SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

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SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates July 12, 2012 SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

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Page 1: SHRM Survey Findings:  The Hiring of 2012 University/College Undergraduates and Postgraduates

SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

July 12, 2012

SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

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Key Findings

Have organizations hired any 2012 university/college undergraduates and/or postgraduates as full-time, part-time and/or temporary/contract employees? Almost one-half (47%) of organizations have hired one or more 2012 undergraduate job seekers to begin working before or after graduation. This percentage has increased compared with 2011 (41%) and 2010 (30%). Nearly one-third (31%) of organizations have hired one or more 2012 postgraduate job seekers to begin working before or after graduation, also an increase from 26% in 2011 and 20% in 2010.

What are the most common job categories filled by 2012 university/college undergraduates and/or postgraduates? Nearly two-thirds (64%) of the positions filled by 2012 undergraduates were full-time positions, less than one-quarter (19%) were temporary or contract positions, and 15% were part-time positions. Eighty-three percent of 2012 postgraduates were hired to fill full-time positions, 7% were temporary/contract positions and another 7% were part-time positions.

Do organizations that have not yet hired 2012 university/college graduates plan to do so later in the year? More than one-half (53%) of organizations that have not hired any 2012 undergraduates or postgraduates as full-time, part-time or temporary/contract employees have no plans to hire 2012 graduates this year.

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Key Findings

What are the main reasons that organizations have not yet hired or do not plan to hire 2012 university/college graduates? Three-quarters (75%) of organizations indicate that there are no current openings for 2012 graduates. Some organizations also say that 2012 graduates may be underqualified (18%) or overqualified (17%) for available positions.

Compared with the recruitment of 2011 university/college undergraduates and postgraduates, are organizations finding it more difficult to recruit 2012 graduates? Most organizations have experienced about the same level of difficulty recruiting undergraduates (68%) and postgraduates (62%) in 2012 and 2011. Less than one-quarter of organizations reported increased difficulty recruiting undergraduates (14%) and postgraduates (19%) in 2012 compared with a year ago.

What basic skills/knowledge and applied skills are 2012 university/college undergraduate job seekers lacking? Common basic skills and basic knowledge 2012 undergraduates lack are writing in English (45%), mathematics (17%) and speaking the English language (12%). Organizations report that common applied skills 2012 undergraduates are lacking are written communication skills (41%), critical thinking/problem-solving skills (38%), oral communication (30%) and lifelong learning/self-direction skills (28%).

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Has your organization hired any 2012 university/college undergraduates or postgraduates as full-time, part-time or temporary/contract employees?

47%

41%

30%31%26%

20%

Undergraduates Postgraduates

2011

Note: Respondents who answered “don’t know” were excluded from this analysis.

2012 2010

(n = 250 – 359) (n = 219 – 335)

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• Organizations with 100 or more employees are more likely than organizations with less than 100 employees to have hired 2012 undergraduates.

100 to 499 employees (41%)500 to 2,499 employees (49%)2,500 to 24,999 employees (62%)25,000 or more employees (65%)

> 1 to 99 employees (21%)

• Organizations with 2,500 or more employees are more likely than organizations with less than 100 employees to have hired 2012 postgraduates.

2,500 to 24,999 employees (38%)25,000 or more employees (44%) > 1 to 99 employees (13%)

Note: Only statistically significant differences are shown.

Has your organization hired any 2012 university/college undergraduates or postgraduates as full-time, part-time or temporary/contract employees?

Comparisons by organization staff size

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• Publicly owned for-profit organizations are more likely than privately owned for-profit organizations to have hired 2012 undergraduates .

Publicly owned for-profit organizations (56%) > Privately owned for-profit organizations (34%)

• Nonprofit organizations are more likely than privately owned for-profit organizations to have hired 2012 postgraduates.

Nonprofit organizations (39%) > Privately owned for-profit organizations (18%)

Note: Only statistically significant differences are shown.

Has your organization hired any 2012 university/college undergraduates or postgraduates as full-time, part-time or temporary/contract employees?

Comparisons by organization sector

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Does your organization plan to hire one or more 2012 university/ college undergraduates or postgraduates as full-time, part-time or temporary/contract employees in 2012?

No, 53%Yes, 47%

Note: n = 165. Only respondents whose organizations have not yet hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or temporary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis.

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What are the reasons your organization has not hired and does not have plans to hire 2012 university/college undergraduates or postgraduates this year?

