It’s that time of year when graduate surveys are produced, which tend to have a big impact on expectations for employers, undergraduates and graduates. There is a good summary of a number of these surveys (from High Fliers and HESA, with AGR’s due out on 9th July) provided by the Guardian.
The Truth about Salaries – The surveys which tend to get most media attention (High Fliers and AGR) are important but it needs to be remembered they only reflect the major graduate recruiters, whom recruit in total, typically, around 10% of the graduates leaving University each year. So with High Fliers stating average starting salaries of £29,000 this is based on the 100 ‘leading graduate recruiters’ and when AGR come in with their figure, which I expect to be around £26,000 for this year, they represent the largest 600 employers.
So if as an employer you want to compete for the same 10% of graduates that is the salary levels you need to consider
If as a graduate you feel you are in that top 10% then those are indeed the salaries you can potentially get.
However for the vast majority of graduates, the HESA stats (these are gathered from data supplied by all Universities graduates) are more reflective, which is an average of £20,000. This is of course an average so graduates will get more or less than this depending on the role they go into and where in the country they work.
The Truth about Job Prospects – It is still a tough job market as a graduate. 74% of graduates, according to the Trendence Institute, expect to find it tough.
Graduates are making or expecting to make 34 applications to find their first position; and according to the AGR employers are receiving on average 83 applications per vacancy. This does not mean however, as the media have tried at times to make us believe, there are 83 graduates for each vacancy (because we know graduates make more than one application!).
Whilst it is true there are less graduates roles than there were pre-recession; the real reason the graduate job market is so competitive is not because of the recession (although that has of course had a significant impact) but rather there are so many graduates chasing those graduate roles. With 2,500,000 people studying in HE, which generates c350,000 graduates year, there are just no enough (traditional) graduate level roles for them all. Add to that almost 2/3rds of graduates get a 2.1 or better, so academic success does not make you stand out as a graduate, and nor as an employers does it help you identify the best quickly.
To become competitive as a graduate, you need to offer more than your degree; and as an employer to recruit the best you need to look beyond academic results (not to mention the fact that academic success does not always directly correlate to work based success)
The Truth about the graduate market is that each year (recession or not) it has become tougher and tougher for both parties. For graduates because of the huge ‘supply’ and for employers because of both the ‘huge ‘supply’ and ‘demand’ for the best as more & more employers (be they a global business or small entrepreneurial start up) want to attract & recruit the strongest talent.
So what’s to be done?
As an undergraduate and graduate you need to answers the question ‘what more have you done?’ Or put another way, and to quote one of our keynotes from the recent Bright Futures employability conference we ran, graduates need to be asking ‘what do I need to do to work for you?’ NB For a FREE copy of our post conference report go to: http://brightfutures.co.uk/home/events/national-conferences/employability-conference.html
And as an employer, find ways to spot talent early and build a relationship with that talent, both online & face to face on campus – because in today’s world it is not about how do you generate applicants but rather how do you generate ‘fewer and better applicants’.