Young Gen Z entrepreneurs are finding a distinct, yet somewhat traditional route to business ownership. Many of them are opting for trade schools instead of the typical four-year colleges. These trade programs are viewed as practical and profitable with a direct route to entrepreneurship.
Trade schools offer career paths with an average base salary of $73,307. While these programs can lead to conventional jobs in skilled trades, there is also a high demand for independent professionals like plumbers and electricians across the country. This demand provides a clear pathway for individuals with these skills to start their own businesses.
According to a report by Samsung and Morning Consult, titled “The Rise of Gen Z and the Future of Work,” half of Gen Z is interested in starting their own businesses rather than following traditional career paths. The survey, which included responses from over 1,000 Gen Zers aged 16 to 25, highlighted that many in this generation feel disillusioned with the corporate world.
Additionally, 58 percent of respondents expect significant changes in the workforce due to advancements in AI technology. Since skilled trades are seen as mostly resistant to automation by AI, this adds to the appeal of trade jobs.
These shifts are taking place at a time when college costs in the U.S. have more than doubled since 2000, according to the Education Data Initiative. Moreover, 68 percent of Gen Zers in a New America survey believe that it’s possible to get a well-paying, stable job with some technical education or college, but without necessarily having a degree.
The host of “How America Works,” Mike Rowe, recently pointed out that many young people are questioning why they should incur massive debt for a degree in an undeclared major, especially when there are numerous job opportunities that don’t require a four-year degree.
The advantages of this route are clear, whether one is entering the workforce for the first time or looking to start a business. It’s critical to evaluate the long-term prospects of any industry and the associated costs of different educational paths. Gen Z appears to be thoughtfully considering these factors as they prepare to enter the workforce in the coming years.
