used to research specific trade projections)
Deloitte Global Gen Z and Millennial Survey: (Search for the latest annual survey report, e.g., https://www.deloitte.com/global/en/issues/work/content/genzmillennialsurvey.html)
World Economic Forum (WEF) - Future of Jobs Report: (Search for the latest report, e.g., https://www.weforum.org/reports/the-future-of-jobs-report-2023/)
Comments