Pay Differentials between Early and Mature Graduate Men: The role of state employment

Abstract

This article examines pay differentials between men who graduate at the conventional age and men who graduated after mature study. This group is interesting given the breakdown of lifetime careers and the current expectation that some of the labour force may have to retrain several times during their careers. The General Household Survey (1983-92) was used to examine factors which may lower mature graduate pay in comparison with early graduate pay. This sample yielded 3733 early graduates and 841 mature graduates who were in employment and had good pay data. Having controlled for shorter lengths of work experience as graduates of mature graduates, the following factors were found to lower mature graduate pay: social origin, with fewer mature graduates coming from middle-class origins: institution of education, with more mature graduates attending new universities: working outside the South-east; and working in the public sector. Public sector employers are less likely to discriminate against mature graduates than private sector employers, and mature graduates are mainly employed in the public sector. This may have affected their choice of educational institution, which may proxy to some extent for academic discipline. Results are discussed in the light of age discrimination and the current costs of higher education.