The number of college graduates in China will hit a record high of 7.27 million next year outnumbering this year's outflow by 280,000, China Central Television reported.
With record number of graduates coming out of colleges putting a lot of pressure on job markets, the ministry of education has asked the students to seek employment in grassroots companies or work in small and middle-sized cities rather than large ones such as provincial capitals.
The ministry also encourages more college graduates to work for non-public companies to boost employment and promote the private economy.
Meanwhile, local government departments are required to lower the threshold for college graduates to start their own businesses, and simplify approval procedures.
In addition, from 2014, colleges and universities in China are required to release annual reports for graduate employment rates, and reduce enrolment plans for majors which produce graduates with continuously low employment rates.
Statistics showed that applicants taking the civil servant exam this year totalled 1.52 million.
However, on average 77 applicants competed for one position, and the enrolment ratio was 7,192:1 for the most wanted government post.
Many graduates are trying to grab a position in public offices because of better health care and housing welfare, and slim chances of being laid off.
The latest move is also aimed to help spur the private economy's development in the country, which has developed mixed ownership while keeping the dominant role of public ownership.