Despite still being quite strong, the MBA graduates’ job market shows telltale signs of getting weaker.
A recent survey published by GMAC says that there are more than enough vacancies, as more than 80% of surveyed companies replied they were planning to hire this year’s graduates and make their starting salaries bigger. However, last year’s numbers were higher, P&Q reports.
According to the survey data, there is some drop in the readiness of employers to hire MBA graduates compared to last year’s, when 90% of companies said they had plans for hiring new MBAs.
There is one relevant detail: the intent of U.S. employers to hire international MBA degree holders. This year, there are 47% of companies ready to hire them, but last year there were 55%. This tendency can be even seen outside the U.S. – in the Asia-Pacific region (58% from 67%) and Latin America (68% from 72%). The only region where the numbers are as high as last year is Western Europe (65% and 64% in 2017).
Possible Reasons For This Tendency
According to GMAC CEO Sangeet Chowfla, the reason might lie in the fact that it’s much more difficult now to hire international talent due to the changing immigration and visa regulations. As the companies have a lot of choice (the job market being as strong as ever), they might not want to waste much effort on hiring a professional who might need a visa.
Another tendency shows that international students are not so keen themselves on going to the U.S., as they don’t want to experience problems with employment. Business schools are trying to patch up this hole by promoting global job search and connecting with businesses in other countries.
U.S. MBAs Earn The Best Salaries
According to Chowfla, ‘MBA money’ is still good, as MBA graduates everywhere have a starting salary larger than many other professionals. This difference is the most noticeable in the U.S., as fresh MBA graduates earn $105,000 median salary, while for other industries it’s $85,000 for graduate degree holders and $65,000 for bachelor’s degree holders. However, Europe seems to catch on this tendency too, as European companies are ready to offer MBAs $65,000 a year, while Masters in Management get $25,000.
The same can be said about bonuses, as more than a half of U.S. employers are ready to give MBA graduates $10,500 in bonuses. Still, this practice is not so popular in Asia, Latin America and Europe.
High Demand On Analytics Graduates Is Still Standing
It’s not a big surprise, but this year’s GMAC survey says that masters in Data Analytics are as popular among employers as last year. Actually, 71% of surveyed companies replied they were considering to hire new data analysts this year.
The trending data for hiring Masters of Data Analytics showed that more than 50% of employers will have to fill out vacancies in analytics (compared to 35% last year). Interestingly, the demand for analysts is higher among larger companies than among smaller ones.
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