The number of entry level U.S. jobs is set to decline by 6% to 8.5 million over the next two years, according to a report released Thursday by the National Association of Colleges and Employers (NACE).
The report, titled The New Jobs Economy, forecasts that only 4.7 million U.A.L. jobs will be created in 2021, compared to an average of 5.4 million in 2021.
“The pace of job creation is not as quick as we would like, particularly in the entry level position, and the job market is likely to remain challenging in the coming years,” NACE President and CEO Robert J. Zielinski said in a statement.
“In addition, the economy is still struggling with the severe effects of the pandemic and uncertainty over the impact of the new health care law on our economy.”
NACE projects that more than half of the jobs created in the 2021 economy will be in non-academic, professional and technical occupations, including accounting, engineering, computer science, health care management, social work, psychology and accounting.
NACE expects the economy will add an additional 2.6 million jobs in 2021 and that the unemployment rate will decline to 6.2% in 2021 from 8.4% in 2020.
Including the workforce of people who would have previously entered the labor force, NACE said that the economy would add 6.3 million jobs over the 2021 calendar year, while adding 3.2 million in 2024.
NACE expects a 3.6% increase in total jobs in 2024 compared to 2021.
The report also forecasts a 5.1% increase for the overall U.R. economy in 2021 compared to 2020.
The economy is expected to grow by 1.2%, which is roughly the same as the last two quarters.
It will grow at a slower pace in 2021 due to slower population growth.
The report projects a 2.1-percent increase in the unemployment benefit and an 8.3-percent drop in the number of people with jobs.
In 2021, the number with jobs will exceed the number without jobs by 6.6.
In addition to the new jobs, the report also predicts that wages will increase in 2021 by 1% to 2.3%, a 2-percent boost compared to the year before.
However, the increase will be mostly in nonfarm jobs, which are mostly in manufacturing and construction.
The economy is also expected to gain 2.4-percent in real gross domestic product in 2021 (GDP), or about $1.2 trillion, due to lower gasoline prices and lower unemployment, the NACE report said.
The GDP growth rate for 2021 is estimated at 1.4%.
The NACE Economic Outlook 2016 report also said that there will be more people employed in 2021 than at any point in the past two decades.
About a third of U.L.’s workers will be employed in 2020, compared with 30% in 2019 and 26% in 2024, according the report.