Right now, Gen Z is experiencing one of the most difficult job markets for new graduates in decades. There are lots of reasons for this, but one of the biggest factors is the combination of fewer entry-level opportunities with increasing skills expectations.

Entry-level jobs, which for many can be the launchpad to a prosperous career, are shrinking overall. According to a report from Cengage Group, 76% of employers kept or reduced entry‑level hiring in 2025, up from 69% the year before. Meanwhile, a Challenger report shows a total of 1.1 million jobs cut across the market from January to October.

At the same time, employer expectations are increasing. Point-of-sale kiosks, automated inventory software, keyless room entry, AI reservation agents, and similar tools are handling the routine work typically done by entry-level workers. As such, employers often expect more skills and experience than a worker’s age or zero work history would allow.

One way to overcome these challenges is to work with an agency who can negotiate with employers and give you access to “hidden” job opportunities. But there are some misconceptions about staffing agencies that may be keeping you from reaching out. So let’s debunk those myths and see what working with an agency is really like.

Key Takeaways

• The entry-level job market is tighter than ever, with fewer openings and higher skill expectations. This makes it harder for new graduates to break in through traditional job applications alone.
• Working with a staffing agency can expand your options, giving you access to hidden opportunities, stronger wage negotiation, and multiple pathways like temp-to-hire and direct placement, not just short-term gigs.
• An agency should be a partner, not a replacement, helping you build experience, confidence, and connections while you continue applying, networking, and shaping your long-term career strategy.

Mythbusting: 8 Misconceptions About Starting Your Career with a Staffing Agency

You may be hesitant to start your career with an agency. That’s not shocking, given the number of bad actors out there who give the rest of us a bad name. As a result, let’s walk through the most common myths we hear and what working with an agency is actually like.

1. Agencies only offer temp work.

While, yes, temp staffing is one of the services an agency offers to new graduates, it’s not the only one! We place people in all sorts of roles: temp, long-term contracts, contract-to-hire, and direct placement.

Plus, working with an agency can (and should be) a long-term relationship. So even if you start with a temp role, once that engagement has ended and you’ve built up some experience, we can position you for a more permanent position.

2. Agencies only staff for entry-level, low-skill roles

A relationship with an agency is something that can last your whole career. Which is good, since we don’t just place entry-level or low-skill roles, but support your growth throughout your career. In fact, we place a variety of high-skill professional and technical roles, and even sometimes executive positions.

3. Working with an agency isn’t a “real” job.

Unfortunately, too many agencies who abuse the agency contractor model have created a bad reputation for the rest of us. Specifically, that working with an agency isn’t a “real” job. That’s just flat-out false.

In fact, we’ve worked with people who’ve built long-term, high-earning careers from contracting through an agency. Yes, these engagements often last 1-2 years at a time, but a skilled worker with in-demand expertise usually doesn’t have trouble renewing or replacing those engagements quickly, sometimes even seamlessly.

4. Candidates have to pay fees.

This myth is particularly frustrating because it plays into narrative that scammers want out in the world. Let’s be clear: no reputable staffing agency will ask its candidates to pay fees of any kind. Under the traditional agency model, 100% of the cost involved in the search is carried by the employer. You won’t pay a dime.

5. You earn less because the agency takes a cut from your earnings.

If you work through an agency, you earn market wages. Period. End of story. Any markup to compensate us for our services comes on the employer end. We never take it out of your paycheck.

In fact, because most of our recruiters have more experience negotiating with employers (certainly more than the average college graduate), they can often get you a better wage or salary than if you were going it alone.

6. You have to accept every job that the agency offers you

Some people have this sense that because a recruiter is giving their time and leveraging their networks to find you a job, that means you “owe them” and have to take what you get. Again, not true. In fact, our recruiters are incentivized not just to make a short-term placement, but to find people who will succeed in a given job over the long haul.

7. Agencies just send you jobs already on public job boards

Believe it or not, not every company that’s looking to hire puts a public post up on Indeed or LinkedIn. That may be surprising. After all, it makes sense that a company would want to maximize a role’s exposure, so they’d leverage every avenue at their disposal.

But when companies post jobs publicly, it’s not uncommon for them to get hundreds of applications within the first day (even the first couple of hours) of its going live. Instead of wading through those applications, many employers will work with an agency who can leverage our professional networks to find the right people faster. As a result, we have access to more jobs than you’d be able to find online.

8. Working with an agency means you should stop your own search

At the same time, you shouldn’t stop your own search process. Recruiters can be helpful allies, but we aren’t miracle workers. We may have access to a bunch of roles, but our reach isn’t infinite. Which means if you continue your own search while working with an agency, you’re giving yourself the best chance at success.

In fact, working with a recruiter can help with the roles you find yourself. It’s possible that we know someone (or know someone who knows someone) at the company and can help float your resume to the top of the pile. And if not, we can give you the support, advice, and guidance you need to nail your interviews and find your next fit.

Why Starting Your Career with an Agency is a Smart Move

If you’ve just graduated from college or are graduating in the spring, you should definitely consider getting in touch with an agency. Especially if you want to get started quickly or are open to different roles and work environments to help you figure out what you like.

With an agency, you get someone who can provide the opportunities and support that don’t just land you in a job. We’ll help you succeed in a career and, hopefully, be your partner for decades to come.

But to do that, we’ll need some help from you:

• Be explicit with us about your target industry, willingness to relocate, pay floor (assuming you’ve done your research), and other factors that can help us find the right fit
• Don’t hesitate to use contract-to-hire or limited-term assignments to help you build measurable achievements and references for you to take into the future
• Keep applying to jobs and networking; use us as a partner, not a replacement for your own efforts

 

Let’s get your career moving forward. Contact Ethan Allen Workforce Solutions to talk to a recruiter today.