Concerns about layoffs and an unpredictable economy are prompting many young professionals to reexamine their long-term career plans. For some, that means returning to school to strengthen their skills and prepare for future challenges.
A recent questionnaire of 1,000 U.S. adults ages 22 to 30, either currently enrolled in college or recent graduates, reveals how job market uncertainty is shaping decisions about graduate education and why more individuals are pursuing advanced degrees and professional credentials to remain competitive.
Key Takeaways
- 42% of young adults say that economic uncertainty and layoff fears are making them consider grad school.
- Tech is seen as the most at-risk industry for layoffs, with 63% of respondents naming it.
- Three in four young adults feel pressure to over-credential just to stay competitive in today’s job market.
- Over one in 10 young professionals (14%) say that if they knew a recession was coming, they would choose grad school over a job right now.
How Job Insecurity Is Fueling Graduate School Plans
With layoffs making headlines and industries undergoing rapid change, many young professionals are weighing their options for greater career stability. Graduate education has become one path they are considering to build stronger qualifications and prepare for roles that may be less vulnerable to job cuts.
Forty-two percent of young adults said that concerns about layoffs and economic instability have influenced them to consider graduate school. Within this group, 26% have already enrolled in a program, and 28% plan to enroll within the next year.
Layoffs in respondents’ industries were also a major factor, with 75% saying these events played a role in their decision to consider additional education. Sixty-three percent of respondents viewed the technology sector as the most at risk for job cuts, followed by the government sector at 37%.
The Rise of Strategic Enrollment Decisions
Views on job security, degree value, and preferred learning formats often shape graduate school plans. The data shows how young professionals rank industries, programs, and incentives when deciding whether to enroll.
More than one in 10 young professionals (14%) said that if they knew a recession was imminent, they would choose graduate school over entering the workforce immediately. Among tech professionals, job insecurity was highest, with 44% feeling uncertain in their current roles and only 40% expressing confidence in their job stability. Nearly three in 10 (29%) believe that earning a Master of Business Administration (MBA) or a similar master’s degree makes them more “layoff-proof.”
When asked which graduate degrees offer the most job security, 40% selected STEM-focused master’s programs, followed by law degrees at 21%, MBAs at 14%, public health/MPH degrees at 11%, and education or teaching degrees at 5%.
Preferences for program format were nearly even, with 38% favoring full-time, in-person study and 37% choosing part-time or flexible online programs. The most cited incentives for enrollment included lower tuition costs, guaranteed job placement, and employer sponsorship, each named by 64% or more of respondents.
The Age of Over-Credentialing
Concerns about automation, industry change, and heightened competition are leading many young professionals to add more credentials than ever before. These additional qualifications are often seen as necessary to remain competitive in a job market where skills can quickly become outdated.
More than half of young adults (63%) reported pursuing extra certifications in response to rising layoffs, and 75% believe their generation is being pushed to over-credential simply to compete. One in five said they have earned a new certification or completed a bootcamp to “AI-proof” their resume and stand out to algorithm-based applicant screeners. Google Career Certificates were the most commonly considered nondegree credential, selected by 29% of respondents seeking targeted, short-term upskilling options.
Why Credentials and Confidence Matter More Than Ever
Graduate degrees and professional certifications have become ways for young professionals to strengthen their position in an unpredictable job market. Layoffs, economic shifts, and new technologies are changing the skills employers look for, and education is one tool individuals are using to adapt. From master’s programs to targeted short-term credentials, these choices show a move toward deliberate preparation for both current demands and future opportunities.
Methodology
A questionnaire of 1,000 U.S. adults aged 22-30, either currently enrolled in college or recent graduates, was conducted on behalf of Aurora University. This study explores how job insecurity and recession fears are influencing decisions about graduate school and credentialing. It was conducted via CloudResearch Connect.
This is a non-scientific, exploratory study designed to examine behavioral and attitudinal trends. It is not intended to represent all students.
About Aurora University
Aurora University offers accessible, flexible online degree programs designed for people seeking to advance their careers. In addition to undergraduate degrees, AU offers various graduate programs, including an MBA, Master of Social Work (MSW), Master of Public Administration (MPA), Master of Science (MS) in Exercise Science, Master of Arts (MA) in Educational Leadership with Principal Endorsement, dual degree MSW/MBA and MSW/MPA options, and even a Doctor of Education (EdD). The online MBA program equips students with leadership, strategic thinking, and problem-solving skills that can help them adapt to changes in the job market and navigate periods of economic uncertainty.
Fair Use Statement
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