In the nearly two years since our February 2022 report, career services have been reimagined at more colleges and universities. The initial “context for change” described by the World Economic Forum in its “Jobs Landscape” report of 2019 prompted innovations such as positioning career services within Advancement and employer partnerships with universities, including by alumni employers, to more effectively prepare career-ready graduates for their industries and professions.

As the evolution of career services has continued, additional forces have been influential. They include growing demands for higher education to prove its value, expansion of more non-degree “pathways” into the workforce, the explosion of AI in the workplace and development of career-placement apps that replace or supplement traditional career services.

This report updates the trends underway in career services and offers details about how universities are continuing to navigate this growing demand.

The World of Work is Changing

JOBS OF THE FUTURE

According to the World Economic Forum’s “Future of Jobs Report 2023” that looks ahead five years, businesses predict the strongest net job creation effect to be driven by investments that facilitate the green transition of businesses, with technological advancement to drive job growth in more than half of surveyed companies (803 total worldwide).[1]

In addition:

  • More than 75% of companies anticipate technology adoption, big data, cloud computing and AI, including an increase in digital platforms and apps, e-commerce and digital trade.
  • Big data analytics, climate change and environmental management technologies, as well as encryption and cybersecurity, are expected to be the biggest drivers of job growth.
  • Overall, the survey anticipates a net decrease of 14 million jobs, or 2% of current employment; in addition, respondents have slowed their expectations for future automation and predict that 42% of business tasks will be automated by 2027.
  • Artificial intelligence is expected to increase job churn, with 50% of organizations expecting it to create job growth and 25% expecting job losses.

Thus, the fastest-growing jobs will be driven by technology, digitalization and sustainability. AI and machine learning specialists top the list of fast-growing jobs, followed by Sustainability Specialists,

Business Intelligence Analysts and Information Security Analysts, Renewable Energy Engineers and Solar Energy Installation and System Engineers.

  • Large-scale growth is also expected in education, agriculture and digital commerce and trade – leading to millions of jobs for vocational education and university teachers as well as digitally enabled roles (e-commerce, digital transformation and digital marketing/strategy specialists).
  • The largest losses are expected in administrative and traditional security, factory and commerce roles.
  • Analytic and creative thinking and other cognitive skills are growing in importance most quickly due to the complex problem-solving required in the workplace. Technology literacy is the third-fastest growing core skill; also important are socio-emotional attitudes of curiosity and lifelong learning; resilience and flexibility; motivation and self-awareness; systems thinking, AI and big data, talent management and customer service also are in the top 10 most important skills for workers.
  • Companies say they cannot provide all the upskilling necessary and are concerned about skills gaps and the inability to attract top talent in the next 5 years, thus opening the doors for specialists in talent management and training.

Supporting this data is another study by the McKinsey Global Institute suggesting that by 2030, automation could require a significant percentage of the workforce to switch careers and acquire new skills.[2]

AI’S UNKNOWN IMPACTS

Despite the explosion of AI in society and the workplace, its full impact on the future of work is not year clear; that said, but most workers believe AI will affect their job, according to a global survey by the ADP Research Institute of 35,000 private sector workers in 18 countries. Those who are more confident that AI will help them every day also say they have the skills to advance their careers, indicating they feel well-prepared as they enter the workforce.[3] 

Another report by LinkedIn says that already 75% of knowledge workers incorporate AI into their daily routines and that AI-related hiring has surged by 323% over the past eight years. Globally the proportion of women in AI roles is growing, though slowly – about 27% of those with AI engineering skills were women in 2023.[4]

For universities and employers, the question is also whether graduates are prepared for the right jobs, given that AI’s impacts will be far-reaching. Or, as another McKinsey report states, there is a tremendous need to reimagine the talent and skill strategies for AI’s ever-increasing expansion.[5] This not only means for new graduates, but it opens doors for more programs in continuous learning and for developing skills that are complementary to AI.[6]

Several of the traditional roles in financial services, transportation and logistics and even medical technologists are most vulnerable to AI automation – and this will have impacts on university curricula. While AI may create risks to certain jobs it also creates new opportunities – e.g., for creative professionals who rely on uniquely human creativity and emotional intelligence, healthcare providers who require empathy and capacity for complexity decision making, teachers/educators who need interpersonal skills that are difficult to automate and business strategists/leaders whose strategic decision necessitate human judgment and adaptability.

Substantial Demand by Students for ROI

Framing the careers innovations is the ongoing debate about “whether college is worth it.” At a time when the public has mixed views on the importance of having a college degree, economic outcomes for young adults without a degree are improving, according to the Pew Research Center. Nearly half of respondents to a Pew survey say it’s less important to have a four-year college degree today to obtain a well-paying job than it was 20 years ago, yet only 22% say the cost of getting a four-year college degree today is worth it even if someone has to take out loans.[7]

Meanwhile, a number of companies are making money by offering alternatives to college, or supplemental academic courses or programs, benefitting from the narrative that higher ed is too slow, too distant from the workplace and too ineffective to offer students what they need to find a good job, according to The Chronicle of Higher Education’s recent analysis.[8]

Such “alternative pathways” are increasingly in vogue among policy leaders eager to oppose the argument that higher education is “elitist” and worthy of support – versus non-college routes to a job. Abundant data demonstrate that people with a bachelor’s degree earn more than people with only a high school degree – 67% more, according to the Bureau of Labor Statistics [9] – and have other social, health and economic mobility benefits. Still, higher ed today remains under extraordinary pressure to “perform” to meet student, family and employer expectations. The value and adequacy of university career services often lie in the middle of that debate.

