At NextGen Advising, we hear from parents every week: “My kid has a 3.8 GPA, a computer science degree, and can’t get a single interview.”
They did everything right to get into a good college. But the market just told them it wasn’t enough.
The rules of the game have fundamentally changed.
We aren’t just in a temporary hiring slump; we are in the middle of a generational hiring shift that is leaving new graduates behind.
Let’s look at the numbers.
For example, new grad hiring in the tech sector has dropped by over 50% compared to pre-pandemic levels.
| Tech Sector Segment | New Grads as % of Total Hires | Drop in Hiring Since Pre-Pandemic (2019) |
| Big Tech Companies | 7% | Down > 50% |
| Tech Startups | Under 6% | Down > 30% |
*Data Source: SignalFire State of Tech Talent Report 2025
Why? Because of something economists call the difference between “codified” and “tacit” knowledge.
In the past, companies hired junior employees to do basic, repetitive work. It was the training ground. You read the textbook, you learned the “codified” rules, and you applied them.
Now? AI does that same codified work in seconds. In fact, AI coding capabilities jumped from solving just 4.4% of standard software engineering problems in 2023 to nearly 72% just a year later in 2024.
So, what can’t AI do?
It can’t read a room. It can’t navigate a tricky client whose budget just got slashed. It can’t adapt when a project suddenly goes sideways, due to a policy change or management turnover.
This is “tacit knowledge,” aka the “street smarts” in the professional world. It is the judgment that only comes from real-world experience, and it is exactly what employers want in this new age of AI. Companies are currently stuck in an “experience paradox”: in an uncertain economy, they are retaining and hiring more senior workers because of their “tacit knowledge” and trimming their more junior staff, who are now considered expensive to train and manage (oh, how the pendulum has swung)!
I had lunch recently with a former colleague who returned to Google after a year break. He told me prior to leaving he managed a team of 6 junior software engineers, but now–in a similar role, same level–he manages a dozen AI agents.
If your child wants to future-proof their career, a high GPA from a top college isn’t the shield it used to be. They need real-world experiences that build character. They need to fail, adjust, and communicate in messy, human environments. In my next blog, I will discuss how to go about doing exactly that.
Here are a few thought-provoking questions for parents:
Are your children primarily striving for good grades, or are they also accumulating complex, human experiences that are hard for AI to replicate? Are they developing the emotional intelligence and resilience needed to navigate and adapt to a rapidly changing world? Are they cultivating the communication, collaboration, and leadership abilities necessary to establish strong relationships, earn trust, and inspire followership–all of which are crucial for professional success?
