Article Provided by Career Treking, LLC
Not necessarily, according to Career Treking, a job coaching firm based in Wellesley and Sudbury which specializes in helping college graduates find the right job. The National Bureau of Economic Research reports that earnings for those who graduate in a recession are 9% lower than those who graduate in strong economic times and this gap may not close for a full decade. Career Treking believes that the ambitious college graduate can narrow that salary gap much faster with appropriate career planning.
A study conducted by Professor von Wachter at Columbia University studied the impact on compensation on college students who graduate in a recession. This study followed and measured the career tracks and compensation levels of 70% Canadian college graduates from 1976 through 1995, encompassing 2 recessions.
The study found that job quality and job mobility were the two critical factors to close that pay gap 30 to 40% faster.
o “Recession” graduates who found work in their chosen fields, no matter how low the pay or how temporary in nature were able to close that pay gap 30 to 40% faster than the group who took the first job available. When the economy rebounded, this group had developed the skills they needed in their chosen fields and found themselves to be the sought-after candidates.
o Recession graduates who changed jobs more frequently than average closed the pay gap approximately 30% sooner.
So how can the college graduate narrow the pay gap?
o Set a wide range of goals in the chosen field/industry. Candidates need to have a plan to develop the skills and experience they will need for an economic rebound. The plan should be realistic and help them to demonstrate their capabilities.
o Be prepared to change jobs frequently by mastering the art of networking and job searching.
Career Treking has utilized this strategy with their clients since the economy tanked. “Last year, we worked with our clients to identify their dream job and then determine how the client could land that job. This year, we are recommending that our clients continue to identify and pursue that dream job, but include backup plans that are realistic and will prepare the client for that dream job”, commented Susan Kennedy, senior partner at Career Treking. Kennedy likens this process to the college application process: students typically identify their dream schools, schools they feel reasonably confident they will get accepted as well as their safety net. If a student attends his safety school, he will still get his degree. Likewise, if a young professional begins his career using “Plan C”, he will still develop the skills he needs to build his career and close that compensation gap sooner.
Take John, who worked with Career Treking. John wanted to combine his double major in finance and marketing with his passion for sports apparel to land a job in brand management at Under Armor. John knows the skills and experience he will need to approach Under Armor as well as the gaps in his background. Career Treking helped him design a plan to build his experience and close his gaps. Knowing that Under Armor is extremely competitive, John will also pursue an entry level marketing job at Reebok, Saucony and New Balance. This back up plan (“Plan B”) will enable him to develop his marketing skills and obtain a proven track record of work experience that he can take to Under Armor in the future. He will also pursue part time work at a high-end health club to market their international golf tournaments so he can get some direct marketing experience. John identified a gap in his background: graphics design. He will take a course at a local community college in graphics design. John will learn the design piece and he will also make contacts that can help further his search.
“John is not giving up on his dreams,” commented Mitch Bornstein, P.hD., founder of Career Treking. “He is being realistic about the job market and has created a plan to move forward. By developing the skills and experience he will need for that job at Under Armor, he will be ready to land the job and close any compensation gap sooner.”
In addition to setting a wide net of career goals, Career Treking works with their clients to teach them the life skill of networking and job searching so they can change jobs as frequently as they need to. “Finding the right job is a life skill that’s best learned at the onset of one’s career”, added Bornstein. “It puts you in charge of your own career and in any economic climate, it’s a critical skill to have.” Career Treking provides extensive career assessments, interview skills training and job search strategies for its clients. Their process has been documented and published in The Job Coach for Young Professionals, an interactive workbook designed to teach the life skill of job searching to college graduates and young professionals.
About Career Treking LLC
Career Treking LLC is a job coaching firm that specializes in helping college graduates and young professionals identify and land the right job. Based in Wellesley and Sudbury, Career Treking LLC provides customized career development programs to meet the needs of college graduates and young professionals in a challenging job market. Career Treking LLC also works with current college students to help them build their resumes while still in college so they are ready to pursue their goals upon graduation.