Other

Too early to hire for 2012

Too late to hire for 2012

Hiring freeze put in place

Overqualified for open positions

Underqualified for open positions

No current openings for recent graduates

9%

1%

1%

8%

17%

18%

75%

Note: n = 87. Only respondents whose organizations have not yet hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or temporary/contract employees and have not plans to hire were asked this question. Respondents who answered “don’t know” were excluded from this analysis. Percentages do not equal 100% due to multiple response options.

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In which job category did your organization hire most of the 2012 university/college undergraduates or postgraduates?

Roughly equal for each category

Part-time

Temporary/contract

Full-time

3%

7%

7%

83%

2%

15%

19%

64%

Undergraduates Postgraduates

Note: Only respondents whose organizations have hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or tempo-rary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis.

(n = 140) (n = 83)

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For the 2012 university/college undergraduates or postgraduates your organization has hired or made job offers to, has the total compensation (salary and benefits) offered been about the same as offers made in the last three years?

Less total compensation offered

More total compensation offered

About the same total compensation offered

3%

26%

71%

4%

22%

74%

Undergraduates Postgraduates(n = 80)

Note: Only respondents whose organizations have hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or tempo-rary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis.

(n = 138)

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More satisfied with total compensation

Less satisfied with total compensation

Similarly satisfied with total compensation

14%

19%

67%

12%

20%

68%

Undergraduates Postgraduates(n = 67)

Note: Only respondents whose organizations have hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or tempo-rary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis.

(n = 123)

Compared with similar new hires three years ago, are the 2012 university/ college undergraduates or postgraduates that your organization has hired or made job offers to more satisfied with the total compensation offered?

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Compared with the recruitment of 2011 university/college graduates, is your organization experiencing the same level of difficulty recruiting 2012 university/college undergraduates or postgraduates?

More difficulty than in 2011

Less difficulty than in 2011

About the same level of difficulty as in 2011

19%

19%

62%

14%

18%

68%

Undergraduates Postgraduates(n = 123)

Note: Only respondents whose organizations have hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or tempo-rary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis.

(n = 75)

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Has it been easy or difficult for your organization to recruit 2012 university/college undergraduates or postgraduates for the job categories below?

Note: Only respondents whose organizations have hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or temporary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis. Percentages may not equal 100% due to rounding.

Very difficult

Somewhat difficult

Somewhat easy

Very easy

Scientists (n = 39) 31% 31% 36% 3% High-skilled technical professionals (n = 64) 20% 45% 23% 11% Engineers (n = 55) 16% 35% 40% 9% Managers and executives (n = 69) 15% 49% 28% 9% Skilled trades (n = 54) 11% 26% 50% 13% Sales representatives (n = 49) 8% 16% 45% 30% Drivers (n = 45) 7% 11% 49% 33% Production operators (n = 45) 7% 22% 47% 24% HR professionals (n = 69) 6% 29% 49% 16% Hourly laborers (n = 64) 5% 8% 50% 38% Accounting and finance professionals (n = 75) 5% 32% 53% 9% Customer service representatives (n = 77) 3% 18% 57% 22% Administrative support staff (n = 86) 2% 19% 42% 37%

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Do you think that 2012 university/college undergraduate and postgraduate job seekers have an advantage in the job market compared with other job seekers?

More of an advantage than other job seekers

Less of an advantage than other job seekers

About the same advantage/disadvantage as other job seekers

24%

21%

54%

23%

31%

46%

Undergraduates Postgraduates

Note: Only respondents whose organizations have hired one or more 2012 university/college undergraduates or postgraduates as full-time, part-time or temporary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis. Percentages do not equal 100% due to rounding.

(n = 332) (n = 312)

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Response Undergraduates(n = 75)

Postgraduates(n = 76)

They are more likely to be tech-savvy. 64% 54%

They have better opportunities for networking through university careers programs and official graduate recruiting channels. 43% 43%

The economic climate has made it easy to hire graduates from top colleges/universities. 40% 33%

They are less likely to be overqualified for the jobs for which they apply. 35% 26%

They are more likely to accept lower pay. 35% 26%

They are seeking entry-level positions, and my organization is hiring for these positions. 29% 11%

Other 8% 8%

Why do you think 2012 university/college undergraduate and postgraduate job seekers have more of an advantage in the job market when compared with other job seekers?

Note: Only respondents who indicated that 2012 university/college undergraduates and postgraduates have an advantage in the job market when compared with other job seekers were asked this question. Respondents who answered “don’t know” were excluded from this analysis. Percentages do not equal 100% due to multiple response options.

