Salaries for Business School Graduates Will Go Up in 2015
Future MBAs, rest easy: Your degree will likely lead to a competitive salary. Most employers plan to increase salaries for new MBA hires in 2015, according to a report released Wednesday.
In a survey of 169 employers by the Graduate Management Admission Council, around half said they'd raise annual base salaries for new MBAs to keep up with inflation, and 18 percent said they'd bump up salaries more than that. The rest plan to keep base salaries at 2014 levels. Most undergraduate business majors and people with specialized business master's degrees, however, will get paychecks in the new year that look a lot like they would have last year. Just 15 percent of those hiring people with bachelor's degrees in business, 15 percent hiring people with master's in management degrees, 14 percent of those hiring recipients of master's of finance degrees, and 7 percent of those hiring master's of accounting degree recipients said they'd raise salaries more than inflation.
In addition to bigger paychecks (they're already pretty big: Bloomberg Businessweek found the median base salary for business school graduates in 2014 was $105,000), MBAs can look forward to slightly more job prospects this year. Most employers—72 percent—expect to hire MBAs this year, compared with 69 percent in 2014, and 88 percent said they'll hire either as many or more MBAs as they did last year.
Specialized programs may be in vogue right now, cropping up at business schools around the country. But the data suggest MBAs still have a leg up on graduates of other master's programs when it comes to demand from employers and salary outlook—at least for 2015.