Graduates with lower socio-economic backgrounds are ‘overlooked in hiring’

Minority graduates with lower socio-economic backgrounds have a 45% lesser chance of being offered a professional entry-level role than white applicants who are more advantaged.

Researchers at UCL have released a report that shows graduates with low socio-economic backgrounds (32% lower) are less likely to get a job than those who come from more privileged backgrounds. Asian applicants with low SEBs are 29% less likely than white applicants to receive a job offer.

Researchers from Oxford Brookes University and UCL examined diversity characteristics, including SEB (based on whether the primary earning parent of an applicant worked in a profession), gender, and ethnicity, as well as university rankings, subject choices, region of birth, office location and access to professional networks.

These parameters were used to compare the probability of these candidates being hired with other candidates.

The research revealed that even after accounting for these factors, low SEB candidates still faced “large unjustified disadvantages”. Low SEB candidates had a 18% lower chance of receiving a job than candidates with a similar background. This increased to 33% for black candidates.

Researchers concluded that the “job offer gap” is due to 50% of lower SEB candidates failing to pass the initial online application sift, psychometric tests and the other halves to failure to face-to-face recruiting process. Black candidates were more likely to fail the first online stage.

This is the first time that a report has shown such candidates are overlooked during the application process, leading to a lack of representation in many industries.

Research shows that inclusive countries are more productive. She added that professional occupations offer better job security and salary prospects.

The lack of representation in these roles is not due to a lack of applications, but rather to the fact that they do not apply.

The co-author, Dr Claire Tyler, noted that although many employers had social mobility strategies in place or were in the Social Mobility Employer Index but still had barriers for low SEB candidates.

She said: “These obstacles may be larger for employers at the beginning stages of their social mobility journey.

Employers who are able to access untapped talent pools in order to hire, retain and attract the best UK talent, will be better prepared against skills shortages and longer-term declining birth rates, as well as the projected growth of professional jobs during the next decade.

Not only were graduates from lower SEBs affected, but also applicants for school-leaver or apprenticeship roles.

Black and Asian applicants, who were overrepresented in the applications, were less likely to get hired than their wealthier counterparts.

The study found that white applicants with low SEBs are 20% less likely than more privileged white candidates to be hired.

Research did show that internships are a popular way to create a diverse talent pool. Black applicants were 20 percent more likely than white or Asian counterparts to have recruited interns while in university. Internship applicants, however, were more likely from privileged backgrounds. They were also more likely to come from London, southern England or Russell Group universities.

The number of applicants with private education was twice as high, and they were also offered internships in a similar proportion. State-educated candidates are equally likely to receive an internship but less likely apply, so they miss out.

Women were underrepresented in all early career paths, even though those who applied are more likely to get offers than men, regardless of their background or ethnicity.

Researchers urged universities better support disadvantaged student to enter the job market by encouraging them to apply to graduate schemes early and seek more guidance about internships.

The Nuffield Foundation’s Dr Emily Tanner said that the research showed that closing educational attainment gaps was not enough to improve social movement.

This novel research, by identifying the disparities that exist in the recruitment process for different groups of youths, is a first step towards designing more equitable approaches.

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