University & Beyond Understanding the Graduate Job Market · The UK Graduate Careers Survey 2016 Produced by High Fliers Research Limited ... •to learn new skills and interests

University & Beyond Presented by High Fliers Research Limited

University & BeyondUnderstanding the Graduate Job MarketThe Abbey School Thursday 23rd February 2017


Martin BirchallManaging Director, High Fliers Research


High Fliers Research

The Graduate Market in 2017Annual review of graduate vacancies & starting salaries at Britain’s leading employers

Produced by High Fliers Research

The UK Graduate Careers Survey 2016 Produced by High Fliers Research Limited

Employers who Use our Research


Employers who Use our Research


Why do Students go to University?

• to study a degree subject they’re interested in

• to enjoy university life and being a student

• to experience living away from home

• to become more independent

• to learn new skills and interests

• to help them get a good job and a successful career after university


What do Graduates do after University?

• 70,000 places each year for doctors, nurses, pharmacists, teachers & vets

• 25,000-30,000 places annually on graduate development programmes at the major national & international employers

• 75,000-100,000 direct entry places at organisations large and small

• up to 400,000 graduates will leave university in 2017


Graduates from the ‘Class of 2016’


Universities in the Survey

Belfast

GlasgowStrathclyde

Edinburgh

St Andrews

Newcastle

Durham

Lancaster

Liverpool

Manchester

York

Leeds

Sheffield

LoughboroughNottingham

Birmingham Aston

Warwick

OxfordCambridge

London Imperial College King’s College School of Economics University College

Bristol Bath

Cardiff

SouthamptonExeter

Leicester

A total of 18,353 final year students were interviewed in

February for the 2016 survey.


