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There is no shortage of people telling recent engineering graduates that their degree was a mistake and that AI is coming for their jobs before they even land one. I respectfully disagree.
I have been a software engineer for 12 years, done well over 100 interviews on both sides of the table, and run Parsity, an AI engineering program. A few patterns emerge consistently in who actually breaks through in today’s job market. Here’s why I think the job market isn’t as dire as it looks, and what I would do if I were looking for my first tech job.
The Numbers Need Context
The Federal Reserve Bank of New York recently placed unemployment for recent CS graduates in the United States at 6.1 percent, with computer engineering graduates at 7.5 percent. Compared to philosophy majors at 3.2 percent and art history graduates at 3.0 percent, those figures look alarming. They require more context than most headlines provide.
When researchers factor in underemployment (graduates working jobs that don’t require a college degree), then engineers are doing relatively well, coming in below 20 percent, against a 42 percent average across all recent graduates. Many majors reporting lower unemployment are achieving that figure by accepting work entirely unrelated to their field. Scored across unemployment, underemployment, and early-career earnings together, CS and computer engineering still rank among the top fields for overall labor market outcomes.
The degree is not the problem. The hiring pipeline is. Job postings labeled “entry-level software engineer” grew roughly 47 percent between late 2023 and late 2024, while actual hiring into those roles dropped approximately 73 percent in the same window. So-called “ghost jobs,” used to create an illusion of company growth, are everywhere. This makes the front door harder to find, but it exists.
Here Is What To Do About It
Do a broad search of your (real-life) network. Roughly 26 percent of job offers come through referrals. Look at your actual network—classmates, professors, past internship contacts, relatives—and identify people at companies that might be hiring. The goal is a warm introduction to someone who is or knows a decision maker. One introduction carries more weight than a hundred cold applications through a portal.
Find symmetric risk. A junior engineer is a risky hire by definition. A startup carries a matching risk profile, meaning potentially lower compensation, no certainty of longevity, and higher performance expectations. But that shared risk creates mutual interest. The learning curve is steep, the exposure is broad, and the track record transfers directly. For engineers whose longer-term goal is a large organization, a startup is not a detour. It can be how you build the experience those organizations eventually want to see. The first job is for validation and learning. It is not a life sentence.
Manufacture experience rather than waiting for it. Employers want experience but will not hire you to get it. The way through is to create it: a deployed project, an open-source contribution, building something real for a small business or family member. Recruiters are skeptical of toy projects. A deployed application solving a real problem, combined with the ability to talk clearly about the decisions you made and why, still moves the needle.
Gain practical AI engineering skills, not just AI tool fluency. Using Cursor or Copilot is now a baseline expectation. What differentiates candidates is going one level deeper. Most working engineers, including senior ones, have not built a RAG pipeline or designed a multi-agent system. Understanding how to chunk documents, generate embeddings, store and query them from a vector database, and wire it into a production application puts a candidate ahead of a significant portion of the market on a skill in rapidly growing demand. AI and data science roles grew 163 percent in job postings in 2025. The engineers who understand how these systems actually work, not just how to prompt them, are in the shortest supply.
Stop optimizing around conditions you cannot predict. Nobody anticipated the 2021 hiring boom. Nobody predicted this correction. Build durable skills. The demand for engineers who can reason clearly about systems is not going away. Where you start is not where you end.
—Brian
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