New research from hiring platform Indeed reveals that Australian graduates are anxious about finding jobs, with undergraduate degrees diminishing in importance in the eyes of employers who are looking for candidates with work experience.
The survey has found that the perceived value of university degrees has declined, with 68 per cent of employers and 61 per cent of graduates believing undergraduate degrees alone are no longer enough to get them the role they aspire to.
While 63 per cent of employers believe degrees remain essential to securing employment, only 50 per cent believe a degree is more important than work experience. On the other hand fewer graduates (46 per cent) believe a degree is essential to getting a job and only 35 per cent believe a degree is more important than work experience. A further 29 per cent of graduates believe degrees are not essential to securing a job — suggesting that while degrees have declined in value, graduates may be at risk of underestimating their importance to employers.
Of the 58 per cent of graduates who believe their degree won’t help them secure a job with a higher salary, 66 per cent say that they wish they had sought a placement or work experience after Year 12, while 61 per cent say they would have gone into further education, 55 per cent would have chosen a different degree course, and 47 per cent would have gone to a technical or vocational school instead of university.
The research indicates that internships and work experience have become a key consideration in recruitment, with most employers (79 per cent) and graduates (75 per cent) believing an internship or work experience gives them a competitive advantage in securing a job.
Interestingly, the recruitment market appears to be more favouable for female graduates, with male graduates more likely than females to believe they will struggle to find a role (37 per cent of men compared to 21 per cent of women), and are more likely to experience anxiety when it comes to job hunting (58 per cent versus 46 per cent).
The research reveals female graduates who have already secured a graduate role have had to apply for fewer roles before being hired compared to their male counterparts with 49 per cent of female graduates applying for five or more roles before securing a job, versus 77 per cent of males. Similarly, male graduates are having to attend more interviews than females — 61 per cent of male graduates had attended five or more job interviews, compared to just 17 per cent of females.
“The rise in the number of small businesses open to recruiting graduate talent may be a by-product of a tight labour market and ongoing financial pressures,” Sally McKibbin, Career Coach at Indeed (pictured here), said. “Many employers are starting to recognise the benefits of hiring graduate talent alongside – or in some cases, instead of – more experienced workers.
“Graduates often bring a level of innovation and creativity to an organization – they can offer new, fresh ways of thinking and problem-solving, and tend to have a keen understanding of and confidence in a variety of technologies,” McKibbin added. “These skills and traits are highly valuable to small businesses looking for more efficient ways of working, or to enter new markets. Without a doubt, hiring graduates – especially in the current job market – can be a smart move for smaller businesses. Employers who are open to hiring grads will tap into a pool of talent equipped with the latest skills and techniques in their field, offering new ideas and long-term potential,” she concluded.
