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The U.S. job market isn’t looking too promising for recent college graduates and other job seekers, according to economists and labor experts.

“The job market is kind of trash right now,” said Mandi Woodruff-Santos, a career coach and personal finance expert.

“I mean, it’s really difficult,” she added. “It’s really difficult for people who have many years of experience, so it’s going to be difficult for college kids.”

‘Tough summer’ for job seekers

That may seem counterintuitive. The national unemployment rate in May was relatively low, at 4.2%. The layoff rate has also been historically low, suggesting employers are holding on to their workers. Yet, hiring has been sluggish. The pace of employer hiring in April was the lowest in over a decade, excluding the early months of the Covid pandemic.

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The rate at which workers are quitting—a gauge of worker confidence about their job prospects—has also plummeted to below pre-pandemic levels, marking a stark reversal from the “great resignation” in 2021 and 2022.

“It will be a tough summer for anyone looking for full-time work,” Heather Long, chief economist at Navy Federal Credit Union, wrote in an email Friday. “This is an ‘abundance of caution economy’ where businesses are only filling critical positions and job seekers, especially recent graduates, are struggling to find employment,” she said.

Steady job market erosion ‘cannot continue forever’

While the job market may be limping along by some measures, Long also mentioned that a recession doesn’t seem “imminent.” Businesses added more jobs than expected in May, for instance. However, those gains have slowed significantly—a concerning sign, according to economists.

Employers appear reluctant to hire in an uncertain economy. CEO confidence plummeted in the second quarter of 2025, experiencing its largest quarterly decline since 1976, according to a survey by The Conference Board. Uncertainty around geopolitical instability, trade, and tariff policy were identified as major business risks.

The share of CEOs expecting to expand their workforce fell slightly, to 28% in Q2 from 32% in Q1, while the share planning to cut their workforce increased by one point, to 28%.

“The steady erosion in the US job market cannot continue forever—at some point, there will just not be much left to give,” Cory Stahle, an economist at the Indeed Hiring Lab, wrote in an analysis Friday. “In a low-hiring, slow-growth environment, employers can only hold onto their existing employees for so long before they too will have to be let go—resulting in increased unemployment even as job opportunities continue to shrink,” Stahle explained.

Don’t underestimate personal connections

Don’t overlook the “power of personal connections” to stand out in a competitive job market, said Woodruff-Santos, the career coach. Her top piece of advice: make yourself “uncomfortable” to network and cultivate professional relationships.

“You need to put yourself in situations where you may not know everybody, and where you may actually need someone to lend a hand, and to feel confident doing that,” Woodruff-Santos advised.

If you’re compelled to accept a job you don’t love to make ends meet, create a plan to stay updated in your desired field, she recommended. Building the skills that will eventually help you secure that job can include taking courses, obtaining certifications, or engaging in contract work. Joining a professional organization and connecting with others in your desired field can also be advantageous, Woodruff-Santos noted.

These steps increase your chances of gaining attention from potential employers and keeping your skills sharp, she added. She also offered some encouragement:

“The job market has been challenging before,” she said. “It’ll be difficult again. This probably won’t be your first tough job market, and you’re going to be okay.”