Why networking has become more valuable than a college degree

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Only a small portion of graduates find jobs related to their college degree, new research suggests, underscoring a growing gap between a college education and employment. Providing networking opportunities could be the solution.

According to the Cengage Group’s “2025 Employability Report,” just 30% of 2025 graduates (vs. 41% of 2024 graduates) have secured full-time jobs related to their degree. Meanwhile, more than a quarter are employed in fields unrelated to their education.

Most notably, one-third of 2025 graduates are unemployed and actively seeking work.

Revealing the disconnect

According to college graduates, networking has become more valuable than a college degree. They report that personal referrals (25%), internships and prior work experience (22%) and interview skills (20%) are more influential in securing employment than a college degree (17%).

The researchers recommend that college leaders strengthen their partnerships with local employers to help students build their professional networks.

There’s also a widening divide between what employers expect of their applicants and what educators teach, the report suggests. Job-specific, technical abilities were ranked employers’ top priority, while educators placed those skills last, prioritizing soft skills like critical thinking and problem-solving instead.

Michael Hansen, CEO of Cengage Group, said that technological advancements, like artificial intelligence, create a growing demand for upskilling and the need to rethink how students prepare for life after college.

“When people can put their skills to work, they gain not just income, but also purpose, dignity and the stability that comes with building a sustainable career,” Hansen said in the report.

The tightening job market is also making it difficult for graduates to find employment. According to the research, 76% of employers are hiring the same or fewer entry-level workers for the following reasons:

  • Tight labor market (51%)
  • The rise of AI (46%)
  • Broader economic pressures (46%)

Paired with the shift in hiring power is the resurgence of degree requirements. Seventy-one percent of employers now require a two- or four-year degree for entry-level roles, up from 55% in 2024.

Read the full report here.


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Micah Ward
Micah Wardhttps://districtadministration.com
Micah Ward is the editor at District Administration. For more than four years, he's covered artificial intelligence, edtech and district leadership. He holds a master's degree in Journalism from the University of Alabama. Find Micah Ward on LinkedIn or email him at [email protected].

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