CIPD requires a rethink of UK expertise coverage, together with an pressing want to enhance careers recommendation and entry to apprenticeships for younger folks
Over a 3rd (36%) of UK graduates are overqualified for his or her roles, with a rising proportion ending up caught in low-skilled jobs, in keeping with new analysis from the CIPD, the skilled physique for HR and folks growth.
The CIPD’s new report What’s the scale and impression of graduate overqualification within the UK? appears to be like at how graduate outcomes have modified over the previous 30 years, and the job high quality of overqualified graduates. The analysis highlights that the proportion of graduates in low/medium-skilled jobs has doubled over the previous three a long time and finds overqualified graduates have decrease ranges of job and life satisfaction, are much less smitten by their work and usually tend to wish to stop, in comparison with well-matched graduates.
In response, the report concludes there’s a want for a serious rethink on expertise coverage, together with enhancements to the standard of careers recommendation and steering in faculties. It additionally requires reform of the Apprenticeship Levy, to incentivise employers to offer extra apprenticeships to younger folks, and for a renewed deal with the event of an industrial technique to create extra high-skilled jobs.
The survey and evaluation of official statistics discovered:
- A notable enhance within the proportion of graduates working in administrative and clerical/service occupations since 1992, together with; an increase in graduates working as financial institution or publish workplace clerks (3% to 30%) and as private assistants and different secretaries (4% to 22%). It additionally exhibits a rise in graduates working as bar workers (3% to 19%) and safety guards (2% to 24%) over the identical interval.
- Overqualified graduates have decrease job and life satisfaction. Simply over half (54%) of overqualified graduates report being both very glad or glad with their present jobs, in comparison with practically three-quarters (72%) of well-matched graduates.
- In all, 56% of overqualified graduates say they’re glad with their lives in comparison with 69% of well-matched graduates.
- 1 / 4 (25%) of graduates who really feel overqualified say that they’re doubtless, or very doubtless, to stop their job voluntarily within the subsequent 12 months, in comparison with 17% of well-matched graduates.
- Nearly half (45%) of overqualified graduates really feel they don’t receives a commission appropriately, in comparison with 28% of well-matched graduates. 30% of overqualified graduates earn lower than £20,000 every year, versus 8% of well-matched graduates.
Overqualification charges stay comparatively secure throughout most age bands, suggesting {that a} poor preliminary match when coming into the labour market can have long-term impacts on a person’s profession and earnings. The CIPD’s report means that taking employment in non-graduate roles just isn’t a short lived or short-term part for a lot of graduates.
Lizzie Crowley, senior coverage adviser on the CIPD, mentioned:
“Whereas graduate-level {qualifications} are undoubtedly important in lots of roles and industries, the numerous progress of graduates in non-graduate jobs is damaging for people, employers and the economic system. A rising variety of graduates are caught in low-skilled jobs, whereas employers discover it more durable to inspire and retain overqualified graduates, undermining office productiveness.
“Successive Governments’ deal with boosting the availability of higher-level {qualifications} to the labour market has did not create practically sufficient of the high-skill, high-wage jobs that the nation wants. There must be a basic rethink on UK expertise coverage as a part of a brand new deal with industrial technique, to create extra high-skilled and high quality jobs throughout the economic system.
“Specifically we’d like higher careers recommendation and steering in faculties so younger folks could make extra knowledgeable decisions about what to check, whether or not they need to go to college or search an apprenticeship or a vocational qualification. There’s additionally an pressing must reform the Apprenticeship Levy, to incentivise employers to offer extra apprenticeships for younger folks in order that they have a real different to college.”
