The Business Outlook

Publishing the Tales With More Insight

Like many of my Gen X peers, my summers were packed with various jobs, both good and bad. I worked at a Ponderosa Steakhouse, then in a hospital kitchen. I also wrote press releases for the Ontario government, managed a newspaper for high school students, interned at the Toronto Star, and took on several other gigs along the way.

My Gen Z kids, however, have had a different experience. My youngest secured a tree-planting job this summer, only to have it canceled at the last minute. He then searched for retail and restaurant jobs with mixed results. My middle child transitioned from college to culinary school and is working as a caterer and kitchen staff between classes. My oldest, 23, interned at a law firm and an AI startup during previous summers but currently makes a living playing poker, investing in stocks, and winning golf tournaments. He wants a traditional job but doesn’t seem too concerned.

I thought of them when I read that Gen Z is struggling to find entry-level jobs. U.S. companies hired fewer interns this past summer, particularly in tech and finance. It’s no wonder younger workers seem discouraged.

When I spoke with Kevin Ali, CEO of the women-focused healthcare company Organon, yesterday, he mentioned that the company received 1 million applications for around 9,500 positions. “People who are really interested in the women’s health space have been drawn in and want to be a part of this.”

That’s true, but it also means that fewer than one out of every 100 applicants to Organon secured a job. The odds of being hired by companies like Google are even slimmer, which can be disheartening, especially for young men.

Some leaders criticize the work ethic of young people or lament a lack of talent without considering what they’re doing to support the next generation. The potential of AI to displace jobs complicates the situation further for employers, who are hesitant to expand their workforce when they might soon need to downsize.

The silver lining for Gen Z workers is that those who don’t land great entry-level jobs may become more resilient by creating opportunities for themselves. My eldest, for example, takes free AI and cybersecurity courses through Google when he’s not organizing his tournaments. Many of his friends do the same. If companies aren’t willing to train them, they’ll train themselves. Rejection can work both ways.

More news below.

Diane Brady
diane.brady@fortune.com
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TOP NEWS

Nvidia Earnings Watch
Nvidia will report quarterly earnings this afternoon in what one tech analyst described as “the most important tech earnings in years.” The chipmaker’s recent performance is seen as a barometer for the long-term profitability of AI and the future of AI-driven stock booms. Fortune

Zuckerberg Calls Out Biden Administration
Meta CEO Mark Zuckerberg revealed in a letter to Rep. Jim Jordan (R-Ohio) that he was “repeatedly pressured” by Biden administration officials to censor COVID-19 content. He expressed regret that the company wasn’t “more outspoken” about the issue and stated that he will no longer comply with such requests from any administration. Fortune

Bloomin’ CEO’s Signing Bonus
Bloomin’ Brands, the parent company of Outback Steakhouse, is bringing on former Delta COO Mike Spanos as its new chief executive, offering him a $500,000 signing bonus—double what he received when he joined Delta. Spanos’s initial compensation package is valued at $12.3 million, and he’ll also receive nearly $2 million in severance from Delta.

AROUND THE WATERCOOLER

  • Peloton’s former billionaire CEO says he’s lost all his money and had to sell his possessions, by Orianna Rosa Royle.
  • New CEO could bring Red Lobster C-Suite stability—and prevent another endless shrimp debacle, by Sheryl Estrada.
  • The NFL is on the verge of allowing private equity investments in the league, by Paolo Confino.
  • Americans are liquidating stock portfolios to pour more money into sports betting, by Sasha Rogelberg.
  • Billionaire Autonomy cofounder Mike Lynch and Stephen Chamberlain’s careers were closely linked in a fraud trial. They both died on the same day in different cities, by Lila MacLellan.

This edition of CEO Daily was curated by Joey Abrams.

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