In a recent meeting about skills gaps in business, we got talking about academic backgrounds and wondered whether there was any such thing as ‘relevant’ or ‘non-relevant’ subjects.
According to ICAEW’s own recruitment website, there were more graduates coming into the profession last year with degrees in the Arts, Humanities, Science and Engineering than graduates with Accounting and Finance degrees.
Looking more widely across the whole economy, an interesting report is the annual survey by HECSU and Prospects titled ‘What do graduates do?’ which analyses destinations subject by subject six months after graduating – i.e. whether they were employed full time, part time, in further studies, overseas or unemployed.
Overall graduate unemployment was 5.1% for the 2017 cohort, but there were some interesting variations between subjects. Finance and Accounting graduates had an average unemployment rate of 6.1%, thirteenth highest out of the thirty subjects analysed.
Most interesting was to find out which degree subjects had the highest and lowest unemployment rates. Believe it or not, they were IT (9.4%) and sports science (3.3%). I have to say I was a little surprised these weren’t the other way around – no offence to all you sports scientists out there!
It does seem a bit of a paradox then that ‘computer skills’ are one of the shortages businesses are identifying yet nearly one in ten graduates in that subject are unemployed six months down the line. Or is there a mismatch between the IT skills we want and the IT skills that young people are emerging with from universities?
Could we indeed say the same about Finance and Accounting I wonder?
Mind you, what do I know, being a Mediaeval History graduate (5.7%)?
Yes very strange result on IT degrees and employment. Racking my brains for any other explanations but not really coming up with anything. Would be very interested in other people's views on this.