In addition, within universities, at least one new segment of students – graduate students in the arts and sciences – have increased their demands for career service programs. Traditionally their programs were targeted to university teaching and research, but increasingly their jobs are outside the academy. Science and engineering fields are expected to have robust postgraduation career prospects for Ph.Ds., while humanities and the arts are flattening. Navigating the changing workplace and potentially multiple jobs in an individual career requires such skills as creativity, emotional intelligence, critical thinking, coordinating with others, service orientation and negotiation. What’s more these jobs are often transdisciplinary and require higher-level skills and knowledge (e.g., generative AI, STEM, national infrastructure and healthcare).[10]

As a result, advising and mentoring in graduate education are in the spotlight. “Ensuring graduate students are prepared to be innovative problem-solvers and direct objective, original, and ethically sound research are at the core of good mentorship and supervision,” said Suzanne Ortega, president of the Council of Graduate Schools in a 2022 report. Graduate students are seeking curricular and co-curricular approaches to career development and work readiness, The Napa Group report also found. In interviews and focus groups, both graduate students and alumni who employ them expressed a strong desire for industry and alumni networking for career benefits. Among the most popular programs in many graduate schools are comprehensive services in professional development, such as the GradFUTURES program at Princeton University’s Graduate School.

A variety of research from NACE and other organizations has validated that students and employers both seek the same “professional development” attributes when making hiring decisions – such as leadership skills, teamwork, written and verbal communication skills, organization and entrepreneurial skills, diplomacy and creativity.

In addition, employers are looking for evidence that college graduates can, or with further development, be able to do the job. “…College graduates from the Class of 2025 entering the job market should highlight on their resumes the attributes and skills they developed in their classwork and through various experiential assignments,” stated NACE’s Job Outlook 2025 survey report. Written communication skills, initiative, strong work ethic and technical skills are important to at least 70% of the employer respondents, while more than two-thirds seek verbal communication skills, flexibility/adaptability and analytical/quantitative skills in the candidates they recruit. By indicating these skills in their resumes, students can further articulate their proficiency during a job interview.[11]

The Refocus on Career Services in Higher Education

Public universities especially are facing increasing pressure to improve student outcomes like wages and job placement. Employment rates and wages are higher for students with degrees, but underemployment remains a significant challenge. A recent report by the Association of Public & Landgrant Universities showed how APLU institutions are “Accelerating Career Readiness” through personalized career guidance, the use of technology, career-aligned student success efforts, hands-on experiential learning and strengthened partnerships with employers[12].

Among these important innovations:

  • Data analytics offering tailored advice and interventions, particularly students at risk of underemployment and unable to find positions that align with their skills and education levels.
  • Technological innovation such as AI-driven career platforms providing students with accessible, on-demand support as they write resumes, practice interviews or search for jobs by recommending exercises or resources to address their gaps.
  • Career success mobile apps giving students real-time job listings, application deadlines and other personalized notifications.
  • Career-aligned student success systems allowing institutions to track student outcomes, adjust programming and forecast job market trends.
  • Internships – including virtual internships often in partnership with global companies – and campus employment offering real-world experience before graduation. Virtual internships eliminate geographic barriers, allow students to work on real-world projects and collaborate with professionals from across the country and gain exposure in digital communication and collaboration tools.

Yet, challenges remain – including funding constraints, institutional inertia and gaps in employer engagements. Looking ahead, the report said, the further integration of AI, employer-driven curricula and digital credentialing have the potential to reshape career services entirely.

Other University Advances

A 2024 study by NACE, the Association of American Colleges and Universities (AAC&U) and SEE (the Society for Experiential Education) found that 80% of faculty participating in the study integrate career readiness and career information in their classes. In addition, NACE research in 2023 found that nearly three-quarters of colleges have implemented career readiness competencies on their campuses.

Other survey highlights:

  • Paid interns outperformed graduates who undertook unpaid internships or had no internship.
  • 84% of the 2024 class took part in some form of experiential learning, a strong jump from 71% in 2021.

The NACE survey in 2023 found 91% of respondents endorsed the value of their education – and that one of the key reasons was their sense of preparedness (“well” or “very well”) for the next step in their career. This message is increasingly heard by college and university leaders who are investing more resources into career services.

William & Mary’s five-year plan to help students “thrive from their first job to their last” was greeted by NACE as a “profound shift regarding the importance of career education at research universities” in a Washington Post article produced by The Hechinger Report[13]. No longer a “stepchild” of programs, career services is in the spotlight because “of what students want,” Ben Wildavsky, author of The Career Arts: Making the Most of College, Credentials, and Connections,” told The Post.

