Is the Entry-Level Job Market Broken? 72% of Freshers Face Experience Demands

Once upon a time, a fresher's eligibility used to be a degree from an elite college with exceptional marks. It followed a series of interviews, and tough it may be, but at least your first job was in sight. Here we are in 2026, when using "once upon a time" does not seem an exaggeration. What do freshers need to bag their jobs in recent times? Prior experience. No matter how paradoxical it may appear on the surface, it is the hard truth stinging entry-level professionals.

A new report by employment platform Indeed paints a picture that is beyond belief. According to the survey, 70% of young Indians believe securing a first job is harder today than it was three to five years ago. Just 3-5 years have changed the whole face of the job market, thanks to AI. More strikingly, 72% say employers frequently expect prior experience even for entry-level roles, while 61% report that they rarely or almost never receive a response after applying for jobs. It is a situation where we expect a child to know all the tough spellings before admitting them to school. This is how the graduates of 2025 and 2026 have landed in the laps of uncertainty.

The experience paradox

Perhaps the most revealing finding in the report is what economists and labour market experts often describe as the “experience paradox.” Employers increasingly seek candidates who can contribute immediately, reducing training costs and shortening onboarding periods. Yet fresh graduates, by definition, enter the market with limited professional experience. The result is a contradiction: young candidates are expected to possess experience before being given the opportunity to gain it.

While experience is needed, the opportunities are not so ubiquitous. Only 20% reported having access to paid internships during their studies, while 18% said they had no access to internships, projects, placements or freelance work at all. The problem does not end at employability but stretches back to accessibility. Students from institutions with strong industry networks often gain exposure through internships and placement programmes. Others, particularly those from smaller towns and less-connected institutions, may graduate without similar opportunities, entering the job market at a significant disadvantage.

A market drowning in applications

While the biggest obstacle is not about finding vacancies but standing out among thousands of candidates. It always was, but since the job market is now witnessing cut-throat competition, the problem has now bloomed bigger. Nearly half of respondents, 49%, identified getting shortlisted as the most difficult stage of the hiring process. Meanwhile, 61% said they seldom receive any response after submitting applications.

Applying has been made easy by diverse hiring platforms, but getting a job is becoming more and more difficult. A single vacancy can attract hundreds, and sometimes thousands, of applications within hours. For employers, searching for the right candidate in the heap of applications is becoming a challenge. Candidates often feel like sending resumes into a void. What are the consequences? A growing disconnect between effort and outcome.

When survival overtakes career aspirations

The data from the report underlines another growing concern: the gap between career ambitions and employment realities. There was a time when freshers used to weigh job offers based on their preferred role, company, and location. Gone are the good old days! The data suggests only 14% of respondents say they expect their first job to align with their preferred role, company, and location. On the other hand, 43% admitted that financial shackles are limiting their opportunities and influencing their decisions.

Traditionally, early careers were viewed as a period of exploration and skill-building. Increasingly, however, economic pressures are pushing graduates to prioritise income and stability over long-term career alignment. The first job is no longer a rosy picture of ambitions; it is becoming a necessity. While this may provide short-term employment opportunities, it raises questions about long-term workforce satisfaction, productivity, and retention.

The silent cost: Confidence

The economic consequences of prolonged job searches are obvious, while psychological consequences may be more important. According to the survey, 64% of respondents said repeated applications and rejections had stripped off their confidence or motivation. Only 20% believe they are currently on track with their intended career path. These findings highlight a dimension of unemployment that is often overlooked in policy discussions. For many young people, job searching is no longer a short transitional phase. It is becoming a prolonged period marked by uncertainty, delayed responses, and repeated setbacks.

Is India producing degrees faster than opportunities?

The findings arrive at a time when India is experiencing a unique demographic moment. The country has one of the world's largest youth populations and continues to expand access to higher education. The current situation raises an uncomfortable question: Is the pace of graduate production outstripping the creation of quality entry-level opportunities? The challenge is not necessarily a shortage of jobs alone. It is also a question of matching skills, expectations, and opportunities. Employers increasingly seek candidates with practical exposure, communication abilities, and workplace readiness. Educational institutions, meanwhile, often remain fixated on academic achievement. The gap between classroom learning and workplace requirements continues to be a recurring concern across industries.

Rethinking entry-level hiring

The future of entry-level hiring may depend less on experience and more on how organisations identify potential. The data appears to support that view. If entry-level jobs continue to require prior experience, the labour market risks creating a cycle where opportunities increasingly flow to those who already possess advantages, while others struggle to gain an initial foothold. Breaking that cycle may require stronger internship ecosystems, more structured campus-industry partnerships, expanded placement support, and hiring practices that place greater value on skills and potential rather than previous job titles.