First-time job seekers have a lot to think about. On the top of that list for many is how secure their first job will be. The first job market you enter as a new employee is important. According to the New York Times and research from the Federal Reserve Bank of New York, “Those first 10 years of work typically shape a person’s lifetime earning potential, with the bulk of earning growth happening early on.” No pressure, right? It’s no wonder new employees feel the need for job security right out of the gate. Here are some other reasons they seek stability.
The New York Times reports that inflation is at a 40-year high and that, “Job securities are sharpened by inflation.” Inflation has many effects on the economy and our job market. There is notoriously a decrease in job growth and an increase in the number of unemployed workers when inflation is high. Why? Because companies are impacted by the rising costs of goods and services, so they may put a halt on creating jobs or hiring. First-time job seekers feel this and crave security during times of high inflation.
Recent years of disruption.
All of the fallout from the pandemic is causing first-time job seekers to want some stability. Shutdowns caused disruption in their education and generally resulted in mental distress. The New York Times explains these recent years affected young job seekers because the “years of uncertainty and upheaval had left them feeling that they should freeze or delay the search for a dream job and focus on finding a secure one.” Many young people are still gauging how future opportunities will be impacted by the lasting fallout from the pandemic.
Witnessing layoffs in desirable roles.
Also in recent years, young job seekers have watched as top companies laid off tens of thousands of employees. The New York Times also reports that recently, Meta laid off over 11,000 people, Amazon about 10,000 employees, and Twitter over 3,000 workers. A young employee stated that these lay-offs have been a “reality check” and increased the desire to land a job with some security so this doesn’t happen to them.
While in more recent years, young employees tended to job hop, most still hope to stay at their new job for at least a year. All of the instability in our world and with the economy is driving young people to want something to count on. They’ve also grown to realize how important the jobs they have early in their career can be. For this reason, new job seekers might want to work for more established companies rather than a startup. As the job climate changes, so do the needs and desires of first-time job seekers.