For decades, the American Dream promised that if you worked hard in school, got into a good college, and earned a degree, you’d be rewarded with a stable career, a home, and financial security. But for Gen Z, that promise has largely evaporated. Today’s young adults are graduating into a world where soaring tuition, crushing debt, and vanishing entry-level jobs have upended the old script—prompting a national reckoning with higher education.
According to the Pew Research Center, 70% of Americans now believe the U.S. higher education system is on the wrong track—a sharp rise from 56% in 2020. Frustration cuts across party lines: 77% of Republicans and 65% of Democrats share this view, up from 66% and 49% just four years ago. At the heart of the discontent are two intertwined crises: skyrocketing costs and a failure to prepare students for today’s job market.
Colleges are under fire for leaving graduates unprepared and overburdened. More than half of Americans (55%) give institutions poor marks for equipping students with skills needed for well-paying jobs. Similarly, 52% say schools fall short on financial aid, and 49% believe they’re not fostering critical thinking or problem-solving abilities.
The consequences are stark. Gen Z now carries an average of over $94,000 in personal debt—far exceeding millennials ($60,000) and Gen Xers ($53,000). Their financial strain is showing: Gen Z experienced the steepest annual drop in credit scores since 2020, with an average FICO score of 676—39 points below the national average.
Even if they wanted to pay off that debt quickly, high-paying entry-level jobs are increasingly out of reach. Artificial intelligence is automating many traditional starter roles, shutting young graduates out of crucial career footholds. As of July, 58% of recent college grads were still searching for stable employment—more than double the rate for previous generations at the same stage. Tech hiring has plummeted too: the 15 largest U.S. tech companies have slashed new-graduate hiring by over 50% since 2019.
**A Blue-Collar Renaissance**
Faced with these barriers, many Gen Zers are rethinking the college-for-all mantra—and turning instead to skilled trades. A 2024 Harris Poll found that 78% of Americans have noticed a surge in young adults pursuing careers in fields like carpentry, electrical work, and plumbing. These jobs offer solid pay, autonomy, and a path to six-figure earnings—without the student loan burden.
The shift is reflected in enrollment trends: vocational programs at community colleges saw a 16% jump in 2023, the highest since tracking began in 2018. Interest in specific trades is surging—construction programs grew by 23% among Gen Z students from 2022 to 2023, while HVAC and vehicle repair saw a 7% increase. And the demand is only growing: Deloitte and the Manufacturing Institute project 3.8 million new manufacturing jobs will open by 2033.
Even corporate leaders are taking note. Ford CEO Jim Farley shared that his son chose to work as a mechanic over pursuing a traditional college path. “He asked, ‘Why do I even need to go to college?’” Farley recalled. “He sees himself as part of an essential economy.” Farley and his wife now see this as a conversation happening in households across America—one that deserves serious debate.
As faith in the old system erodes, Gen Z isn’t waiting for a rescue. They’re forging a new definition of success—one built not on prestige, but on practicality, resilience, and real-world value.