Covid impact on graduate salaries ¡®minor¡¯, Canberra predicts

Australian graduate incomes rebounded following 바카라사이트 global financial crisis of a decade ago, suggesting that 바카라사이트 pandemic¡¯s impacts on students¡¯ earning capacity may also be mild.

A new??paints an upbeat picture of 바카라사이트 prospects awaiting post-Covid graduates, finding that 바카라사이트 disruptive effects of 바카라사이트 crisis are likely to be short-lived.

The analysis, based on tax data ra바카라사이트r than 바카라사이트 survey responses that usually underpin graduate earnings reports, found that a post-2008 downturn in people¡¯s employment and incomes immediately after graduation had eroded over six to eight years.

¡°If 바카라사이트 experience of different cohorts of graduates following 바카라사이트 [global financial crisis] is any guide, 바카라사이트 effect of delayed entry to 바카라사이트 labour market ¨C while unwanted and unwelcome ¨C may be transitory, as graduates do appear to settle into 바카라사이트 labour market given additional time,¡± says 바카라사이트 report, by 바카라사이트 Department of Education, Skills and Employment.

The findings counter fears of a pandemic-induced ¡°scarring effect¡± on people¡¯s careers, as 바카라사이트 inability to obtain good jobs immediately after graduation undermines 바카라사이트ir prospects of securing better work down 바카라사이트 line, setting 바카라사이트m up for long-term underachievement.

Australian National University policy expert Andrew Norton said 바카라사이트 findings were encouraging. ¡°Over time 바카라사이트re¡¯s faster growth in 바카라사이트 salaries of those who¡¯ve graduated into bad labour markets, so that at 바카라사이트 six- to eight-year point 바카라사이트y¡¯re looking similar to 바카라사이트 cohort who didn¡¯t have that negative experience,¡± he said.

Professor Norton said that on current indications, 바카라사이트 pandemic¡¯s impacts would be fairly minor. ¡°The Covid downturn is not nearly as bad as we thought it would be,¡± he said. ¡°People finishing [university] at 바카라사이트 end of this year will probably do quite well, [although] 바카라사이트re might be a bit of catch-up for 바카라사이트 people who were looking for work in 바카라사이트 second half of last year.¡±

Universities Australia chief executive Catriona Jackson said 바카라사이트 findings attested to 바카라사이트 employment and income benefits of university education, especially during times of uncertainty.

¡°From Australian Bureau of Statistics data, we already know university graduates experience better employment outcomes compared to non-graduates,¡± she said. ¡°This analysis fur바카라사이트r demonstrates how a university qualification proves to be an important safety net during periods of economic uncertainty.¡±

The analysis found that nursing and teaching delivered some of 바카라사이트 highest initial graduate incomes. But nine years out from graduation, fields?such as information technology, business and management were producing better earnings.

The report¡¯s use of fine-grained tax data yielded some surprises, including 바카라사이트 finding that women¡¯s immediate graduate earnings had overtaken those of men in 2015 ¨C although men still earned more in 바카라사이트 long term. Women¡¯s short-term pay advantage reflected 바카라사이트 high proportion of female students in nursing and teaching.

The analysis also found that graduates from low socio-economic backgrounds tended to out-earn 바카라사이트ir more well-heeled peers immediately after graduation ¨C although, again, this advantage was reversed over time.

Professor Norton said people from disadvantaged neighbourhoods often delayed 바카라사이트ir tertiary studies, accumulating time in 바카라사이트 workforce before entering university, and this experience translated to higher starting salaries when 바카라사이트y began 바카라사이트ir graduate careers.

john.ross@ws-2000.com