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Banks really have slashed graduate hiring

So much for banks learning from past experience and not decimating graduate recruitment to the degree they did in 2003: today’s survey from the Association of Graduate Recruiters shows 2009 intakes have been slashed.

To be precise, graduate recruitment at investment banks and fund managers is down 40.2% this year. And the average investment bank/fund manager received 82 applications per place.

Anyone fortunate enough to get a place can console themselves with the fact that salaries haven’t changed on last year, and that together with law banking remains the best paid profession for graduates.

Source for all: AGR

Comments (10)

  1. It seems like there is a big difference in graduate salaries but there are many considerations that get lost in the headline numbers. Firstly, nearly all i-banking jobs are in London, where 40k a year is about enough to get by but not exactly living the high life. By contrast, an actuary on 26k living in Newcastle very likely has a higher standard of living.

    But mostly, it obscures the total package earned by the graduate. Bankers earn a big headline number, but few perks. Some of my friends in logistics have their rent and food paid for by the firm. Consultants get to travel to exotic locations, like Melbourne or Dusseldorf. Marketers are surrounded by beautiful co-workers. My friends in science frequently ‘misplace’ microscopes that surface a week later at Nine Elms. When you put it all together, the total lived experience between graduates is pretty much the same.

  2. djm – I agree slightly with the actuary in newcastle argument..but in terms of “few perks?”: we get an incremental 15 pounds a day for food (3,900 a year tax free).. free cabs home, granted this means working till 9, I have been to Madrid, Rio, Stockholm so far on business, and so far my bonuses in IBD have been:

    38k, 45k, and expect around 40k this year… so total comp, including my basic which is now 60k, deviates massively in the first 3 years from Graduate programs in other industries, especially in science or marketing etc.

    As an example my freinds in audit get c. 35k, no bonus and have to travel to exotic locations like hastings and won’t experience their salaries rising substantially until they get closer to partnership and they are among the more luckier ones.

    I am not trying to boast but just trying to explain (justify to myself?!) one of the main allures of banking i.e. the pay, albeit there is lots of pain attached.

    Please refrain from comments on grammar and spelling mistakes – this was typed very quickly!

  3. well duh – thanks for stating the obvious yet again.

  4. I truly hate those pedantic types who criticise spelling mistakes. As the MD i worked for during my internship stated…spelling is for ****

  5. ‘exotic locations, like Melbourne or Dusseldorf’

    djm-I can only assume you have not been to Dusseldorf!! It is far from exotic, I would rather go to Hastings!

  6. ZLTE017 – your “answer” section posts are littered with incredibly rude arrogant dumping on people for everything from spelling to primary school they went to – you are not one to talk about being pedantic on spelling etc

  7. Sarah, I appreaciate your relentless efforts to provide insightful articles.

  8. Thank you I.B binman, I am gratified.

    Sarah, Editor, eFinancialCareers Reply
  9. When looking at the numbers for consulting I am wondering about median and upper quantile both being 31k.

    Either there is a very strict sealing for max consulting salaries and the top 50% are earning more or less the same or the numbers are wrong.

  10. What? My girlfriend is starting at one of the Big Four in September this year and she’s getting paid 28k. These tables are downright lies.

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