UK graduates choose jobs at Apple and Google instead of HSBC and Barclays

Job security worth more than big bank salaries, study finds

Friday 13 May 2016 10:52 BST

Students consider having leaders who will support their growth and creative work environments (Getty)

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Traditionally high-paying industries are increasingly losing popularity among UK graduates in search of professional development and stability, a study has found.

UK graduates are turning away from the banking industry, whose popularity has slipped 4 per cent since 2014.

Likewise, engineering students are showing little interest in taking up jobs in oil companies.

Tech giants Google and Apple have been named as most attractive employers in the UK, according to Universum, a global research and advisory firm.

PricewaterhouseCoopers (PwC), a consulting firm, came in third place.

Universum surveyed more than 50,000 students across the UK at 109 universities and found that traditionally highly-paid jobs are no longer the big draw for new graduates.

UK banks HSBC and Barclays, ranked low at 27th and 28th on Universum's UK top employers list, have lost four and three places respectively since 2015. Their US counterparts JP Morgan and Goldman Sachs made the top ten best employers but both lost a place compared to last year.

Uncertainty over next month’s European Union referendum, which might result in redundancies or positions being moved to other countries, has prompted students to turn to more stable career paths, according to Joao Araujo, manager of Universum UK and Ireland.

Bad press over high executive pay in banking might have dampened students’ interest in the industry, Araujo said.

“With the coming referendum we saw a spike in uncertainty. Meanwhile, we see students more concerned with their stability and more interested in secure employment. When an economy is growing as the UK economy is, the focus should shift to other expectations as job opportunities rise and job-seekers feel they are in the driver's seat,” Araujo told the Independent.

“Our study shows the opposite: the majority of students seem nervous and eager to have an opportunity – it’s almost like a flashback to the peak of the latest financial crisis,” he added.

This may create difficulties for the banking industry, worsening competition for the most talented graduates at the same time as tech disrupts traditional bank business models.

Graduates are looking to Google and Apple for innovation, a creative and dynamic work environment and high future earnings, the study found. Meanwhile consulting firms like PwC are attractive for the professional training they offer.

“Google and Apple keep attracting employees, which means they can pick from the best. This has a viral effect in terms of attracting talent: the more great talent an organisation has, the more people want to join that organisation and earn that ‘badge of competence’. If you pass certain recruitment processes, you are really a top talent,” Araujo said.

Technology firms make up half of the 10 highest paying companies in the UK,overtaking banking, according to another recent study by Glassdoor.

Software firm SAP, with an average total package of £90,000, topped the list. Cloud computing company EMC, management consultant McKinsey and Boston Consulting Group followed. Each of these firms offered median salaries above £80,000 a year.

The top 10 employers in the UK according to Universum: