Graduate job rate hits new high, but course satisfaction drops

The graduate job market has stayed strong with the full-time employment rate now at its highest level in 15 years.

The graduate employment rate has hit a new high

The graduate job market is maintaining its post-Covid strength with the full-time employment rate now at its highest level in 15 years, even as graduates are becoming less satisfied with their courses.

The 2023 Graduate Outcomes Survey, released on Tuesday, shows the domestic undergraduate full-time employment rate hit 79 per cent in the latest survey, compared to 78.5 per cent last year. It is now over 10 percentage points higher than in 2020 at the height of the pandemic.

The job market is also strong for those completing postgraduate qualifications. The full-time employment rate for those finishing postgraduate coursework degrees and postgraduate research degrees are also at highs, standing at 90.3 per cent and 85.3 per cent respectively.

The full-time graduate employment rate measures the number of recently graduated people in full-time work, relative to the number of recent graduates who are available for full-time work. Over 100,000 graduates were surveyed within 4-6 months of completing their degree.

Graduate salaries have also risen in the current strong job market.

For those completing undergraduate degrees the full-time median salary is up 4.5 per cent to $71,000 a year, for those completing postgraduate coursework degrees the full-time median salary is up 5.5 per cent to $96,600 a year, and for those completing postgraduate by research degrees the full-time median salary is up 4.2 per cent to $100,000 a year.

These increases in graduate salaries compare favourably to the 4.2 per cent rise in the wage price index over 2023.

“Graduates are landing full-time jobs quicker and with higher salaries,” said Universities Australia CEO Luke Sheehy. “With growing demand for graduates, expanding university access is crucial.”

However the proportion of underemployed graduates (those who are working part-time but want to increase their hours) rose in 2023 in spite of the strong job market.

In 2023 the underemployment rate for those completing undergraduate degrees was 15 per cent, compared to 13.8 per cent in 2022.

Also the satisfaction level with their courses, of those completing undergraduate degrees, has continued to trend downwards.

After hitting a high of 80.7 per cent in 2020, the pandemic sent graduate satisfaction with undergraduate courses down to 77.9 per cent in 2021 and, by 2023 it fell to 76 per cent. The survey of graduates about course satisfaction included international, as well as domestic, students. However people completing postgraduate courses do not show the same level of dissatisfaction. After a low of 79.8 per cent in 2001, postgraduate satisfaction with courses climbed to 80.9 per cent in 2023.

The survey shows graduate job outcomes by university and for undergraduate courses, the top six universities (for full-time employment rate) are: Avondale (97.7 per cent), Charles Sturt (91.2 per cent), James Cook (89.5 per cent), New England (89.2 per cent), Notre Dame (86.5 per cent), and CQUni (86.2 per cent).

The bottom six are RMIT (71.8 per cent), Western Australia (69.6 per cent), Torrens (68 per cent), Murdoch (67.7 per cent), Melbourne (67.7 per cent) and Victoria (64.5 per cent).

However employment rates are affected by many factors, including a university’s proportion of mature students who have well established careers and move directly into full-time work, and a universities course profile. Graduates of vocationally and professionally oriented courses often find work faster.

For example, Charles Sturt University, the University of New England and CQUni have large numbers mature students working while they study, which partly accounts for their strong job performance.