Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Study Choices Affect Post-Study Earnings


Hon Steven Joyce
Minister for Tertiary Education, Skills & Employment
22 January 2013 Media Statement

Study Choices Affect Post-Study Earnings

Tertiary Education, Skills and Employment Minister Steven Joyce has welcomed the release of new data that compares what students earn after studying different subjects and at different levels in New Zealand.

The data is from the new Ministry of Education report, Moving on up - What young people earn after their tertiary education, and was gathered by matching information from Inland Revenue with tertiary qualifications data.

“The data highlights the large variation in earning potential for different types of graduates, with those studying in in-demand areas earning the most. This report will be useful for students of all ages considering their career options,” Mr Joyce says.

“For example, the data shows the top earners with a bachelors degree are graduates in medicine, earning around $110,000 per year five years after leaving study. This is nearly three times as much as a performing arts graduate,” Mr Joyce says.

“Civil engineering graduates also obtain a premium in the job market, earning about $67,653 a year, 48% more than language and literature or sport and recreation graduates.”

“It’s very clear that study at higher levels improves your career prospects. I encourage young people to take every advantage they can of their tertiary study opportunities to obtain the skills to compete in the modern world.”

The report also shows the advantages for people of completing study at higher levels in terms of both their earnings and their employment status.

For example:

• Five years after finishing study, median earnings for young bachelors graduates are 53% higher than the national median wage, Masters graduates are 86% higher, and those that complete Doctorates earn on average more than double (121% more than) the median wage
• Those studying at higher levels are very unlikely to be on a benefit after study. For example, the benefit rate for bachelors graduates five years after study is 2%; while for those who complete Certificates at Levels 1 to 3 it is 10%.

"Careers New Zealand is releasing a new online tool tomorrow that allows students to compare earnings by qualification and field of study,” Mr Joyce. “The tool will be very useful in considering their study options."

This report on post-study earnings will complement a new report from the Ministry of Business, Innovation and Employment on the demand outlook for major occupations in New Zealand’s labour force, due out in February.

“The choice of study is very much a decision for students and their families. The Government has committed to provide better information to assist in making those choices, for the benefit of students and for the very significant investment taxpayers make in tertiary education.

“Over the course of 2013, I will be asking government agencies to dig further into the data and produce more information that will help young people make more informed choices about their careers.”

The Ministry of Education report is available on the Education Counts website: http://www.educationcounts.govt.nz/publications/tertiary_education/moving-on-up-what-young-people-earn-after-their-tertiary-education

The Compare study options tool will be available today on Careers New Zealand website: www.careers.govt.nz/compare-study-options

Notes

The key findings of the Moving On Up: What young people earn after their tertiary education and two sample tables from the report are attached.

All statistics related to young graduates living in New Zealand. The earnings data are not adjusted for hours worked, so occupants with a high numbers of part-time workers may appear to be lower-paid that is actually the case.

Key findings from Moving On Up: What young people earn after their tertiary education
• Earnings increase with the level of qualification completed. Five years after finishing study, the median earnings of young people who had completed a bachelors degree was 53% above the national median earnings and 46% above the median for young people who had gained a certificate at levels 1-3.
• Employment rates increase with level of qualification gained. For example, in the first year after study, 56% of young bachelors graduates were in employment and 38% were in further study. With young people who had completed a level 1-3 certificate, 37% were in employment and 48% were taking more study.
• Very few young people who complete a qualification at diploma level or above are on a benefit in the first five years after study. The benefit rate is 4% for diploma graduates and 2% at bachelors level. But it is around 10% for those who graduated with certificates at levels 1-3.
• Young graduates with bachelors degrees in medicine earn the most one, two and five years after studying. The median income for medical graduates is over $110,000 after five years.
• Dental studies and pharmacy bachelors graduates earn the second highest incomes among young bachelors graduates after five years, with median incomes of over $76,100 and $75,100.
• Engineering graduates with an honours degree have median earnings of $65,000 five years after study, compared with $58,300 for a bachelors degree without honours.

Click here to view Sample_tables_from_Moving_On_Up.pdf

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Parliament Today:

Werewolf: The Defence Pretence

Last year, the world began spending more money on weapons again, for the first time since 2011... New Zealand belongs to a region – Asia and Oceania – where military spending rose sharply in 2015, by 5.4 per cent. More>>

ALSO:

Gordon Campbell: On Not Crying Foul, Argentina

So a couple of guys found to be criminally liable of environmental pollution in Argentina lodge an application with the Overseas Investment Office… in order to buy some prime New Zealand rural land. Seems that their factory back home had carelessly and/or intentionally discharged toxic waste into the Lujan river. Bummer... More>>

ALSO:

Urban & Rural: $303m To Merge And Modernise New Zealand’s Fire Services

Internal Affairs Minister Peter Dunne today announced funding of $303 million over five years to combine urban and rural fire services into one organisation from mid-2017. More>>

ALSO:

High Trust Regime: What Did The PM Tell His Lawyer About Foreign Trusts?

The Government stopped the IRD from reviewing New Zealand foreign trusts shortly after the Prime Minister’s lawyer wrote to the Revenue Minister claiming John Key had promised him the regime would not be changed. More>>

ALSO:

Road Crime: Wicked Campers Vans Classified As Objectionable

The definition of publication includes any "thing that has printed or impressed upon it, or otherwise shown upon it, 1 or more (or a combination of 1 or more) images, representations, signs, statements, or words", The Classification Office has previously classified such 'things' as billboards, t-shirts, and even a drink can. This is the first time the Classification Office has classified a vehicle. More>>

ALSO:

'When New' Repairs: Landmark EQC Settlement

The Earthquake Commission has cut a deal with 98 Canterbury homeowners that affirms the government entity's responsibility to repair earthquake-damaged property to a 'when new' state, as well as covering repairs for undamaged parts of a property and clarifying its position on cash settlement calculations. More>>

ALSO:

Gordon Campbell: On Kiwirail’s Latest Stint In The Dogbox

The denigration of Kiwirail continues. The latest review (based on a 2014 assessment) of the options facing the company have enabled Kiwirail to be hung out to dry once again as a liability and burden on the taxpayer. More>>

ALSO:

Royal Society Report: Good Opportunities To Act Now On Climate Change

There are many actions New Zealand can and should take now to reduce the threat of climate change and transition to a low-carbon economy, a report released today by the Royal Society of New Zealand finds... More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news