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New Grads Face Tough Market as U.S. Software Developer Jobs Drop Sharply.

Software

Business Honor
28 June, 2025

Software job postings fall drastically; new grads must adapt skills to stay competitive.

There are now significant obstacles in the way of the formerly dependable career path of becoming a software engineer in the United States. Software developer job listings fell by over 70% between the first quarter of 2023 and the same period in 2025 according to new data from Revelio Labs. The overall 35.8% falls in white-collar job posts during that period is more than doubled by this decline.

New graduates with computer science degrees coding bootcamp experience or tech-focused MBAs have found it more difficult to get employment as a result of this significant change. While many white-collar jobs have seen a tightening of the labor market tech has been particularly hard hit. Hiring for roles like delivery manager and business analyst has also significantly decreased.

It is made more difficult by the decrease in wage growth. Blue-collar wages have been steadily increasing since mid-2024 whereas white-collar IT occupations have largely remained stagnant. The hardest affected are entry-level positions as fewer companies are prepared to pay new personnel competitively. Executive positions continue to pay more, and higher-level positions have stayed more stable.

More adaptability and a wider range of abilities are now necessary for recent graduates to succeed in the tech industry. There may be greater opportunities if you specialize in fields like cybersecurity AI or cloud computing. Relocating, accepting contract work or accepting lower starting compensation can all be beneficial.

Tech jobs are not going to disappear, despite the slump. After years of fast hiring, experts regard it as a market correction. Niche fields like machine learning and DevOps continue to see demand. New grads can still get employment in the tech sector if they are persistent, flexible and concentrate on in-demand skills.