Finalists Plans for After University

Expecting to be looking for a graduate job

Expecting to take other work

Intending to do a postgraduate course

Taking time off orgoing travelling

No definite plans

Expecting to start a graduate job28%

16%

6%

25%

12%

10%

3%

Run own business


UNIVERSITY % UNIVERSITY %

Aston 61 Newcastle 43

Bath 56 Nottingham 43

Belfast Queen’s University 55 Leeds 41

Loughborough 55 Oxford 41

London School of Economics 52 Birmingham 40

Sheffield 52 Cambridge 40

London Imperial College 51 London King’s College 40

Warwick 51 London University College 40

Strathclyde 49 Southampton 40

Leicester 47 Cardiff 39

Bristol 44 Liverpool 39

Durham 44 Glasgow 38

Exeter 43 St Andrews 38

Lancaster 43 Edinburgh 37

Manchester 43 York 37

Finalists Expecting to Join the Job Market in 2016


Finalists Expecting to Join the Graduate Job Market in 2016

Computer science & IT

Engineering

Business & management

Law

Languages

Social sciences

Science

Arts & humanities

0% 20% 40% 60% 80% 100%

32%

37%

39%

40%

45%

58%

62%

70%

Percentage of finalists


Finalists’ Graduate Job Applications in 2015-2016

CAREER SECTOR % CAREER SECTOR %

Consulting 16.2 Human Resources 8.5

Marketing 14.6 Sales 7.9

Media 12.2 General Management 6.3

Research & Development 12.0 IT 4.7

Investment Banking 11.4 Retailing 4.7

Finance 11.4 Buying or Purchasing 4.0

Teaching 11.0 Transport or Logistics 3.2

Charity or Voluntary Work 10.7 Actuarial Work 2.3

Accountancy 10.0 Armed Forces 2.3

Law 9.9 Property 2.1

Engineering 8.9 Police 1.8


Preferred Type of Employer for First Graduate Job

Major national or international company

Small or medium-sized firm

Government or public sector organisation

Academic institution

Artistic institution or company

Voluntary sector organisation

Own business or freelance

0% 20% 40% 60% 80% 100%

4%

4%

6%

8%

14%

20%

46%

Percentage of job hunters


Preferred Location for First Graduate Job

4%

1%6%

2%

3%

6% 1%

4%5%

2%

46%

Overseas - 22%

<1%


Average Expected GraduateStarting Salary 2006-2016

£15,000

£17,500

£20,000

£22,500

£25,000

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

£22,

600

£22,

600

£22,

800

£23,

000

£23,

700

£21,

700

£22,

700

£22,

300

£22,

000

£20,

300

£24,

100


UNIVERSITY AVERAGE UNIVERSITY AVERAGE

London School of Economics £31,800 Strathclyde £23,500

Oxford £28,600 Leicester £23,400

London Imperial College £27,900 Manchester £23,300

Warwick £27,300 Edinburgh £23,100

Cambridge £26,600 Lancaster £23,000

Bath £25,400 Newcastle £23,000

London King’s College £25,200 York £23,000

Bristol £25,100 Birmingham £22,900

Durham £25,100 Southampton £22,800

Aston £24,900 Leeds £22,700

St Andrews £24,600 Sheffield £22,600

Loughborough £24,300 Glasgow £22,000

Exeter £24,200 Belfast Queen’s University £21,800

Nottingham £24,000 Liverpool £21,600

London University College £23,900 Cardiff £21,500

Average Expected Starting Salaries


Finalists Expecting Starting Salary

Computer science & IT

Law

Engineering

Business & management

Social Science

Science

Languages

Arts & Humanities

£0 £5,000 £10,000 £15,000 £20,000 £25,000 £30,000

£21,400

£22,500

£23,500

£24,600

£25,000

£25,900

£26,400

£27,600

Average expected starting salary


Expectations by the Age of 30Own your own house or flat

Be married

Lived and worked in a different country

Have achieved a professional qualification

Had holidays in at least ten foreign countries

Have completed a postgraduate course

Have children

Have reached a senior management position

Have worked for three or more organisations

Repaid student debts and loans

Be earning at least £100,000 per year

Set up own business

Have taken a career break

0% 20% 40% 60% 80% 100%

13%

16%

17%

23%

23%

30%

32%

40%

40%

43%

53%

53%

67%

Percentage of final year students


Average Graduation Debts 2006-2016

£0

£8,000

£16,000

£24,000

£32,000

£40,000

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

£18,

700

£19,

400

£20,

300

£20,

400

£30,

000

£10,

900

£11,

600

£15,

700

£17,

900

£10,

400

£36,

100

2015 2015 2015 2015

1 1 PwC 26 20 BP 51 64 ExxonMobil 76 76 Network Rail2 2 Aldi 27 26 Shell 52 81 Amazon 77 84 Bank of America Merrill Lynch3 4 Teach First 28 35 Army 53 55 Newton Europe 78 87 Norton Rose Fulbright4 5 Civil Service 29 29 Microsoft 54 34 Marks & Spencer 79 93 Lloyd’s of London5 3 Google 30 33 Clifford Chance 55 83 MI5 - The Security Service 80 54 Diageo6 9 KPMG 31 36 Morgan Stanley 56 50 Slaughter and May 81 90 Grant Thornton7 6 Deloitte 32 24 Tesco 57 63 Baker & McKenzie 82 61 Hogan Lovells8 7 NHS 33 31 Arup 58 78 Nestlé 83 73 Siemens9 8 EY 34 27 Procter & Gamble 59 48 Citi 84 86 Oxfam

10 10 BBC 35 51 RBS 60 66 Danone 85 NEW Irwin Mitchell11 13 Unilever 36 39 Allen & Overy 61 85 Penguin Random House 86 45 European Commission12 14 J.P. Morgan 37 53 Boston Consulting Group 62 58 Police 87 52 British Airways13 12 GSK 38 32 Freshfields Bruckhaus Deringer 63 NEW Santander 88 67 Local Government14 25 Lidl 39 41 Linklaters 64 NEW Virgin Media 89 79 BlackRock15 15 Goldman Sachs 40 42 Atkins 65 59 Deutsche Bank 90 89 Facebook16 18 HSBC 41 43 Sky 66 100 Bank of England 91 46 Cancer Research UK17 17 Accenture 42 40 Frontline 67 47 The Royal Navy 92 92 UBS18 11 John Lewis Partnership 43 49 BAE Systems 68 62 Airbus 93 99 Credit Suisse19 19 Jaguar Land Rover 44 37 Apple 69 96 Herbert Smith Freehills 94 NEW Savills20 16 Barclays 45 38 Mars 70 97 AECOM 95 NEW Standard Life21 22 McKinsey & Company 46 75 AstraZeneca 71 70 Boots 96 65 Bloomberg22 28 L’Oréal 47 44 BT 72 95 Wellcome Trust 97 80 Mondelez International23 23 Rolls-Royce 48 69 Transport for London 73 NEW RAF 98 68 McDonald’s24 21 IBM 49 72 WPP 74 60 DLA Piper 99 NEW BMW25 30 Lloyds Banking Group 50 56 Bain & Company 75 71 Mott MacDonald 100 94 BDO


