For many Graduates, the story goes like this:
“I’ve worked hard for three years, achieved a good degree, so I should walk into a well-paid role that reflects that effort.”
The reality in most workplaces is very different …
The expectations gap
Today’s graduates arrive with strong theoretical knowledge and plenty of assessed work under their belt. But employers consistently report that doesn’t translate into immediate occupational competence.
Recent research from the Chartered Management Institute and others shows that many employers don’t feel graduates are fully “work-ready”, highlighting gaps in areas such as self-awareness, resilience, and professional written communication. Meanwhile, a CIPD report found that only 28% of employers who recruited 16–24-year-olds felt they were well prepared for work.
None of this means graduates aren’t capable. It means that the workplace is where they build occupational competence, the ability to apply that knowledge in real situations, work with clients, manage stakeholders, prioritise, and handle the inevitable pressures of commercial life.
Salary expectations under pressure
Layer on top of that:
- The cost-of-living crisis
- Rising rents
- A social media culture that often showcases the exceptions (six-figure tech or finance packages) rather than the norm
…and it’s no surprise that many graduates now have very high expectations of starting salary. Employers are also reporting an increase in graduates turning down or leaving roles primarily because of pay.
Yet the typical UK graduate starting salary is around £32,000, depending on sector and location. That is a solid starting point, but it is not equivalent to the salary of someone who has three to five years of hands-on experience, has made mistakes, learned from them, and is operating more independently.
This is the uncomfortable truth:
A good degree doesn’t equal the same value as someone who’s been doing the job for years – yet.
Why the phrase “graduate scheme” needs to mean something
For me, this is where employers need to step up.
Too often, “graduate scheme” is used loosely in recruitment marketing, but when you look under the bonnet, what’s on offer is essentially an entry-level job with a nicer title.
If we want to reset expectations on both sides, we need to treat graduate schemes as what they should be:
A fixed-term developmental programme, typically two years, with:
- A lower starting salary than an experienced hire
- Structured rotations across teams or functions
- Formal training – technical, professional and behavioural
- Support for professional registration or accreditation (for example, through bodies such as IMechE and other institutes in engineering and professional services)
- Clear progression criteria and salary milestones
Graduates can then see the scheme for what it is: a bridge between academic achievement and full professional competence.
Designing a transparent graduate offer
Here are some practical ways employers can design and communicate graduate schemes more clearly:
- Be honest about what a graduate is (and isn’t) ready to do
Spell out in your job description:
- What support and supervision they’ll receive
- What decisions they will not be expected to make on day one
- How their responsibilities will grow over the 24-month period
This reframes the role from “you should already know everything” to “we will invest in helping you become competent”.
- Publish a progression roadmap with salary milestones
If you want to reduce graduates turning down offers on salary alone, show them the journey:
- Year 1: Graduate salary £X, learning focus on A, B, C
- Year 2: Increased salary £Y, expected competence in D, E, F
- Post-scheme: Target role (e.g. Engineer, Analyst, Consultant) with an indicative salary band £Z and expectations
Make it clear what “good” looks like at each stage and how performance will be reviewed. This turns a lower starting salary into a transparent investment-plus-trajectory proposition, not a dead end.
- Make the development tangible
Too many adverts say “excellent training provided” without explaining what that means.
Instead, be specific:
- Number of training days per year
- External courses or schemes (e.g. professional institute programmes, leadership or project management training)
- Mentoring, buddying, and coaching support
- Time allocated for study or CPD
Graduates are much more likely to accept a role if they can see how it will accelerate their progression, not just pay the bills.
- Explain total reward, not just base pay
Help graduates understand the wider package:
- Pension contributions
- Professional membership fees paid
- Exam support and study leave
- Flexible / hybrid working
- Wellbeing and EAP support
Young people under financial pressure will understandably focus on base salary. But if employers don’t explain the full picture, we can’t be surprised when roles are judged on a single number.
- Involve managers early
Line managers are crucial in turning a “scheme” on paper into a real development experience.
Equip them with:
- Clarity on their role in coaching and feedback
- Simple tools for setting objectives and reviewing progress
- Guidance on managing expectations and having honest conversations about salary and progression
If graduate schemes are to work, managers must see them as talent pipelines, not just extra pairs of hands.
A more honest conversation with graduates
Ultimately, we need a more grown-up conversation about graduate expectations:
- Yes, you’ve worked incredibly hard to get your degree.
- Yes, the labour market and cost of living are challenging.
- And also yes – there is a period of learning where your value to the organisation is still developing.
A well-designed graduate scheme should recognise both sides:
- Graduates are paid fairly for the level of responsibility they can take on now.
- Employers commit to meaningful development so that, in three to five years, those graduates genuinely are worth the higher salaries they aspire to.
When we get this right, everyone wins:
Graduates build confidence, competence and earning power. Employers grow a loyal, capable pipeline of future talent. And “graduate scheme” becomes a promise of progression, not just a buzzword in a job advert.
At NEUTRA we are pleased to partner with Helen Russell, Director of The Right Track Consultancy; An Apprenticeship & Early Careers Specialist, aiding businesses to build strong & robust early career pipelines. For further information on how we, collectively can help you design a Graduate program within the business that enables you to manage clear expectations from the outset as well as develop talent for the future that meets everyone’s aspirations, get in touch !