2011 shrm poll_2011_grad_hire_final

July 11, 2011

SHRM Poll: The Hiring of 2011 Graduates

The Hiring of 2011 Graduates ©SHRM 2011 2

Key Findings

Between February and April 2011, what percentage of organizations hired full-time, part-time and/or contract/temporary staff? 84% of organizations hired employees during this time period in 2011, slightly fewer than the 87% of organizations that hired during the same period in 2010. Larger organizations (100 to 24,999 employees) were more likely to have hired full-time, part-time and/or contract/temporary staff in the last three months compared with smaller organizations (1 to 99 employees).

Has the hiring of undergraduates and postgraduates changed in 2011 compared with 2010? The hiring of undergraduates has increased since 2010, rising from 30% to 41% in 2011. Postgraduate hiring also experienced an increase, with more than a quarter (26%) of organizations hiring postgraduates in 2011 compared with 20% in 2010. Larger organizations (500 to 24,999 employees) were more likely than smaller organizations (1 to 499 employees) to hire undergraduates and postgraduates in 2011.

What types of positions were 2011 undergraduates and graduates hired to fill? More than three quarters (76%) of the positions filled by 2011 undergraduates and graduates were primarily full-time positions in 2011 (compared with 74% in 2010). Six percent of HR professionals indicated that 2011 graduates were hired mostly for part-time or another 6% reported hiring them for contract/temporary positions.


Key Findings (continued)

What advantages do 2011 undergraduates and postgraduates have over other types of job seekers? Few HR professionals (16%) believe current undergraduates and postgraduates have an advantage over other job seekers, and 42% think that recent graduates are actually in a less advantageous position. Of those who do believe recent grads have an advantage, more than a third (34%) think it is because they are viewed as highly tech-savvy. This was also the number one advantage for new grads in 2010 (42% of respondents). Another advantage is that 2011 graduates commonly seek entry-level positions, which are precisely the kinds of positions organizations are currently hiring (30%).

What obstacles do 2011 job undergraduates and postgraduates face? More than two-thirds of organizations (69%) believe that the 2011 undergraduates and postgraduates will have difficulty finding employment due to the economic climate. Another disadvantage, as reported by 37% of respondents, is that new graduates are more likely to be underqualified for the jobs they are applying for.


Has your organization hired full-time, part-time and/or temporary/contract staff in the last three months?

Yes No

84%

16%

87%

13%

2011 2010

Note: Respondents answered this question based on the “last three months,” which refers to the time period between February 2010/2011 and April 2010/2011. Respondents who answered “not sure” where excluded from this analysis.

(n = 348) (n = 483)


Has your organization hired full-time, part-time and/or temporary/contract staff in the last three months?

Comparisons by organization staff size:

Larger organizations (100-24,999 employees) were more likely to have hired staff in the last three months compared with small organizations (1-99 employees).

Large organizations Small organizations Differences based on organization staff size

100 to 499 employees (95%)500 to 2,499 employees (88%)2,500 to 24,999 employees (89%) 1 to 99 employees (60%) Larger organizations > smaller organizations


In the last three months, has your organization hired one or more 2011 university/college undergraduate(s) to start working before or after graduation?

Yes, 41%

Yes, 30%

2011 2010(n = 250) (n = 359)

Note: The “Yes” option was spit into “Yes, hired to start work before graduation,” and “Yes, hired to start work after graduation.” This analysis is a combination of the “Yes” responses. The analysis excludes respondents who answered, “Will hire in the next three months.” Respondents answered this question based on the “last three months,” which refers to the time period between February 2010/2011 and April 2010/2011 .


Organizations that hired or will hire 2011 university/college undergraduates

Large organizations Small organizations Differences based on organization staff size500 to 2,499 employees (48%)2,500 to 24,999 employees (51%)

1 to 99 employees (34%)100 to 499 employees (34%) Larger organizations > smaller organizations


Larger organizations (500-24,999 employees) were more likely to have hired 2011 undergraduates within the last three months than were smaller organizations (1-499 employees).

Publicly owned for-profit organizations

Privately owned for-profit organizations Differences based on organization sectors

17% 7% Publicly owned for-profit > privately owned for-profit

Comparisons by organization sector:Publicly owned for-profit organizations were more likely to hire 2011 undergraduates within the next 3 months than were privately owned for-profit organizations.

Large organizations Small organizations Differences based on organization staff size500 to 2,499 employees (14%)2,500 to 24,999 employees (20%)


Larger organizations (500-24,999 employees) were more likely to hire 2011 undergraduates within the next three months than were smaller organizations (1-499 employees).


In the last three months, has your organization hired one or more 2011 university/college postgraduate(s) to start working before or after graduation?

Yes; 26%

Yes; 20%

2011 2010(n = 219) (n = 335 )

Note: The “Yes” option was spit into “Yes, hired to start work before graduation,” and “Yes, hired to start work after graduation.” This analysis is a combination of the “yes” responses. The analysis excludes respondents who said that they will hire in the next three months. Respondents answered this question based on the “last three months,” which refers to the time period between February 2010/2011 and April 2010/2011.


Organizations that hired or will hire 2011 university/college postgraduates

Larger organizations Smaller organizations Differences based on organization staff size

500 to 2,499 employees (12%)2,500 to 24,999 employees (17%)



Larger organizations (500-24,999 employees) were more likely to hire 2011 postgraduates to start working before graduation compared with smaller organizations (1-499 employees).