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Response Undergraduates(n = 102)

Postgraduates(n = 67)

They are more likely to be underqualified for the jobs for which they apply. 64% 40%

They are seeking entry-level positions, and my organization is not hiring for these positions. 41% 28%

There are limited resources for organizations to train recent college graduates. 31% 37%

They have fewer networking opportunities. 14% 12%

The economic climate has increased the competition for jobs among 2012 graduate job seekers. 13% 55%

Other 1% 9%

Why do you think 2012 university/college undergraduate and postgraduate job seekers have less of an advantage in the job market when compared with other job seekers?

Note: Only respondents who indicated that 2012 university/college undergraduates and postgraduates have less of an advantage in the job market when compared with other job seekers were asked this question. Respondents who answered “don’t know” were excluded from this analysis. Percentages do not equal 100% due to multiple response options.

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In general, what basic skills/knowledge do you believe 2012 university/college undergraduate job seekers are lacking, if any?

Science

History/geography

Humanities/arts

Government/economics

Reading comprehension (in English)

Foreign languages

English language (spoken)

Mathematics (computation)

Writing in English (grammar, spelling, etc.)

4%

4%

5%

7%

10%

11%

12%

17%

45%

Note: n = 138. Only respondents whose organizations have hired one or more 2012 university/college undergraduates as full-time, part-time or temporary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis. Percentages do not equal 100% due to multiple response options.

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In general, what applied skills do you believe 2012 university/college undergraduate job seekers are lacking, if any?

Information technology application

Diversity

Creativity/innovation

Teamwork/collaboration

Leadership

Lifelong learning/self-direction

Oral communication

Critical thinking/problem-solving

Written communication

6%

9%

10%

15%

26%

28%

30%

38%

41%

Note: n = 138. Only respondents whose organizations have hired one or more 2012 university/college undergraduates as full-time, part-time or temporary/contract employees were asked this question. Respondents who answered “don’t know” were excluded from this analysis. Percentages do not equal 100% due to multiple re-sponse options.

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Demographics: Organization Industry

Industry Percentage

Manufacturing 22%

Professional, scientific and technical services 16%

Finance and insurance 15%

Health care and social assistance 15%

Educational services 8%

Government agencies 8%

Retail trade 7%

Transportation and warehousing 7%

Accommodation and food services 4%

Administrative and support and waste management and remediation services 4%

Note: n = 338. Percentages do not equal 100% due to multiple response options.

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Demographics: Organization Industry (continued)

Industry Percentage

Construction 3%

Repair and maintenance 3%

Wholesale trade 3%

Agriculture, forestry, fishing and hunting 2%

Arts, entertainment and recreation 2%

Information 2%

Religious, grant-making, civic, professional and similar organizations 2%

Mining 1%

Real estate and rental and leasing 1%

Other 7%

Note: n = 338. Percentages do not equal 100% due to multiple response options.

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SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

Demographics: Organization Sector

Government agency

Publicly owned for-profit organization

Nonprofit organization

Privately owned for-profit organization

9%

18%

19%

54%

Note: n = 327. Percentages do not equal 100% due to rounding.

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SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

Demographics: Organization Staff Size

25,000 or more employees

2,500 to 24,999 employees

500 to 2,499 employees

100 to 499 employees

1 to 99 employees

6%

18%

16%

38%

22%

22

n = 344

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SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

Demographics: Other

Does your organization have U.S.-based operations (business units) only or does it operate multinationally?

U.S.-based operations only 70%

Multinational operations 30%n = 339

What is the HR department/function for which you responded throughout this survey?

Corporate (companywide) 66%

Facility/location 21%

Business unit/division 14%

Note: n = 243. Percentages do not equal 100% due to rounding.

Is your organization a single-unit or a multi-unit organization?

Multi-unit organization: An organization that has more than one location 70%

Single-unit organization: An organization in which the location and the organization are one and the same

30%

n = 339

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For multi-unit organizations, are HR policies and practices determined by the multi-unit corporate headquarters, by each work location or both?

Multi-unit headquarters determines HR policies and practices 52%

A combination of both the work location and the multi-unit headquarters determine HR policies and practices

45%

Each work location determines HR policies and practices 3%

n = 244

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SHRM Survey Findings: The Hiring of 2012 University/College Undergraduates and Postgraduates

Response rate = 10%

Sample composed of 378 randomly selected HR professionals from SHRM’s membership.

Margin of error +/- 5%

Survey fielded May 1-9, 2012

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Methodology

For more poll findings, visit www.shrm.org/surveys

Follow us on Twitter: http://twitter.com/SHRM_Research

Project leader:Rob Boyd, survey research analyst, SHRM Research

Project contributors:Mark Schmit, Ph.D., SPHR, vice president, SHRM ResearchEvren Esen, manager, SHRM Survey Research Center

Copy editor:Katya Scanlan, SHRM Knowledge Integration