The Graduate Job Market in 2017


Graduate Recruitment 2007-2017

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

-25% -20% -15% -10% -5% 0% 5% 10% 15% 20% 25%

10.1%

-6.7%

-17.8%

12.6%

2.8%

-0.8%

2.5%

7.9%

3.3%

1.6%

4.3%

Percentage annual change in graduate vacancies


Graduate Vacancies in 2017By Sector or Industry

SECTOR TOTAL

Accounting & professional services 4,489

Public sector 4,287

Engineering & industrial 2,155

Investment banking 2,005

Armed Forces 1,580

Banking & finance 1,436

Retailing 1,313

IT & telecommunications 961

Law 789

Consulting 691

Media 545

Consumer goods 321

Oil & energy 160


Graduate Starting Salaries 2007-2017

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

Median starting salaries

£30,000

£24,500

£25,500

0£10,000 £20,000 £30,000

£27,000

£29,000

£29,000

£29,000

£29,000

£29,500

£30,000

£30,000


Graduate Starting Salaries in 2017By Sector or Industry

SECTOR MEDIAN

Investment banking £47,000

Law £43,000

Oil & energy £38,000

Banking & finance £32,500

Consulting £31,500

Accounting & professional services £30,000

Consumer goods £30,000

IT & telecommunications £30,000

Media £30,000

Retailing £30,000

Armed Forces £27,000

Engineering & industrial £26,500

Public sector £23,000


31% of this year’s vacancies will be

filled by graduates who’ve completed work experience with the organisation.


Vacancies likely to be filled by graduates who’ve already worked for the employer

Investment banking

Law

Banking & finance

Consumer goods

Oil & energy

Consulting

IT & telecommunications

Media

Engineering & industrial

Accounting & professional services

Retail

Public sector

0% 25% 50% 75% 100%

8%

22%

29%

31%

32%

33%

33%

41%

47%

52%

56%

77%

Percentage of total graduate vacancies available in sector


Likelihood of graduates with no work experience getting a job offer

Very likely

Quite likely

Not very likely

Not at all likely

0% 10% 20% 30% 40% 50%

9%

47%

39%

5%

Percentage of Top 100 graduate employers


Applications per Graduate Vacancy 2016By Sector or Industry

SECTOR APP/VAC

Consumer goods 202

Media 103

Retail 75

Oil & energy 68

Banking & finance 61

Engineering & industrial 43

Investment banking 38

Public sector 26

Accounting & professional services 19

Consulting 18

ALL SECTORS 35


Making the Most of University


Why is Career Planning Important?

GCSEs

University

CareerA-levels


“I’ve no idea what I’ll want to do

after university.”

“I know what kindof job I want to do after university.”


“I know what kind of jobI want to do after university . . .”

• study a specific degree subject which prepares you for a particular profession or occupation

• aim for the very best course available

• courses could be at any university in the country – what counts is their reputation with employers

• check that courses have a good employment record

• don’t assume that because there are places on the course, there will be a similar number of jobs on offer


“I’ve no idea what I’ll want to do after university . . .”

• that’s fine – for 70% of graduate jobs, it doesn’t matter what subject you study at university

• choose a subject you’ll enjoy and will do well at

• try for the best university you can get into

• start job-hunting as early as possible at university

• make sure you get plenty of work experience

• do as many extra-curricula things as you can

The Graduate Market in 2016 Produced by High Fliers Research Limited

Employers’ Minimum Academic Requirements in 2016

First class degree

2.1 degree

2.2 degree

Minimum UCAS tariff

No minimum academic requirement

0% 20% 40% 60% 80% 100%

20%

19%

9%

67%

0%

Percentage of Top 100 graduate employers

The Graduate Market in 2016 Produced by High Fliers Research Limited

Most Targeted Universities in 2015-2016

UNIVERSITY UNIVERSITY

1 28 Manchester 11 17 Birmingham

2 25 Nottingham 12 3 London Imperial College

3 6 Warwick 13 22 Edinburgh

4 20 Bristol 14 9 London School of Economics

5 1 Cambridge 15 13 Loughborough

6 2 Oxford 16 21 Sheffield

7 10 London University College 17 16 Southampton

8 5 Durham 18 7 Exeter

9 12 Bath 19 23 Newcastle

10 14 Leeds 20 27 London King’s College


Before university

Penultimate year of university

First year of university

Final year of university

19%

30%28%

23%

When the ‘Class of 2016’ Started their Job Search


“Final year students who’d completed an internship or other work experience were three times more likely to have received a

definite graduate job offer, compared with those who’d had no work experience at all.”


Finalists’ Experiences at University

Active member of university society

Undertook charity or voluntary work

Been a senior member of university society

Ran a student society event or social activity

Went backpacking for a month or more

Spent three months living in a foreign country

Organised a student trip or expedition

Took part in political campaigns or protests

Worked as an Officer of Student Union

Ran own business

0% 20% 40% 60% 80% 100%

4%

5%

8%

11%

16%

19%

29%

38%

39%

56%

Percentage of finalists


Documents

University & Beyond Understanding the Graduate Job Market · The UK Graduate Careers Survey 2016 Produced by High Fliers Research Limited ... •to learn new skills and interests