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Insights from Hiring Managers on Entry Level Preparedness

The 2025 New Hire Readiness Report reveals that the majority of hiring managers feel that high school graduates are not prepared to enter the workforce.

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Few hiring managers say high school graduates are ready for the workforce.

America’s future workforce is facing an urgent readiness test. The nature of work is evolving rapidly in response to AI, shifting economic demands, and newly emerging industries. Employers today—as this new survey shows—are looking for more than foundational academic credentials in candidates. They’re eager to find talent who can think critically, solve problems, communicate effectively, and adapt quickly.

500
Hiring managers surveyed at small, mid-sized, and large companies

To better understand this shift, College Board and the U.S. Chamber of Commerce surveyed 500 hiring managers across a range of small, mid-sized, and large companies on perceptions of preparedness of entry-level employees. The findings shed a light on opportunities to better prepare entry-level employees for the work of tomorrow.

Overall, these hiring managers say that few high school graduates are ready for the workforce straight out of school. Instead, they view trade school or four-year college graduates as much more prepared to enter the workforce. Yet, today the majority of high school students are not going directly to college after graduation.

Many also believe that career-focused high school courses and early work experiences, like internships, are an underused way to prepare young people for the demands of the modern workplace.

Key Findings

From Surveyed Hiring Managers

  • High school grads viewed as less ready for work.Four in five (84%) surveyed hiring managers agree that most high school students are not prepared to enter the workforce.
  • Grads less prepared for workforce than previous generations.A strong majority (80%) agree that current high school graduates are less prepared to enter the workforce compared to previous generations.
  • Trade schools and college help with early-career skills.These hiring managers cite trade schools (40%) and 4-year colleges (37%) as ways to acquire early-career skills.
  • Credentials and soft skills are key.These hiring managers highly value industry-recognized credentials and hard-to-quantify “soft skills” such as critical thinking and communication in entry-level workers.
  • Experience is most valued.They put a high premium on real-world experience (whether gained through internships, career and technical education, or on-the-job experience). In fact, most (89%) believe experience is most valuable.
  • Business education in high school is needed.The vast majority (92%) said there should be more business courses in high school.
a person using a calculator

Personal Finance a Vital Skill

96% of these hiring managers believe that financial literacy skills are valuable for employees who are just starting their career. Taxes, net income, and budgeting (42%); saving and investing (41%); and borrowing, credit, and debt (39%) are seen as the most valuable knowledge for entry-level employees to have.

71%
Hiring managers who think high school grads with industry-recognized credentials are more prepared for workforce

Talent Booster: Credentials

Hiring managers consider graduates with industry-recognized credentials better prepared than those without. Among high school graduates, 71% are seen as workforce-ready with such credentials, compared to 40% without them.

a group of people in a classroom

A Promising Solution

Educators and employers aim to prepare students for success. The survey revealed 90% of hiring managers believe the upcoming AP Business with Personal Finance course1, launching in 2026-2027, will positively impact workforce readiness.

Download the Full Report

The New Hire Readiness Report is packed with the latest workforce data and insights for employers and educators. Download a PDF to save and share.

 

  • 1. This course’s official name is “AP Business with Personal Finance”. However, the language used in the survey was “AP Business Principles/Personal Finance” or “AP Business Principles” to refer to the course. In this report, we will refer to the course using the official title. ↑ back to text
Insights from Hiring Managers on Entry Level Preparedness

The 2025 New Hire Readiness Report reveals that the majority of hiring managers feel that high school graduates are not prepared to enter the workforce.

September 17, 2025

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