Thousands leaving university struggling to find job

Around one in 12 (8.5 per cent) of those who graduated in 2010, some 19,785 in total, were still without a job six months later, down from 8.9 per cent in 2009, according to the Higher Education Careers Service Unit (HECSU).

This is the first fall since the start of the recession, but graduate unemployment is still higher than before the economic crisis began, the study says.

In 2007, before the recession, it stood at 5.5 per cent. There were around 20,000 fewer students graduating in 2007 than in 2010, HECSU said.

Charlie Ball, HECSU deputy research director, said: “While graduate unemployment has fallen, it remains high in comparison to levels reported at the beginning of the recession and graduates still face stiff competition – not just from their peers but also from more recent graduates.”

The annual What Do Graduates Do? study is based on official data collected through a survey of thousands of graduates to find out who was employed, in further study, or out of work.

The findings show that 284,160 students graduated in 2010 with a first degree.

Of these, 62.2 per cent went into work, 13.5 per cent went on to further study and 7.6 per cent were working and studying.

The study suggests that amid a squeeze on public spending, there were signs that fewer graduates were going to work in the public sector.

“Whilst there are signs of growth in the business and financial services sector creating more opportunities for recent graduates, 2011’s ongoing reduction in public sector employment is likely to affect graduates,” it says.

The report adds that “modest” growth in private sector employment may offset slowing public sector recruitment.

It also says: “It appears that in 2010 there has been a reversal as there are fewer graduates in 2009/10 entering employment in the public sector and an increase in those entering the banking and finance sector.”

While there was no major decline in the numbers of graduates going on to work as nurses, doctors and teachers, clerical and secretarial posts in areas like local government, public administration and defence have dropped.