American universities train roughly twice as many Ph.D.s as there are jobs for them.
And yet, Unemployment Rate of U.S. Scientists and Engineersrs Drops to Record Low 2.5% in 2006 (pdf) And there are plenty more studies that show low unemployment rates among PhD scientists
Somebody is wrong, and it's Katz. He's assuming that the only job is that of an academic teaching at a university, and while that career path is oversubscribed, it's not what the majority of scientists do. The big point he makes that's IMO on target has to do with unreasonable expectations of what your job is going to be. If your dream is to become a professor at a university and run a big, successful research program and spend all day in the lab, know that you have a tough battle ahead of you and you most likely won't end up where you want to be.