Grad scheme vs entry-level job: what’s the difference?

Graduation day comes around quickly, and suddenly it’s time to put your uni years into practice with your first grad job.

But what’s better–a grad scheme or an entry-level job? Both provide inroads to a successful career, but the experience of each is quite different. Here are some things to consider when choosing the right path for you.

What you get from a grad scheme

1. Learning how a company works as a whole

On a grad scheme, you usually rotate between different departments of a company, which means you’ll get a taste of each and have the chance to see which suits you best.

You’ll see how the different departments interact with each other and get a picture of how the business works together as a whole, including how one department relies on the cooperation and action of another and where the pain points are, so you’ll know how best to do your work in a way that helps other departments do the same.

Many people who enter a role the traditional route lack this perspective initially, gaining it over time if or when the opportunity to interact closely with other departments arises.

Some people can go their entire careers without being curious about what goes on outside of their own role. This can harm their career progression, particularly if a company thinks they lack that “bigger picture” oversight.

If you’re going down the entry-level route, taking an interest in the workings of the wider business and networking or socialising with different departments can help fill in this knowledge gap.

1. The opportunity to learn a broad range of skills quickly

Grad schemes are established training routes. In fact, it looks pretty bad on any business if they say they’re offering a grad scheme and don’t actually provide proper training towards a specific skill or business operation.

Most grad schemes will set educational goals or define company-specific skills to learn during your time, and mentors are tasked with ensuring you’re given a fair shot at completing them.

So, unlike an entry-level job, you’ll have a network of people making sure you gain skills, whether or not a relevant project exists to provide that experience.

There is a flipside to this. Entry-level roles give you immediate experience working on projects that directly affect business goals, rather than ones tasked to you purely for experience.

Billable projects can go straight on your resume as evidence that you’ve provided value to a business or its client base and have experience in the particular industry niche they operate in, such as finance or travel.

If you’re serious about a particular company, make sure you’re happy with what they’re offering in terms of their grad scheme–is it going to deliver on your expectations?

With this in mind, it’s worth seeing if you can get an honest perspective from someone who has completed the scheme.

The company itself could point you in the direction of an employee who did, and you can reach out independently, via LinkedIn. Or, check out reviews on sites like Glassdoor or Higherin, which provide unfiltered reviews from students in jobs, grad placements and internships.

1. The understanding that you’re still learning

When there’s a new intake of grads on a scheme, company employees will be made aware of a grad coming into their department ahead of time. This is to make sure:

• They are on their best behaviour (they might be warned to limit their complaining about the business, their work, workload or swearing)
• There’s a good turnout at the office (where hybrid working might result in fewer people for grads to interact with and learn from)
• They provide learning opportunities and expose grads to different projects, even if it’s not to complete a specific task
• They don’t expect too much from a grad as they’re still in the learning phase and getting to know the business.

Entry-level workers, while coming in at the bottom, are expected to provide immediate value to the business. They’ll be learning by doing and expected to do it to an acceptable standard for the company.

What the company gets out of you

When it comes to grad schemes, companies know they’re getting a committed crop of applicants to choose from.

Competition for these schemes is fierce, and successful applicants will join a programme lasting anywhere from six months to two years. They’re willing to invest heavily in graduates as they expect their dedication to manifest into long-term career growth within the company, all the way up to senior management level.

With an entry-level role, you’re filling a skill, knowledge or manpower gap the company has right now. There are fewer hands-on opportunities, and investing in your training could take a while based on the expectation that you’ll stay with the company for years.

The pay difference

Grad scheme pay is usually quite competitive, even in today’s job market. Generally speaking, this is around £30k, with grad schemes in financial services usually offering a bit more, and those in charitable or creative sectors often offering less, usually in the £20k to £30k bracket.

The pay for entry-level jobs largely depends on the specific skill demanded to fill the position. Those in software engineering or finance might command higher starting pay, for example.

But, with competition for entry-level jobs fiercer than ever, no matter how niche the skill, companies are in a position where they can advertise lower salaries and still attract skilled workers to the role.

The application process

The job market is a tricky place to be, so you have to pick your pathway carefully.

Both routes are exceptionally competitive, and the application processes for both grad schemes and entry-level jobs are lengthy.

Grad scheme applications may request cognitive tests, behavioural tests, long personal statements and reference-based applications followed by several rounds of interviews.

Entry-level routes used to be simpler. Not so much anymore. Submitting your resume and a cover letter is standard. It’s also quite common to be asked to fill out a form of company-specific questions and provide some sort of test material so that companies can test your skills for the demands of the role.

From there, it’s common to experience several rounds of interviews and submit different test materials to prove yourself relevant and desirable for the role.

Where to find grad scheme listings

If you’re looking for a grad scheme from one of the big names in finance or law, for example, head straight to the company website as they usually advertise and provide all necessary information directly on their careers page.

Alternatively, you can search graduate careers sites such as Prospects, Graduate Jobs or the grad section of Bright Network.

Your university's careers service is also there to help you. So, if you’re finding it difficult to find the particular scheme for your subject knowledge, book an appointment with an advisor to go through your situation and career ambitions in more detail.

Where to find entry-level jobs

LinkedIn is the most common place people head for any job search. You can use it to filter for keywords that match you with jobs looking for grad-level knowledge and experience, such as “graduate”, “junior” or “entry level”.

You can also try sector-specific job boards. Creativepool, as the name suggests, lists jobs in creative fields such as advertising and marketing, while Welcome to the Jungle specialises in tech job listings.

While grad schemes and programmes will be clearly defined as such, you can spot entry-level roles by looking for roles that include the words junior, assistant, executive and associate.

Across different sectors, this might look like Junior Software Engineer or Associate Product Manager in tech fields, Executive Officer for jobs with the Civil Service, or Marketing Assistant or Content Executive in the field of Marketing.

The final decision

Both grad schemes and entry-level jobs provide a valuable learning experience and a springboard for your future career.

While an entry-level job can be a great resume builder, giving you evidence of paid-for work immediately that you can bring to any future interview, grad schemes will quickly equip you with a broad range of skills that you can bring to the interview table, too, if you decide to move on.

The main difference between grad schemes and entry-level roles is the level of structured training at the outset, but this doesn’t mean you can’t seek out training opportunities in entry-level roles once you’re more settled.

If you’re still on the lookout for your first role, you can earn some pocket money by taking surveys that give businesses feedback on their audience. Head to the earning hub over on UNiDAYS to see what’s available. Or, see if there are discounted learning opportunities to help you upskill while you wait to hear you’ve got your first interview.