Once again, June has come and gone–and, with it, an annual rite of passage for tens of thousands of college students: Graduation.
That occasion when young innocents formally leave the academic nest to make their way into the harsh realities of the work
Among those harsh realities: The average college graduate faces a debt loan of more than $29,400.
Click here: Average student loan debt: $29,400 – Dec. 4, 2013
But wait! There’s something even more demoralizing awaiting these “heirs of tomorrow.”
The discovery that, for all the “we hire only the brightest” rhetoric by employers, having a college degree actually means little to most CEOs.
A new report from the Center for College Affordability and Productivity concludes that nearly half of the nation’s recent college graduates hold jobs that don’t require a degree.
In short, many of the jobs they hold aren’t worth the price of that diploma.
From that report:
Increasing numbers of recent college graduates are ending up in relatively low-skilled jobs that, historically, have gone to those with lower levels of educational attainment. This study examines this phenomenon in some detail, concluding:
- About 48 percent of employed U.S. college graduates are in jobs that the Bureau of Labor Statistics (BLS) suggests requires less than a four-year college education. Eleven percent of employed college graduates are in occupations requiring more than a high-school diploma but less than a bachelor’s, and 37 percent are in occupations requiring no more than a high-school diploma;
- The proportion of overeducated workers in occupations appears to have grown substantially; in 1970, fewer than one percent of taxi drivers and two percent of firefighters had college degrees, while now more than 15 percent do in both jobs;
- About five million college graduates are in jobs the BLS says require less than a high-school education;
Click here: Underemployment of College Graduates
But the future isn’t completely bleak–at least not for women willing to transform themselves into glorified babysitters for obscenely-rich families.
Consider a recent post on Facebook by AC Connections, which describes itself as “a nanny and household placement agency.”
Under the headline, “Growing Nanny Industry Is Enticing More College Graduates,” the ad/article begins:
“As more college graduates leave school and struggle to find work, they’re turning to the nanny industry.
“Many working moms love the idea of a highly-educated, experienced nanny providing individualized care for their children in their own homes. But it can come with a substantial price tag.
“In this challenging economic climate, more college graduates are finding a little spoonful of sugar in the burgeoning nanny industry.
“These ‘modern day Mary Poppinses’ are educated, experienced, and in increasingly high demand.”
The International Nanny Association claims that the average salary is about $16 an hour.
The ad asserts that “highly qualified and educated nannies in certain locations can make $100,000 or more each year. It’s not uncommon for nannies to start out with salaries comparable to entry-level finance careers.”
Click here: Growing Nanny Industry Is Enticing More College Graduates
Besides the money, says the ad, there are other reasons for becoming a nanny:
“Many love working with children, want a chance to use their college education, or enjoy the role of caretaker.”
“A chance to use their college education”? As in cleaning up spills, changing diapers and feeding baby food to infants?
So if you’re a college graduate who can’t convince an employer within your chosen profession–such as pharmacy or engineering–to hire you, there’s always the Mary Poppins option.
Or some similar menial “career” that caters to the indulgences of the American plutocracy, for whom $16 an hour amounts to a Snicker’s candy bar for the fast-disappearing middle class.
It should be enough to make you hesitate before signing up for a loan to cover the average $57,000 cost of a public college education.
Or an even larger loan to cover the $132,000 cost of a private college education.
But if you’re still thinking that “employers really respect that degree,” consider this: Job recruiters spend exactly six seconds examining your resume.
According to The Ladders research, recruiters spend an average of “six seconds before they make the initial ‘fit or not fit’ decision” to interview you.
Not hire you–just meet you. You’ll still have plenty of chances to get shot down during or after the interview.
Click here: What Recruiters Look At During The 6 Seconds They Spend On Your Resume
According to the study, when scanning a resume, recruiters looked at the following items:
-
Your name
- Current title and company
- Current position start and end dates
- Previous title and company
- Previous position start and end dates
- Education
American employers should be legally compelled to hire as responsibly as college students are expected to pursue an education.
Until this happens, those young men and women thinking of committing a big chunk of their time and going into massive debt to pursue a college degree should think twice before doing so.


ABC NEWS, BLACK FRIDAY, BUSINESS, CBS NEWS, CNN, CORPORATIONS, COSTCO, EMPLOYERS, FACEBOOK, NBC NEWS, THANKSGIVING, THE LOS ANGELES TIMES, THE NEW YORK TIMES, THE WASHINGTON POST, TWITTER, WAGES, WALMART
COSTCO VS. WALMART: TWO VERSIONS OF EMPLOYER
In Bureaucracy, Business, Social commentary on July 29, 2014 at 2:30 pmCorporations aren’t staffed by faceless machines. They’re staffed by men and women.
