ABSTRACT This paper investigates the various career path types and impact factors that influence the career trajectory of PhD graduates, with a view to understanding how they pursue their careers inside and/or outside the academic sector after graduation. Based on data from the Austrian graduate tracking system ATRACK (N = 24,610), seven distinct career types were created. The first three of these career types target a consistent stay within the higher education (HE) sector, a consistent stay within the research and development (R&D) sector, or a consistent stay within the research sector (either HE or R&D). Our findings indicate that approximately one-third of PhDs remain within the Austrian research sector, while another third consistently pursue careers outside of it. On the one hand, the income of graduates 36 and 120 months after graduation indicates that earnings outside the higher education (HE) sector are significantly higher. On the other hand, the gender pay gap is also more evident outside the HE sector. In light of these findings, it becomes pertinent to question whether the prevailing academic career orientation in PhD programmes remains an accurate reflection of the professional requirements of the labour market, and whether it should be further adapted to ensure a diverse range of employment opportunities within and beyond academia.