Graduates job-hunting during recession must remain hopeful, according to Baker Institute expert

EXPERT ALERT

Jeff Falk
713-348-6775
jfalk@rice.edu

Avery Ruxer Franklin
713-348-6327
averyrf@rice.edu 

Graduates job-hunting during recession must remain hopeful, according to Baker Institute expert

HOUSTON – (April 20, 2020) – The consequences of graduating during a recession are large, negative and persistent, but graduates should not lose hope, according to an expert at Rice University’s Baker Institute for Public Policy.

Joyce Beebe, a fellow in public finance at the Baker Institute, is available to discuss what a recession means for graduates.

Beebe addressed the topic in a new Baker Institute blog post on the impact of the Coronavirus Aid, Relief and Economic Security (CARES) Act on graduates attempting to enter the workforce. “For recent graduates, this is not the best time to be the newest hire or the least-experienced person at work,” she wrote. “These young adults’ short tenure usually makes them vulnerable to widespread headcount reductions.”

According to Beebe, such reductions push graduates into initial job placements in less-attractive, lower-paying positions — on average, it takes students who graduate into a recession 10 years to “catch up” with those who graduated in a better market.

The CARES Act, the federal government’s third legislative COVID-19 economic relief package, includes recovery rebates, student loan payment relief and unemployment compensation as well as provisions that incentivize employers keeping workers on payroll. The act also expands employer-provided education assistance to include student loan repayments and expands the eligibility of unemployment benefits to independent contractors such as gig economy workers and freelancers, according to Beebe.

“The moral of the story is that new graduates should not lose hope — there is no winner in the current pandemic,” Beebe wrote. “However, as long as one continues to strive for one’s best, the cream always rises to the top — hopefully faster this time.”

A radio and television studio is available at the Baker Institute for media outlets that want to schedule an interview with Beebe. For more information, contact Avery Franklin, media relations specialist at Rice, at averyrf@rice.edu or 713-348-6327.

-30-

Related materials:

Beebe bio: https://www.bakerinstitute.org/experts/joyce-beebe/

Follow the Baker Institute via Twitter @BakerInstitute.

Follow Rice News and Media Relations via Twitter @RiceUNews.

Founded in 1993, Rice University’s Baker Institute ranks as the No. 2 university-affiliated think tank in the world and the No. 1 energy think tank in the world. As a premier nonpartisan think tank, the institute conducts research on domestic and foreign policy issues with the goal of bridging the gap between the theory and practice of public policy. The institute’s strong track record of achievement reflects the work of its endowed fellows, Rice University faculty scholars and staff, coupled with its outreach to the Rice student body through fellow-taught classes — including a public policy course — and student leadership and internship programs. Learn more about the institute at www.bakerinstitute.org or on the institute’s blog, http://blog.bakerinstitute.org.