Turning a corner after a challenging few years for university-leavers, new research from early career community portal Handshake and the Institute of Student Employers (ISE) reveals that 47% of companies that employ students and graduates will be looking to make more hires in the next year, while an additional 50% will maintain their current level.
The Graduate Employer Priorities 2023 report presents an optimistic picture, with the main motivation given by employers for increasing the number of grads they intend to hire being company growth (37%), or grad hires representing good value (20%). Meanwhile, one in nine (11%) suggest pent-up demand post-pandemic is a factor.
When making hiring decisions in the coming year, the single top priority given by graduate employers is equality, diversity and inclusion (EDI), with 97% of organisations indicating this will be a key factor. Meanwhile, 90% of employers say that connecting with good candidates more generally is a concern.
“Lots of UK employers are clearly looking to kick on after a rollercoaster couple of years and bring more staff on board. There are still challenges, however, and the top priorities for the year ahead show that finding the right candidates remains tough. Hiring managers will be looking at how technology can help them, and we believe platforms like Handshake can play a key role in connecting the right candidate with the right role, regardless of their background or connections.” – says Chris Anthony, Head of Employer Sales, UK at Handshake.
Recent graduates, however, will have had less time and experience in the workplace than previous cohorts due to the pandemic, with 85% of employers saying as much. This has potential repercussions in terms of equality of opportunity too, and 68% of employers believe the impact of Covid-19 on graduate candidate skills is more likely to impact candidates from marginalised backgrounds.
As such, many businesses are encouraging graduate and student candidates to bridge that gap in experience and job-specific skills by reflecting more closely on their applications. The single top tip given by graduate employers was to research both the role and mission of the organisation (23%), while candidates were also urged to make more of the soft skills they do have (14%).
“It’s heartening to see that organisations are looking to boost the amount of students and graduates they’re bringing on board. Hiring early career talent is a win-win, as graduates offer businesses fresh ideas, new ways of doing things and represent great value – and it’ll be good news for recent uni-leavers that more roles at a broad range of top companies are likely to open up in the next 12 months, after some undoubtedly tricky times in recent years.” – adds Stephen Isherwood, Chief Executive at Institute of Student Employer.
The expected increase in numbers of new graduates being hired next year will add to positive numbers: according to official data from the UK government, employment rates for working-age graduates and postgraduates increased 0.4 percentage points in 2021, when compared to the previous year, while it fell for working-age non-graduates, widening the gap between these groups.