China has kept the coronavirus largely under control for the past two years with its zero-Covid strategy even as the highly transmissible Omicron variant continues to affect the country.

However, the strategy has caused economic hardship with harsh lockdowns, a dampening of economic activity and supply chain impacts which are all reshaping the immediate future of many young people.

Increasing numbers of university graduates are being forced to choose either moving overseas or lowering their expectations if they remain in China amid a growing sense of uncertainty and fierce job competition.

A record 10.76 million college graduates are set to enter the mainland Chinese job market this year, according to the Ministry of Education.

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Shanghai, China’s current pandemic epicentre, has gradually loosened lockdowns in the past week as daily new infections dropped to three-digit numbers, but most businesses are still a long way off from reopening.

In response, Dai took a train from Shanghai to Zhengzhou, the capital of central China’s Henan province, on Friday last week, and after spending a week in quarantine she will be returning to her home village in nearby Xinxiang city.

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Shanghai residents allowed out to shop for groceries for first time in over 50 days

Shanghai residents allowed out to shop for groceries for first time in over 50 days

“I may stay at home for some time and then start looking for jobs in Zhengzhou, which I believe will not be easy either,” said Dai, who is graduating from a Zhengzhou university next month.

Few of her classmates have secured a job so far, she said.

In Shanghai, she earned 7,000 yuan (US$1,040) a month interning at a teahouse and shared an apartment with her co-workers.

“Of course, I’ll have to accept less in Zhengzhou. Maybe a monthly salary of 5,000 to 6,000 yuan (US$743-890),” she said.

A survey by online recruitment services provider zhaopin.com last month showed that China’s crowded graduating class of 2022 expected a monthly pay of around 6,295 yuan (US$935), six per cent lower than last year’s graduates.

Around half of them expected to be hired after graduating, also down by six per cent from last year, while an increasing percentage said they would try freelancing or simply postpone job hunting altogether.

Universities are increasingly finding themselves having to use all available connections just to get their students into employment.

An alumnus of the School of Foreign Languages at Shanghai’s East China University of Science and Technology said he recently received a message from the school asking for job recommendations.

“Because of the impact of Covid and the international environment, graduates of our school have met with difficulty finding jobs … it would be much appreciated if you could help them secure a job. We will pay a thank-you visit to you after the Covid outbreak is over,” the message said.

Local governments have also pledged support for young jobseekers and are encouraging local entrepreneurship as a countermeasure.

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The municipal government in Zhengzhou, where Dai is currently being quarantined, is among a number that have offered free hotel quarantine for college graduates fleeing from Shanghai.

Meanwhile, the Shanghai government has offered tax cuts and subsidies for college students who start their own businesses, according to a directive issued by the city last week.

But for students like Jin and Dai, entrepreneurship is not a viable option.

“I’m very confused at the moment and I don’t have the money,” said Dai. “It doesn’t sound like a realistic solution, especially as no one wants to spend money during the pandemic.”

“Businesses are going bankrupt. How likely would someone like me, who has neither money nor experience, become a successful entrepreneur?” said Jin.