Starting salaries: the low down
Money talks. Specifically, it tempts you towards certain jobs rather than others. Investment banking over teaching. Engineering over journalism. Not that salary is everything, but after paying a three grand a year for each year of a degree, it’s no surprise that grads are paying it more attention than ever . So whatever job you’ve got your heart set on, or whether you’re still considering career options, here’s the lowdown on starting salaries.
Top earners
Time for anyone who dreams of becoming a lawyer to feel very smug. Your dream job comes with dream money – the most offered to grads in fact. Lawyers have overtaken bankers as those who enjoy the highest starting salaries, at £36,500 for the just-qualified, according to the Association of Graduate Recruiters (AGR). Remember though, trainee lawyers are renowned for inhospitable working hours – your hourly rate might not work out quite as palatably.
Bankers, of course, earn much more than the average graduate, taking home £35,000 a year. This makes the City still an obvious career choice for ambitious graduates, especially since a new trainee may receive another 50% of their salary in annual bonuses. According to the UK Graduate Careers Survey 2008, record numbers of students hope to join a City bank when they leave university. In fact, one in eight students graduating this year wants to be an investment banker, a rather worrying stat considering the economic slowdown.
The average starting salary
But what does the average graduate get paid in their first job? The latest statistics from the Higher Education Statistics Agency (HESA) show that the median starting salary for graduates from the 2006/2007 academic year was £19,000.
However, according to the AGR, this year’s grads will receive a rather more tempting median of £24,500. Why the difference?
The AGR figure comes from a survey it carries out of its members. Its members are mainly large companies that specifically target graduates – i.e. those with graduate training schemes. So this figure is very relevent to you if you're hoping to get on a graduate scheme.
The HESA stats on the other hand include smaller recruiters that may not necessarily require degree holders. Their figure is arguably more relevant to the majority of grads.
Specific professions
The below research was carried out by Prospects using vacancies advertised in the 2007/8 issue of Prospects Directory, published in September 2007:
| Job category | Median |
|---|---|
| Administration | £20000 |
| Advertising, marketing and PR | £24,000 |
| Arts, design & crafts | £18500 |
| Construction & property management | £22500 |
| Economists, statisticians etc | £25000 |
| Engineering | £22500 |
| Finance, insurance and pensions & actuarial work | £ 24000 |
| Health care | £17000 |
| Human resources & employment | £22500 |
| Information services | £21196 |
| Information technology | £25000 |
| Law enforcement & public protection | £24842 |
| Legal services | £36000 |
| Leisure, sport & tourism | £15300 |
| Logistics & transport | £23000 |
| Management consultancy | £25000 |
| Manufacturing & processing | £24842 |
| Natural resources & the environment | £23000 |
| Publishing, media & performing arts | £17400 |
| Sales, retail & buying | £22500 |
| Scientific services | £27040 |
Below are a few other popular first jobs for graduates, with some idea of what to expect salary-wise.
Journalism: £10,000-£18,000 (according to the NUJ, journalists’ starting rates are at least £7,000 less than the median starting salary for graduates, 75% of journalists earn less than the average wage of a professional worker and 80% can’t afford the average house mortgage.) Coming in as a reporter on regional or local newspapers will get you a salary at the low end of this scale, whereas becoming an editorial assistant for a website or trade magazine is likely to earn you around £17-18,000 (possibly less outside London).
Sales: The variety of sales jobs out there is huge, so depending on who you’re working for and where you’re based, your basic salary is likely to be anywhere between £15,000 - £24,000. Note though, that annual bonus can top this up substantially.
Social work: A qualified social work graduate can expect an average starting salary of £20 – £23,000, says the Scottish Social Workers Council.
Teaching: The starting salary for newly qualified teachers in September 2007 in England and Wales was £24,168 in inner London and £20,133 in most other areas, according to targetjobs.co.uk.
Civil service: The average salary for a graduates who joined the civil service in 2007 was £21,885. (The Recruiter) (Prospects says that the starting salary on the Fast Stream averaged £24,500 last year, though this varies slightly between departments.)
Graphic designer: Starting salaries are between £12,000 and £16,000, according to Hobsons.
Conference producers usually earn at least £18,000 in their first job, though are likely to receive a bonus as well.
