It’s springtime for MBAs again: Study

MUMBAI: Corporates are once again investing in the promise of an MBA. On the academic floor, management education which went through troublesome years is seeing springtime this recruitment season.

Employers demand for recent business school graduates will see a strong upward trend in 2015, as 84 percent of companies worldwide plan to add new MBAs to their workforce — up from 74 percent in 2014 and 62 percent five years ago, according to a global survey of employers. Globally, more than half of employers will increase starting salaries for new MBA hires in 2015, either at the rate of inflation (30 percent of companies) or higher (21 percent).

The median starting salary expected in 2015 for recent MBA graduates in the United States is US$100,000. This represents an increase of US$5,000 over 2014 salaries and is nearly double the expected starting salary of US$55,000 for bachelor’s students in 2015. Prior work experience is key in helping students stand out in the job market, especially for MBA graduates, the survey noted. Depending upon the degree earned, employers expect fresh graduates to have an average of two to four years of prior work experience.

The survey was conducted by GMAC, the European Foundation for Management Development and the MBA Career Services and Employer Alliance and 113 business schools worldwide. The GMAC 2015 Corporate Recruiters Survey drew responses from 748 employers in 47 countries around the globe, including 46 companies in the Fortune 100. The analysis provides a view into the current employment landscape, gauges the demand for MBA and master-level business graduates, and offers insight into hiring practices and trends across industries and world regions.


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