In 2016，China’s labor market maintains at a stable situation throughout the year，and substantial employment opportunities are created. For the first three quarters，a total of 10.67 million urban jobs were created，which already accomplished the annual target set at the beginning of the year. The urban registered unemployment rate still maintains at a low level of 4.04%. During the process of addressing overcapacity and reducing inventory，the employment pressure has been accumulated. China’s government has promoted a series of policies to improve the employment situation. On the one hand，behind the stable employment situation，the fundamental factors include：China’s economic growth rate keeps at a reasonable range，the industrial structure has been upgraded，the bonus of reform has been released，and positive employment policy has been implemented. On the other hand，the regional transition of industry has also affected the location of the employment of university graduates. The percentage of employment of university graduates in the tertiary industry is the highest，while the percentage of employment in education，medical service，and information technology is also increasing. The authors recommend that，with high priority on enhancing employment rate among university graduates，more attention should be paid to the employment stability and the facility of innovation and entrepreneurship. Furthermore，providing effective and flexible employment service，strengthening the statistics collection and forecasting labor market demand，and bridging the gap between university education and labor market demand，will all improve the quality of employment among university graduates.