27.04.2022

The highest paying companies for entry-level jobs

With new research finding that over half (54%) of young people aged 18-25 are actively seeking work, Glassdoor, the worldwide leader on insights about jobs and companies, has rounded up the 25 highest paying companies for entry-level jobs in the UK and they all pay over £45,000.

The list shows the companies which pay the most for entry-level jobs, which are classed as jobs that require less than 2 years of relevant experience and are non-senior positions. The median base salary is compiled from over 100,000 anonymous UK salary reports between April 2021 and March 2022.

In first place is Thought Machine, a financial transaction processing company headquartered in London, offering a median base salary of £60,000 - more than £20,000 higher than the average UK salary1. Meta takes second place offering £57,000 to those at the start of their career, while Macquarie Group came third with an offering of £55,000.

Eight of the 10 highest paying companies are in the financial services sector - either payment processors, banks or investment banks. Only #2 Meta and #10 Clifford Chance breaks this trend, representing the tech and legal industries respectively.

The 10 Highest Paying Companies for Entry-Level Jobs are:

Thought Machine £60,000 median base salary
Meta £57,000
Macquarie Group £55,000
Goldman Sachs £50,000
Bank of America £50,000
Deutsche Bank £50,000
BlackRock £50,000
BNP Paribas £50,000
Credit Suisse £50,000
Clifford Chance £50,000

What does Gen Z want from work?

While it’s clear that some companies are offering well-paid jobs to those at the start of their career, more than half of young adults aged 18-25 think that there are fewer entry level job opportunities now than there were before the pandemic (56%). Additionally, young people also think the competition is more fierce (65%) and that it was easier for previous generations to secure an entry-level job (64%).

With the cost of living currently soaring, the new research also shows that salary is the most important factor to young adults when considering where to work (53%). But for companies who are struggling to fill record numbers of job vacancies, Glassdoor research shows that once employees get into a job it isn’t pay that sustains long-term employee satisfaction but a company’s culture and values, the decisions made by senior leadership and the career opportunities available.

The research also found that work-life balance (43%) and company location (42%) are key factors to young adults when job hunting, as are flexible working (36%) and being treated fairly for the work they do (35%).

Lack of industry experience is holding young people back

The majority of young adults think that the pandemic negatively impacted their career opportunities (55%) and earning potential (51%), with six in 10 of the opinion that the pandemic limited their ability to gain work experience and network (61%).

Glassdoor asked young adults what they consider to be the most significant barriers to employment and a lack of industry experience was the most commonly mentioned barrier (31%) followed by lack of confidence (27%).

A need for industry connections (26%) and local opportunities (26%) was also mentioned as restricting young people from getting a job, as was increased job hunting competition (24%) and a low starting salary (24%) - the most important factor to young adults when looking for a job.

Commenting on the research, Lauren Thomas, Glassdoor’s EMEA Economist said: “Our research shows that finance and tech companies are offering big money to attract those at the start of their careers. But while the majority of young people say salary is their primary consideration when job hunting, pay shouldn’t be the only consideration when determining where to work. Once in a job, it’s a company’s culture and values, senior leadership team and the career opportunities available that drive employee satisfaction.

“To entice Gen Z employees, companies should focus on mentorship, learning and development. Investment of this sort has proven difficult for employers in the post-pandemic, remote-first environment but it is exceptionally important to young workers.”

1 ONS data on employee earnings in the UK

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