The Salary Lowdown: 2010 Grads Expected to Earn Much Less
Posted 26 Apr, 2010
Since the job market first took the plunge, new college graduates–and even new college freshmen–have worried about the effect it will have on their future careers. Last year, with the floundering economy and the job market growing fiercely competitive, many students became more concerned about finding a job than about what a job would pay.
As with much of the news during this slow-paced period of economic recovery, this year’s graduates have found themselves in a good news/bad news situation.
The good news? Students are expected to have better luck landing jobs this year than they did in 2009.
The bad news? Their starting salaries are expected to be significantly lower–at least for most college grads.
The Numbers Game
CNN Money recently reported the projected salary figures for 2010 graduates. Compiled by the National Association of Colleges and Employers (NACE), the numbers show that this year’s graduating class should expect to make an average of 1.7% less than students who were hired in 2009.
However, that 1.7% was only the tip of the iceberg. The more detailed NACE projections got much more complicated and, for some students, much more depressing. When it came to salary decreases–or increases–it all came down to the student’s career field:
Major % Increase/Decrease Average Salary
Liberal Arts Down 8.9% $33,540
Business Management Down 8% $42,094
Marketing Down 2.1% $42,710
Computer-Related Up 5.8% $58,746
Engineering Up 1.2% $59,149
Electrical Engineering Up 3% $59,326
The Real World
While the NACE figures show a projection for our national average, the truth of the matter is that students’ opportunities–and starting salaries–will vary greatly based on many different variables, including everything from location to previous experience. Many students will find the application and interview process difficult and daunting, and others may be shocked at what appears to be a lower-than-expected salary (or hourly wage) offer.
The name of the game this year is realistic humility. At a time when many highly experienced adults have struggled with the job market, it is not uncommon for freshly graduated students to end up working low-wage jobs to help make ends meet. When it comes down to it, low wages are better than none at all.
Pressing Forward
Not too long ago I discussed how to prepare your child for the disappointing experiences of life, and the first job may just be one of them. If your child’s first shot at full-time work is not what he or she hoped, remind him or her that sometimes it takes time to work your way up the proverbial ladder–and help him or her come up with ways to keep moving forward.
For example, if your newly graduated student is already working in his or her dream field but not yet at the dream pay level, remind your child that this is an important time to go the extra mile–log extra hours, show good quality work and demonstrate their value to the business. If your child has taken on a job in another field–or even just a part-time job to cover loan bills while the career search continues–help him or her brainstorm ideas for networking, search for internship positions, or develop a portfolio.
Our students may be living in a different economy than the graduates of 1999, but hard work (and a healthy dose of patience) will still help your student work not only toward a better salary, but also toward a healthier appreciation for work itself.
All the best,
Deborah Fox
Deborah Fox is the founder of Fox College Funding®, a nationwide company that helps families find creative ways to reduce their college costs.
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Since the job market first took the plunge, new college graduates–and even new college freshmen–have worried about the effect it will have on their future careers. Last year, with the floundering economy and the job market growing fiercely competitive, many students became more concerned about finding a job than about what a job would pay.
As with much of the news during this slow-paced period of economic recovery, this year’s graduates have found themselves in a good news/bad news situation.
The good news? Students are expected to have better luck landing jobs this year than they did in 2009.
The bad news? Their starting salaries are expected to be significantly lower–at least for most college grads.
The Numbers Game
CNN Money recently reported the projected salary figures for 2010 graduates. Compiled by the National Association of Colleges and Employers (NACE), the numbers show that this year’s graduating class should expect to make an average of 1.7% less than students who were hired in 2009.
However, that 1.7% was only the tip of the iceberg. The more detailed NACE projections got much more complicated and, for some students, much more depressing. When it came to salary decreases–or increases–it all came down to the student’s career field:
Major % Increase/Decrease Average Salary
Liberal Arts Down 8.9% $33,540
Business Management Down 8% $42,094
Marketing Down 2.1% $42,710
Computer-Related Up 5.8% $58,746
Engineering Up 1.2% $59,149
Electrical Engineering Up 3% $59,326
The Real World
While the NACE figures show a projection for our national average, the truth of the matter is that students’ opportunities–and starting salaries–will vary greatly based on many different variables, including everything from location to previous experience. Many students will find the application and interview process difficult and daunting, and others may be shocked at what appears to be a lower-than-expected salary (or hourly wage) offer.
The name of the game this year is realistic humility. At a time when many highly experienced adults have struggled with the job market, it is not uncommon for freshly graduated students to end up working low-wage jobs to help make ends meet. When it comes down to it, low wages are better than none at all.
Pressing Forward
Not too long ago I discussed how to prepare your child for the disappointing experiences of life, and the first job may just be one of them. If your child’s first shot at full-time work is not what he or she hoped, remind him or her that sometimes it takes time to work your way up the proverbial ladder–and help him or her come up with ways to keep moving forward.
For example, if your newly graduated student is already working in his or her dream field but not yet at the dream pay level, remind your child that this is an important time to go the extra mile–log extra hours, show good quality work and demonstrate their value to the business. If your child has taken on a job in another field–or even just a part-time job to cover loan bills while the career search continues–help him or her brainstorm ideas for networking, search for internship positions, or develop a portfolio.
Our students may be living in a different economy than the graduates of 1999, but hard work (and a healthy dose of patience) will still help your student work not only toward a better salary, but also toward a healthier appreciation for work itself.
All the best,
Deborah Fox
Deborah Fox is the founder of Fox College Funding®, a nationwide company that helps families find creative ways to reduce their college costs.
Subscribe in a reader
Subscribe by Email
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