Market Data 
- Recent MBA graduates are having a harder time finding jobs than a couple of years ago.
- A white-collar hiring slowdown has impacted MBA graduates at schools like Harvard, Yale, and Stanford.
- We asked economists whether the hiring landscape could improve in the years to come.
The white-collar job market has gotten so competitive, that even MBA graduates — once thought of as having a leg up in hiring — are struggling to land jobs.
Since July, Joshua has worked at Starbucks while he looks for a marketing job. In the fall of 2023, his contract position at PlayStation was cut and, despite working with a recruiting agency, he still hasn’t landed a job in his chosen industry.
“I’m an MBA graduate in his 30s, living paycheck to paycheck, watching what feels like the rest of my colleagues and classmates move forward with their lives,” said Joshua, who earned his business degree from Santa Clara University in 2021. His last name is known to BI but is being withheld due to fear of professional repercussions.
Job acceptance rates at some of the top business schools have declined in recent years. Much of it likely has to do with a slowdown in white-collar hiring overall, but other evidence suggests companies are hiring fewer MBAs. After all, they may require a higher salary than their peers at a time when companies are looking to downsize, save money, and invest in technology promising to do the job cheaper than any human — no matter their degree level.
MBA graduates’ job-acceptance rates are down in a slowing job market
Business Insider looked at the job acceptance rates three months post-graduation at the top 15 business schools from US News and World Report’s 2024 ranking — and focused on the nine MBA programs with publicly available data going back eight years and Harvard, with data going back six years.
At eight of the 10 schools, the class of 2024’s job acceptance rate was the lowest.
Economists told BI that elevated interest rates and companies’ investments in artificial intelligence are among the factors that have led to slower hiring for MBA graduates.
Gracy Sarkissian, associate dean of Columbia University’s career management center, said that while the three-month post-graduation job acceptance rate for the school’s MBA graduates fell in 2023, employment reached pre-pandemic levels by the end of the year.
Dartmouth, Yale, Stanford, MIT, Dartmouth, the University of Michigan, the University of Pennsylvania, and the University of Virginia didn’t respond to requests for comment. Duke and Harvard declined to comment.
The usual suspects for MBA hiring — consulting firms and Big Tech — are hiring fewer of them, the Wall Street Journal reported in January.
It’s all part of an overall hiring slowdown. US businesses are hiring at nearly the lowest rate since 2013, per Bureau of Labor Statistics data.
While the overall US unemployment rate remains low compared to historical levels, many people who need a job are dealing with a considerably tougher market than a few years ago.
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Higher interest rates and economic uncertainty have slowed hiring for white-collar roles
Elevated interest rates have contributed to slower hiring in industries such as finance, tech, and consulting — sectors that attract many MBA grads, Kory Kantenga, head of economics, Americas at LinkedIn, told BI. Instead, healthcare, government, and hospitality have been dominating hiring since 2023.
In addition to higher interest rates, uncertainty about Trump administration policies and the impacts of AI have led some businesses to be more cautious about expanding their workforces, said Audrey Guo, an assistant professor of economics at Santa Clara University. She added tech companies that hired workers in droves during the pandemic — only to lay off many workers in recent years — may be looking to avoid this cycle in the current climate.
Allison Shrivastava, an economist with the Indeed Hiring Lab, said some companies could be slowing hiring because they’re waiting to see if the economy can stick a “soft landing” — in which inflation comes down, the unemployment rate doesn’t spike, and a recession is avoided. She said job openings for finance and tech roles on Indeed have fallen considerably from their peaks in 2022, to below levels seen in February 2020.
“If I were looking for a job in banking and finance or software development, I would expect it to definitely take longer than it did in 2022,” Shrivastava said.
Finding work can be challenging even in sectors with more job openings. This includes management roles, where openings listed on Indeed are roughly 9% higher than they were in February 2020.
Dan Trujillo is trying to find one of those management roles. He was laid off in January from his role as a director of customer experience at a manufacturing company. He earned his Executive MBA from the University of Colorado a year earlier and said he struggled to land his previous job. “I applied to somewhere between 25 and 30 positions without ever hearing anything back other than a rejection email,” said Trujillo, who’s in his mid-40s and based in the Denver area.
Guo said some employers could be slowing hiring as they monitor the potential of AI tools in the workplace. Additionally, some companies’ significant investments in AI could also be leaving them with less money to put toward hiring workers.
“I think the roles where we’re seeing the biggest declines in demand now tend to be the ones that have really high returns to using AI,” said Lisa Simon, chief economist at the workforce analytics company Revelio Labs. She cited software engineers and data analysts as two examples.
Rate cuts and an uptick in retirements could help job seekers
Looking ahead, Kantenga said that future Federal Reserve interest rate cuts could help improve labor market conditions for MBA graduates. CME FedWatch, which projects interest-rate changes based on market activity, forecasts a nearly 84% chance rates will be lower by the end of the year. However, Kantenga said uncertainties tied to the Trump administration could lead some employers to slow hiring until they have a clearer sense of what policies will be implemented.
Additionally, some changes to the current labor market could work in the favor of MBA graduates. Satyam Panday, chief US and Canada economist at S&P Global Ratings, said that an uptick in baby boomer retirements in the coming years could create a gap in the workforce that AI likely won’t be able to fill — which could make it easier for some MBA graduates to find work. While some companies may be able to get by with fewer workers, Guo said they’ll still need to invest in their leaders of the future.
“Companies will need to think about how to still preserve a pipeline of new workers so that, eventually, when the senior people retire or need to be replaced, there still is some pipeline of people with that experience,” she said.