Comparisons by organization sector:

Government agencies were more likely to hire 2011 postgraduates within the next 3 months than were privately owned for-profit organizations.

Government agencies Privately owned for-profit organizations Differences based on organization sector

14% 3% Government > privately owned for-profit


Are positions that 2011 university/college undergraduates and postgraduates were hired for mostly full-time, part-time or temporary positions?

Mostly part-time positions

Mostly temporary/contract positions

A mix of all positions

Mostly full-time postions

7%

8%

11%

74%

6%

6%

12%

76%

2011 2010n = 102n = 95

Note: “Mostly” in this question referred to 75% or more. Only respondents that have hired one or more university/college graduates within the past three months were included in this analysis.


Compared with university/college graduates from previous years, are the 2011 undergraduates and graduates that your organization has hired (or made offers to) satisfied with their salary offers?

Much more satisfied More satisfied About the same Less satisfied

2%

16%

70%

11%3%

16%

72%

9%

2011 2010n = 102n = 91

Note: Only respondents that have hired one or more university/college graduates within the past three months were included in this analysis. 2011 data do not equal 100% due to rounding.


To what extent will your company target new 2011 university/college graduates as the economy turns around and hiring resumes?

5%

18%

64%

14%

28%

50%

22%

2011 2010n = 22 n = 32

Large extent Some extent Small extent Will not hire

Note: Only respondents that have not hired one or more university/college graduates within the past three months were included in this analysis. 2011 data do not equal 100% due to rounding.

The Hiring of 2011 Graduates ©SHRM 2011

Given the current economic climate, are 2011 university/college graduates in a more or less advantageous position compared with other types of job seekers?

More advantageous than other job seekers

About the same

Less advantageous than other job seekers

11%

34%

55%

16%

42%

42%

2011 2010n = 305 n = 415

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Why are 2011 graduates at an advantage compared with other job seekers?

2011(n = 49)

2010(n = 43)

They are more likely to be viewed as highly tech savvy 34% 42%

They are seeking entry-level positions—and that is what we are hiring for 30% 35%

They are less likely to be overqualified for the jobs they apply for 30% 28%

They are more likely to accept lower pay 24% 28%

The economic climate has made it easy to hire graduates from top colleges/universities 22% 19%

They have better opportunities for networking through university career programs and official graduate recruiting channels 14% 23%

Other 8% 7%

Note: Totals do not equal 100% due to multiple response options. Analysis only includes respondents who indicated that university/college job seekers are at an advantage.


Why are 2011 graduates at a disadvantage compared with other job seekers?

2011(n = 127)

2010(n = 226)

The economic climate has increased the competition for jobs among 2011 graduate job seekers 69% 72%

They are more likely to be underqualified for the jobs they apply for 37% 35%

They are seeking entry-level positions, and we are not hiring for these 30% 20%

Companies have limited resources to train recent college graduates 21% 22%

They have fewer networking opportunities 8% 12%

Other 10% --

Note: Totals do not equal 100% due to multiple responses. Analysis only includes respondents who indicated that university/college job seekers are at a disadvantage.


Demographics: Organization Industry

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Manufacturing 17% Professional, scientific and technical services 13% Health care and social assistance 12% Finance and insurance 10% Educational services 7% Public administration 5% Transportation and warehousing 4% Construction of buildings; heavy and civil engineering construction; specialty trade contractors 3% Accommodation and food services 3% Information, publishing industries 3% Agriculture, forestry, fishing and hunting 3% Religious, grant-making, civic, professional and similar organizations 2% Retail trade 2% Real estate and rental and leasing 2% Arts, entertainment and recreation 1% Wholesale trade 1% Utilities 1% Administrative and support and waste management and remediation services 1% Mining 1% Repair and maintenance 1% Other services 8%

n = 308


Demographics: Organization Sector

Other

Government sector

Nonprofit organization

Publicly owned for-profit organization

Privately owned for-profit organization

3%

11%

16%

17%

53%

17

n = 305


Demographics: Organization Staff Size

29% 30%

21%

14%

6%

18

n = 312


Demographics: Other

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U.S.-based operations only 77%

Multinational operations 23%

Single-unit company: A company in which the location and the company are one and the same

41%

Multi-unit company: A company that has more than one location 59%

Multi-unit headquarters determines HR policies and practices 50%

Each work location determines HR policies and practices 3%

A combination of both the work location and the multi-unit headquarters determine HR policies and practices

47%

Is your organization a single-unit company or a multi-unit company?

Are HR policies and practices determined by the multi-unit corporate headquarters, by each work location or both?

Does your organization have U.S.-based operations (business units) only or does it operate multinationally?

n = 315 n = 315

n = 191

Corporate (companywide) 62%

Business unit/division 20%

Facility/location 18%

n = 190

HR department/function for which you responded throughout this survey


SHRM Poll: Staff Levels and the Use of Contingent and Part-time Workers

Response rate = 12%

Sample composed of 348 randomly selected HR professionals from SHRM’s membership

Margin of error +/- 5%

Survey fielded April 28-May 16, 2011

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Methodology

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2011 shrm poll_2011_grad_hire_final