Young college graduates may be struggling to find jobs because of remote work rather than artificial intelligence, according to new research published Monday by the New York Federal Reserve’s Liberty Street Economics blog.
The researchers found that the rise of remote work since the pandemic has made it more difficult for employers to train and mentor inexperienced workers, making companies less willing to hire recent graduates for distributed teams. They estimate that remote work can explain about 64% of the increase in unemployment among young college graduates since the pandemic.
Unemployment among college graduates under age 29 increased from 3.1% in 2017-2019 to 3.7% in 2022-2025. Over the same period, unemployment among more experienced college graduates declined slightly from 1.9% to 1.8%.
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Remote Work Effect
