College pays — but not much for some majors

Recent college graduates who majored in psychology, social work or the arts earn a median income of $31,000, according to From Hard Times to Better Times, a new report from Georgetown’s Center on Education and the Workforce. The median salary of workers with only a high school diploma –including experienced workers — is $32,000.

New humanities and liberal arts graduates earn a median of $32,000. Education majors start at $33,000, on average.

On the flip side, new engineering graduates average $57,000 a year.

Of course, college graduates are likely to move up the salary scale as they gain experience, leaving most less-educated workers behind.

Unemployment rates are declining for college graduates — except for communications and journalism majors, the report finds. College graduates have maintained their earnings advantage over high school-only workers, who are earning less. However, “a full recovery in the employment of college graduates, especially at the Bachelor’s degree level, may be as far off as 2017 and a full recovery in earnings may take longer,” the report concludes.

Employers: Grads aren’t ready for workforce

College students nearing graduation think they’ll be ready for the workforce, but employers aren’t so sure, reports the Chronicle of Higher Education.

A report by the Association of American Colleges and Universities shows the discrepancy between students’ and employers’ views.

Four-year graduates’ wage advantage over high school-only workers hasn’t changed much since 2000, writes Rob Valletta for the Federal Reserve Bank of San Francisco’s Economic Letter.  Increasingly, the “labor market favors workers with a graduate degree.”

Is that mindless credentialism — or too many four-year grads with weak skills?

Wage gaps compared with high school graduates

Wage gaps compared with high school graduates

More graduates are working less

Recent college graduates are struggling to find jobs. 

They earned a degree and then …

Many college students don’t work very hard or learn very much, concluded Richard Arum and Josipa Roksa in Academically Adrift. For their new book, Aspiring Adults Adrift, they followed 1,000 graduates for two years after college. A little over a quarter of graduates were earning $40,000 or more and 53 percent were unemployed, employed part-time, or working full time for less than $30,000.

That’s scary.

After college, parents still pay

Most college graduates aren’t financially independent — at least not right away — reports a survey by Sallie Mae. Nearly 85 percent of parents plan to offer their children monetary aid after graduation.

Almost one-in-three parents plan to provide their grad with financial assistance for up to six months, and around 50 percent plan to foot bills anywhere from six months to more than five years.

Tough love will help young adults grow up — and protect Mom and Dad’s retirement, advises Dennis Miller on MarketWatch.

Nothing can screw up retirement plans like supporting adult children after you’ve shelled out tens of thousands of dollars in college tuition, shuttled them back and forth for Thanksgiving and Christmas breaks, and maybe purchased a new computer for all that research and writing they did (or maybe didn’t do) over four-plus years.

It’s not just the lousy job market, writes Miller. “Social norms have shifted so that accepting help from Mom and Dad well into your 20s is ‘OK’.”

Parents, do not borrow to pay for your child’s college education, advises Robert Farrington on Forbes. If it’s necessary to take out loans, the student should do the borrowing.

Via Cost of College.

Grads are too optimistic about jobs

The class of 2014 is overly optimistic about their job prospects. Only 18 percent of 2014 graduates expect to earn $25,000 or less, but more than 41 percent of 2012 and 2013 graduates are earning salaries in that range

What have college grads learned?

It’s not enough to push more students to a college degree, writes Richard M. Freeland, commissioner of higher education in Massachusetts.  We need a way to evaluate how much students have learned.

As part of Massachusetts’ Vision Project, public colleges and universities have created a statewide framework to assess student learning outcomes.

Apprenticeship vs. college

Apprenticeships are hot, but not all lead to middle-class jobs. A elevator constructor mechanic starts at $67,565 in Florida, more than double the starting pay of the average graduate with a bachelor’s degree. But apprenticeships in culinary arts and early childhood education lead to low-paying jobs.

More earn degrees, but 60% goal is uncertain

More Americans are earning college degrees, but the Lumina Foundation’s ambitious goal — 60 percent of adults with a degree or high-value certificate by 2025 — may be out of reach.

Too many graduates?

Punch worried about overeducated, underemployed college graduates back in 1902.