International Journal For Multidisciplinary Research

E-ISSN: 2582-2160   •   Impact Factor: 9.24

A Widely Indexed Open Access Peer Reviewed Multidisciplinary Bi-monthly Scholarly International Journal

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Volume 8 Issue 4
July-August 2026

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Graduate Underemployment in the Modern Workforce: Causes, Challenges, and Corrective Measures

Author(s) Mr. Aryan Anand
Country India
Abstract Graduate underemployment is becoming a significant issue in India as the job market evolves. While more students are earning degrees than ever before, many graduates continue to face difficulties finding positions that match their skills and qualifications. This paper explores the main causes of underemployment among graduates and suggests practical solutions to enhance their employability in India.
This study uses secondary research, drawing on doctoral theses, academic articles, and reports from organisations such as NASSCOM, ASSOCHAM, and NITI Aayog. The research shows a big gap between what higher education provides and what employers want. For example, only 7% of business graduates in India are considered ready to work right away, and almost 75% of engineering graduates lack the skills needed for direct hiring. Employers are often unhappy with how prepared graduates are, especially in areas like communication, problem-solving, professionalism, and practical workplace skills.
The study finds that academic degrees are important, but long-term employability also requires practical experience, industry exposure, strong communication and behavioural skills, adaptability, and ongoing learning. Working together, students, schools, employers, and policymakers can help reduce graduate underemployment and better prepare people for the workforce in India.
Keywords Graduate Underemployment, Skill mismatch, Employability Skills, Industry–Academia Collaboration, Internships, Soft Skills, Lifelong Learning
Field Business Administration
Published In Volume 8, Issue 4, July-August 2026
Published On 2026-07-17
DOI https://doi.org/10.36948/ijfmr.2026.v08i04.83864
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CrossRef DOI prefix of IJFMR is 10.36948/ijfmr

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