Nearly 90% of employers plan to maintain or increase hiring for the Class of 2025 graduates, but overall hiring projections have fallen sharply from earlier forecasts, according to a new report released today by the National Association of Colleges and Employers (NACE).
The "Job Outlook 2025 Spring Update" found that while 24.6% of employers anticipate increasing their hiring and 64.6% expect to maintain current levels, significant planned cuts by some larger companies have reduced the overall hiring growth projection from 7.3% to just 0.6% compared to the previous year.
"The overall change from the early hiring projections is largely driven by more companies deciding to maintain their hiring and greater decreases by some larger companies in various industries," said Shawn VanDerziel, NACE's president and chief executive officer.
The report, which surveyed 216 companies between February 18 and March 21, indicates a notable shift in hiring practices for entry-level positions. For the third consecutive year, less than 40% of employers report using GPA as a screening tool for new college graduates.
Instead, nearly two-thirds of employers now utilize skills-based hiring practices for entry-level professional positions. Among this group, more than 65% report using these practices either all or most of the time when evaluating candidates.
"Whether or not they screen by GPA, employers hiring for entry-level positions report that they strongly consider a student's major, industry, and internship experience," said VanDerziel. "These are key areas where students gain, hone, and demonstrate they have the skills necessary to successfully move into the workplace."
The report emphasized that employers are primarily seeking communication, critical thinking, and teamwork skills from job candidates. This focus on demonstrated abilities rather than academic metrics represents a continuing trend in entry-level hiring.
Career services professionals are advising graduating students to adapt their job search strategies accordingly.
The NACE report concludes that while the job market remains stable for most graduates, increased competition means students must be more strategic in their applications.
"Because employers use skills-based hiring most often when interviewing and screening candidates, students need to put their skills front and center on their resume and in the interview," advised VanDerziel.
