Recruiting and training a graduate pays for itself within two years, according to research from Lancaster University.
Recruiting and training a graduate pays for itself within two years, according to research from Lancaster University.
A typical graduate recruitment programme, together with training and other associated costs, generates a return of £5.30 after three years for every £1 invested, the research states.
Anthony Hesketh, the author of the study, says, ‘While [graduate recruitment] is a front-loaded investment, businesses do enjoy substantial returns from the 20-month mark and overall find themselves at a financial advantage from working with graduates.’
Partners at accountancy firm PricewaterhouseCoopers were recently asked to take a pay reduction in order to maintain graduate intake. Chairman and senior partner Ian Powell comments, ‘The UK’s long term economic prosperity is in the hands of this generation, and failing to maintain our investment and confidence in their skills now, will pay business a poor dividend in the long term.’
Employment among 18- to 24-year-olds fell 5.5 per cent in the third quarter of this year compared to the same period of 2008, as opposed to a drop of 1.6 per cent across all age groups.
