Graduate unemployment soars to 17-year high
By Peter Wozniak
The number of graduates unable to find work has reached levels of not seen since 1993, a new report reveals.
Graduate unemployment rose to 8.9%, up one per cent from the previous year, according to the Higher Education Careers Services Unit.
The rise represents a slow-down from last year’s report, when the rate rocketed from 5.5% to 7.9% as the country was in the teeth of recession and recruitment for private sector jobs came to a standstill.
The current number of graduates out of work has also not yet reached the levels seen in 1992 of 11.6%.
Nevertheless the report’s authors argue that graduate unemployed may yet shoot up further as jobs are lost and recruitment freezes take effect in what had previously been the most stable route to employment during the recession – the public sector.
The impact of the spending review remains largely unknown. Although graduates can expect far fewer opportunities in public service, the government hopes the slack will be taken up by a strong private sector-led recovery.
The figures show those with degrees in geography and psychology were most able to find work, while IT and civil engineering graduates were among the worst off with respective unemployment rates of 16.3% and 11.9%.
Many students, faced with the possibility of unemployment and a stagnant jobs market, have sought to pursue postgraduate study (rising 1.5% to 8.1%) and training.
The proportion getting graduate-level jobs fell 3.3%, but there was some mildly good news for 2009 university leavers, who saw average starting salaries rise – if only by £18 per year.
The combination of potential rises in university fees following the Browne review with the likelihood of the job market being flooded with up to half a million newly redundant public sector workers suggests new graduates are about to go through even more difficulties.
Nonetheless, Margaret Dane, chief executive of the Association of Graduate Careers Advisory Services (AGCAS) remained upbeat about current students’ prospects, saying: “In the current recession, higher education careers services are working very hard to prepare students and graduates for the realities of the labour market, highlighting the opportunities that still exist despite the downturn and helping them to enhance their employability in a competitive environment.”