And those men and women take their marching orders from the man (usually) or woman at the top.
Thus, you can learn a great deal about a CEO–and his company–by the way his employees are treated.
Consider the differences between Walmart and Costco.
REVENUES:
Costco: In 2011, its revenues stood at $89 billion.
Walmart: In 2011, its revenues stood at $447 billion. But profits declined by 4.6%, to $15.7 billion.
HEALTH INSURANCE:
Costco: About 88% of Costco employees have company-supplied health insurance. “I just think people need to make a living wage with health benefits,” Craig Jelinek, Costco’s CEO and president, told Bloomberg. “It also puts more money back into the economy and creates a healthier country. It’s really that simple.”
Walmart: In January, 2014, the nation’s largest private employer will deny health insurance to newly hired employees who work less than 30 hours a week.
Walmart eliminates healthcare coverage for certain workers if their average work-week falls below 30 hours–which regularly happens at the direction of company managers.
Walmart has refused to say how many of its roughly 1.4 million U.S. workers are likely to lose medical insurance under its new policy.
Many of the Walmart workers who might be dropped from the company’s health care plans earn so little that they would qualify for the expanded Medicaid program.
Of course, if they live in any of the 26 Republican-controlled states refusing to expand Medicaid coverage, they’ll wind up with nothing.
“Walmart is effectively shifting the costs of paying for its employees onto the federal government with this new plan, which is one of the problems with the way the law is structured,” said Ken Jacobs, chairman of the Labor Research Center at the University of California, Berkeley.
In 2005, Susan Chambers, Walmart’s then-Vice President of Benefits, outlined how the company could remove sick workers from payrolls and avoid paying healthcare benefits.
Three major studies–in Georgia, Massachusetts and California–found Walmart employees to be the ones most reliant on government aid. Annually, Walmart employees cost taxpayers more than $1 billion nationwide.
WAGES:
Costco: Pays a living wage, with its employees starting as $11.50 per hour. The average employee wage is $21 per hour, not including overtime.
Walmart: Most Walmart workers earn less than $20,000 a year. According to Bloomberg News, the average Walmart Associate makes just $8.81 per hour.
CEO SALARY:
Costco: Its CEO and president, Craig Jelinek, made about $4.83 million in 2012.
Walmart: CEO Mike Duke made roughly $19.3 million in 2012.
According to CNN Money: Walmart’s CEO makes as much as 796 average employees. Costco’s CEO makes 48 times more than the company’s median wage.
HOLIDAYS:
Costco: Costco closed for Thanksgiving, giving its employees time to spend with their families.
Walmart: Forced its employees–on pain of being fired–to open its stores nationwide at 6 p.m. on Thanksgiving.
The results: Multiple instances of fistfights, taserings and knifings among shoppers whose greed had been roused to fever pitch by Walmart advertising.
PROMOTINS:
Costco: Hires from within. More than 70% percent of its warehouse managers began their careers working the floor or the register.
Walmart: Facing mounting criticism for its low salaries, Walmart, on October 29, announced that it would promote more than 25,000 employees by the end of January, 2014.
STABILITY:
Costco: The annual turnover rate for employees who have worked at the company for more than one year is less than six percent. For executives, the turnover rate is less than one percent.
Walmart: Since 2008, Walmart has fired or lost 120,000 American workers, while opening more than 500 new U.S. stores.
Many workers quit to find better-paying jobs. As a result, turnover at Walmart has been correspondingly high.
ADVERTISING:
Costco: Doesn’t advertise or rely on a public relations staff.
Walmart: By contrast, Walmart spent $1.89 billion on self-glorifying ads in 2011.
Recently, Walmart has been forced to launch a massive PR campaign to counteract its notoriety for low pay, employment of illegal aliens, lack of health benefits and union-busting tactics.
* * * * *
Some things can’t be quantified.
Goodwill, which is created by taking care of one’s employees–paying them a living wage and providing them with medical care–is one of them.
Similarly, ill will–created by paying the lowest possible wages and forcing employees to essentially become welfare clients–is another.
And some things that can be quantified don’t necessarily make for Nirvana.
In 2012, the Forbes 400 stated that the six wealthiest heirs to the Walmart empire were collectively worth $115 billion.
Yet this has not protected the Walton family from bad publicity–such as from striking workers and news media hungry for scandal.
Nor has it shielded the Waltons from ridicule–comedians like Jay Leno routinely joke about the hordes if illegal aliens Walmart “accidentally” hires.
Americans face a stark choice between two types of corporate employer–one that protects its employees, and another that essentially preys on them.
Which direction the nation chooses to go in will largely determine its course for long-term prosperity or short-term ruin.
Share this: