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Project | Education pathways: Equality gaps in earnings and employment

16 July 2024
To better understand the various benefits of higher education, this project examined the link between educational qualifications and earnings and employment, in particular for disadvantaged young people.
Employment and employability

About the project

How students convert their education qualifications in the labour market is an important question for students, parents and policymakers alike. TASO commissioned research (by State of Life and Mime) to examine this. 

The research involved the analysis of the earnings and employment status of over a million people, from Key Stage 4 qualifications (for example GCSEs) to 16 years later. It examined the gaps in outcomes between different groups of students.

It found that students who pursue higher education qualifications earn more money and are more likely to be employed compared to peers with no qualifications beyond GCSEs. It also found that graduates from ‘top third’ universities (the 52 universities with the highest tariff entry in the UK, meaning they are more selective) earn over £20,000 more than those who do no further study.

Graduates who undertake a higher education qualification at any type of provider are also more likely to be employed: 84% compared to 65% for those with no known qualification beyond GCSE level.

The findings paint a complex picture, but a consistent finding is that equality gaps remain, with key under-represented groups of students facing persistent barriers to an equitable education pathway.

Related outputs

Background

Higher levels of education are good for the individual and society. Higher education has the potential to drive social mobility, providing a possible route for students from all backgrounds to achieve employment success and higher earnings. Research has shown that graduates enjoy non-financial benefits too, such as better health and longer life expectancy.

To better understand these benefits, and the equality gaps, TASO commissioned this research to examine the individual and societal impacts of disadvantaged young people graduating from higher education courses.

Related insights and evaluation