Graduates are in for a tougher job market, according to a survey conducted by leading employers.
High Fliers Research surveyed 100 firms and found that the overall recruitment targets for this year have been cut by 17%.
According to the report, the skidding economy hit hard on the financial sector which registered a 47% cut in entry level job recruitment target. The survey suggested that big cuts in employment targets will make it tougher for graduates this year to find jobs.
Students Alarmed by Developments
According to Martin Birchall, managing director of High Fliers Research, students were greatly alarmed by the ongoing developments in the job market. Birchall said that students can feel the worsening situation and it is quite understandable for them to panic when they graduate from their universities.
Mr. Birchall also added that fresh graduates who will leave the universities this year will chase fewer job.
The problem was compounded by the failure of last year’s graduates to find work. With the recent cuts in employment targets this year, graduates of 2008 and 2009 will compete for the few jobs available.
The survey however, emphasized that all is not lost for this year’s graduates. There is a positive uptrend in the public sector job market which registered a 51% increase in employment targets.
Qualification Problem of New Graduates
The previous expansion of the job market in recent years resulted to a shortage of suitably qualified graduates for available jobs. This problem was seen by some sectors as the bigger problem today rather than the shortage of available jobs.
The changing business environment pushed many companies to look for well qualified employees. According to the Association of Graduate Recruiters (AGR), there is an emerging trend that the entry level job market could weather the financial crunch as more companies could hire qualified entry level graduates.
A Different Story from the New Survey
This claim was disputed by the latest employment prospect survey showing that more companies have slashed their recruitment targets by as much as 6.7%.
The biggest casualty in this employment crunch would be the banking and finance sector, retail, accountancy and engineering.
Help is on the way though as the government has announced that fresh graduates who will fail to find jobs can take advantage of paid internship programs. According to the Department of Innovation, Universities, and Skills, the government is aware that new graduates will not be spared by the economic downturn.
According to sources, the Department is negotiating with big companies to accept new graduates on a 3-month paid internship program. This plan will help those who cannot find employment the moment they leave the universities.
14 January 2009
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