‘Upskilling’ will not always insulate people from a downturn,
especially those entering the labour market for the first time. For
example, in previous recessions, graduate unemployment has been
a problem.There is certainly a risk that there will be lifetime earning
losses for the generation of graduates who come on to the market
in the middle of a downturn.The situation in this recession may be
worsened by the fact that in recent years, the supply of graduates
has increased dramatically and the returns to a degree appear to be
falling for some new graduates (O’Leary and Sloane, 2005).