3 Reasons Why 2016 Is The Year To Hold An MBA
The Graduate Management Admission Council (GMAC) recently released their ‘Year-End Poll of Employers 2015’ detailing some very promising data for those who hold an MBA. The poll gathered employment information from a range of employers in regards to actual 2015 hiring outcomes of graduate business students around the world. As such, it provides an outlook for the hiring of graduate business students for 2016, giving MBA students an idea of job market prospects. Surveyed employers were located across 31 regions/countries including Australia, China, Germany, the Middle East and the Unites States, offering a well-rounded reflection of the job market. If you’re wondering about prospects in 2016, we’re confident that the below results demonstrate that there’s no better time to hold an MBA.
1. The value of the MBA remains strong
In the eyes of employers, the GMAC poll indicated that the MBA is a highly valued programme and that graduates of the programme are considered an asset. In fact, 96% of employers said, “hiring a recent business school graduate creates value for their companies”. The poll also highlighted that organisations see MBAs as the future of the company, as there is a need to fill additional leadership positions. A manufacturing employer from the United States stated, “We are expanding our MBA hiring because the company needs to fill the leadership pipeline”.
2. Employers plan to hire MBAs
According to GMAC, three in four employers expect to hire MBA graduates in 2016, with 85% of this group planning on hiring more of these candidates than they did in 2015. While 2015 numbers were already solid, 2016 predictions reflect “continued healthy demand for recent graduates of master-level business programs – especially MBAs”. The poll also highlighted that 69% of employers agree that recruiting graduates of the MBA and/or specialised graduate business programmes is a priority in their company’s hiring plans. There is no doubt that the demand for MBAs is continuing to soar, making those who hold an MBA and soon to be graduates highly sought after.
3. Opportunities and salaries forecast to increase
With salaries for those who hold an MBA already known to be higher than non-MBAs, 2016 looks to be a positive year in terms of remuneration. GMAC states that “A majority of employers plan to increase starting annual base salaries in 2016, or above the rate of inflation for new MBA hires”. There is also increased scope for new opportunities as nearly three in four (73%) of employers report that their companies offer internships to MBA students. Among those who offer the internships, 92% of them plan to increase or maintain the amount of MBA internship openings in 2016 – a fantastic result.
What do you think?
Overall, it is clear that those who hold an MBA or who are in the process of completing their MBA are in a great position for 2016. The job market looks to be seeking MBAs more and more, with the highly valued reputation only continuing to grow. What do you think about this data – have you experienced this trend in your search for post-MBA work? I’d love to hear of your experiences and share them with our audience – comment below to join the conversation.
This article was written by Laura Hutton on behalf of the Australian Institute of Business. All opinions are that of the writer and do not necessarily reflect the opinion of AIB. The following sources were used to compile this article: Graduate Management Admission Council (GMAC)