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By Suzanne Blake
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Several of the most popular college majors among U.S. undergraduates are facing declining starting salaries, according to new labor market data from the National Association of Colleges and Employers (NACE).
The report's findings point to stagnation in earnings potential for graduates in traditionally high-enrollment fields such as communications and social sciences, raising questions for students weighing the return on their educational investment.
Business, health professions, social sciences, biological sciences, psychology and engineering remain the most commonly pursued bachelor's degrees in the U.S., according to the National Center for Education Statistics.
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Yet data from NACE's 2024 Winter Salary Survey suggests that some of these fields are losing ground in terms of initial earnings.
Why It Matters
The news comes amid broader shifts in employer demand and economic conditions, even as some technical and science-related fields continue to see growth in salary projections. As students and families plan for the costs of higher education, the changes could significantly affect their choices.
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What To Know
The NACE report shows a projected 3.6 percent drop in starting salaries for social science graduates in 2025, making it one of a few major academic disciplines expected to see a year-over-year decline.
Communications, a field that has consistently ranked among the top 10 most popular majors, is also experiencing shrinking salary projections for new graduates, Newsweek previously reported.
This realignment of value in the labor market underscores the widening divide between disciplines that lead to immediate economic returns and those that may offer more indirect or long-term benefits.
While most technical fields are experiencing modest salary gains, liberal arts-related majors are not keeping pace. The NACE report projects these average starting salaries for the Class of 2024:
- Social Sciences: down 3.6 percent from the previous year
- Communications: projected to fall 3 percent to $60,353, down from $62,205
- Math and sciences: down 1.9 percent from last year to $69,709
Business, health professions, social sciences, biological sciences, psychology and engineering remain the most commonly pursued bachelor's degrees in the U.S., according to the National Center for Education Statistics.
Business is seeing a 2.1 percent increase and fields such as engineering and computer science continue to lead in projected starting pay, with engineering majors expected to earn an average of $78,731—up 2.6 percent from last year.
What People Are Saying
Michael Ryan, a finance expert and the founder of MichaelRyanMoney.com, told Newsweek: "AI isn't just another tech wave; it's a tsunami reshaping everything in its path. Looking backward at salary studies is like checking yesterday's weather to plan next year's garden."
Ryan, who has two college-aged sons, added: "My boys aren't entering the job market I navigated; they're stepping into a world where the ability to reinvent yourself matters more than your major. The most valuable skills won't show up in these reports."
Kevin Thompson, the CEO of 9i Capital Group and the host of the 9innings podcast, told Newsweek: "Higher education still remains important, but there is a noticeable shift toward trade jobs as many view college as too expensive. Gen Y and Gen Z have been burdened by extraordinary student loan debt and were sold a false version of the American dream when it comes to college. I do believe wages will increasingly dictate the direction students take. They'll need to find ways to pay off that debt more quickly, and that means moving toward majors that offer better pay to justify the cost of education."
Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek: "More generalized careers in those areas are often easier to layoff and bring in new entry level employees at a lower pay scale. If you majored in one of these areas, it's not time to hit the panic button, but it could be a tad more difficult finding the pay you want."
HR consultant Bryan Driscoll told Newsweek: "This, along with so many other data points, tells me the job market is broken. These specific fields are the ones we keep saying we value as a society. But we don't pay these workers like we do."
"This reflects a growing disconnect between the cost of higher education and the actual return on investment. Students are taking on five or six figures of debt, only to graduate into jobs that can't even cover rent in most cities."
What Happens Next
With earnings potential continuing to shape educational decisions, students may increasingly opt for degrees in high-growth, high-pay sectors like computer science and engineering.
Colleges may need to address how they market liberal arts and social sciences degrees, perhaps emphasizing skills like communication, critical thinking, and adaptability—traits that, while less quantifiable than salary data, remain valued in a dynamic workforce.
"Will this change what students study? Absolutely, and that's the real tragedy," Driscoll said. "We're forcing young people to pick careers based on survival, not passion or purpose. And when the only degrees that pay are the ones that feed the corporate machine, we all lose."
Have you considered changing your major because of predicted salaries? Newsweek would love to hear from you. Please contact Suzanne Blake at s.blake@newsweek.com.
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