"Employers are rebalancing entry-level recruitment to meet skills demands, reducing graduate vacancies while increasing investment in apprenticeship roles, reports Institute of Student Employers (ISE). The Student Recruitment Survey 2025 of ISE members - large employers offering formal graduate and apprenticeship programmes - found that graduate hiring had fallen by 8% year-on-year, yet apprentice hiring increased by 8%. Graduates still outnumber apprentices and therefore the overall entry-level job market is down 5%."
"Overall, employers who recruited students onto both pathways, hired 1.8 graduates for every apprentice this year, which is down from 2.3 in 2024. Projections for next year suggest the ratio will decline further to 1.6:1. This is the first time graduate jobs have fallen since the 12% decline during the pandemic in 2020. Apprentice recruitment has been in a state of growth since ISE started collecting this data in 2015."
"Reprioritisation of roles is also evident in salaries. Over the past decade, graduate salaries have declined in real terms, reflecting a steady erosion of purchasing power. In contrast, salaries for school and college leavers have seen modest real-terms growth. This year the typical (median) starting salaries reported were £33,000 for graduates (a 2% increase from last year) and £24,000 for school and college leavers (up 3%)."
Large employers are rebalancing entry-level recruitment, reducing graduate vacancies by 8% year-on-year while increasing apprentice hiring by 8%. Graduates still exceed apprentices, making the overall entry-level market down 5%. Employers recruiting onto both pathways hired 1.8 graduates per apprentice, down from 2.3, with a projected decline to 1.6:1 next year. This marks the first fall in graduate jobs since the 12% pandemic decline in 2020, while apprentice recruitment has grown since 2015. Large levy-paying employers drive apprenticeship growth, contrasting with government data showing a 0.6% rise in apprenticeship starts for 19- to 24-year-olds. Competition remains intense, with application volumes at historic highs.
Read at London Business News | Londonlovesbusiness.com
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