The report cited several other innovations:

  • Brown University Center for Career Exploration is a revamped modern new facility developed after a two-year planning process; it has double the number of advisers.
  • Ohio Wesleyan University’s “career catalysts” are coaches assigned to “career communities” of students with various majors.
  • At other schools – including Washington University in St. Louis and the University of St. Thomas in Minnesota – career advisers are assigned to separate colleges. “You have to design this in a way where students can’t avoid it,” said Kelli Armstrong, president of Salve Regina University in Rhode Island.

The stress associated with graduates getting jobs is pervasive across universities, and often has helped bring along skeptical faculty who do not see career preparation as part of their jobs. At the same time, satisfied alumni are more than twice as likely to support their alma maters financially if they believe their education led to their careers, according to another report by Hanover Research cited in The Post article.

Like W&M, career offices are being repositioned within institutions – directly in presidents’ offices (Grinnell College) or in other high administrative offices (the new Associate Vice Chancellor who heads an expanded career center at Washington University).[14]

Yet, there is more to be done. In an article about designing the future of career services for the NACE Journal in 2023, Hassan Akmal, executive director of Career and Professional Development at the University of San Diego and host of its Career Podcast, recommended several features of “a new playbook” and holistic transformation for career services:[15]

  • More listening the students to engage them career and life-design opportunities
  • Aligned mission between career services and the institution and career services and academic programs
  • Prominent location on campus and cross-functional teams of faculty, staff and students to bridge the gap between the classroom and real-world application
  • A supportive community within the career center for students and alumni, a hub for community-building and alumni mentorship programs
  • Design-thinking workshops, creative problem solving seminars and exposure to the arts to spark students’ capacity for creativity and imagination
  • Skill acquisition and upskilling through collaborations wit industry partners and accessible online learning platforms
  • Emphasis on helping students build confidence and skills that further develop their personal brand, transferable skills and skills of the future, emotional intelligence and preparation for a globalized workforce.

Resources:

[1] The Future of Jobs Report 2023 World Economic Forum, April 30, 2023 – https://www.weforum.org/publications/the-future-of-jobs-report-2023/digest/

[2] “22 Best Future Careers: In-demand Occupations for 2025-2075” – https://brianvanderwaal.com/best-future-careers

[3] “Most workers think AI will affect their jobs. They disagree on how.” By Ben Hanowell and Nela Richardson, PhD, ADP Research, June 10, 2024 – https://www.adpresearch.com/worker-sentiment-ai-impact/

[4] “2023 LinkedIn data on OECD.AI: Definitions for AI occupations are more specific, women in more AI jobs as career transitions to AI grow.” OECD.AI Policy Observatory, Oct. 24, 2024 – https://oecd.ai/en/wonk/2023-linkedin-data

[5] Gen AI’s next inflection point: From employee experimentation to organizational transformation, McKinsey & Co., August 2024 – https://www.mckinsey.com/capabilities/people-and-organizational-performance/our-insights/gen-ais-next-inflection-point-from-employee-experimentation-to-organizational-transformation

[6] What jobs are most at risk by AI? By Kieran Gilmurray, The AI Journal, Aug 22, 2024 – https://aijourn.com/what-jobs-are-most-at-risk-by-ai/

[7] Is College Worth It? Pew Research Center Report, May 23, 2024 – https://www.pewresearch.org/social-trends/2024/05/23/is-college-worth-it-2/

[8] “What’s Really Behind the View That Higher Ed Isn’t Worth it?” Scott Carlson, Chronicle of Higher Ed, Feb. 6, 2024 – https://www.chronicle.com/article/whats-really-behind-the-view-that-higher-ed-isnt-worth-it#:~:text=A%20number%20of%20companies%20are,to%20find%20a%20good%20job.

[9] Bureau of Labor Statistics, Aug. 29, 2024 – https://www.bls.gov/emp/chart-unemployment-earnings-education.htm

[10] Trends in Graduate Education, The Napa Group Research, March 2024.

[11] “What are employers looking for when reviewing college students’ resumes?” National Association of Colleges and Employers (NACE), Dec. 9, 2024 – https://naceweb.org/talent-acquisition/candidate-selection/what-are-employers-looking-for-when-reviewing-college-students-resumes

[12] “Accelerating Career Readiness: A report on career innovations at APLU institutions.” Association of Public & Landgrant Universities, November 2024 – https://www.aplu.org/wp-content/uploads/APLU_Accelerating-Career-Readiness.pdf

[13] “Colleges refocus on career services as students seek return on degrees,” The Washington Post, Nov. 24, 2023

[14] “College leaders refocus attention on their students’ top priority: Jobs after graduation,” by Jon Marcs, Nov. 24, 2023 – https://hechingerreport.org/college-leaders-refocus-attention-on-their-students-top-priority-jobs-after-graduation/

[15] “Designing the Future of Career Services,” by Hasan Akmal, NACE J:ournal, Fall 2023 – https://naceweb.org/career-development/trends-and-predictions/designing-the-future-of-career-services