A new survey by Ulster University has found that while graduates are embracing AI technology, employers remain wary amid high levels of competition, highlighting a growing disconnect in the graduate labour market.
The 2025 Ulster University Graduate Employer Survey surveyed employers across Northern Ireland to better understand recruitment needs in the graduate labour market, with the goal of addressing skills shortages and supporting long-term economic growth. The survey asked employers about their future graduate recruitment plans, intake, starting salaries, required skill sets and skill deficits, placements, AI, international student recruits, along with recruitment and selection methods.
While graduates are increasingly relying on AI tools to boost applications and stand out, the research has identified that only 4% of employers adopted AI into recruitment processes, with many explaining that they are deeply sceptical of its impact. The report revealed that 31% of employers stated that AI presents risks, citing concerns over candidates exaggerating or misrepresenting skills by using generative tools, and although 50% of respondents suspect that candidates are using AI during the graduate recruitment process, 64% have not considered using AI detection tools during the graduate recruitment process.
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Findings from the survey also indicate a recruitment slowdown in the local graduate labour market, which largely corresponds with trends emerging across the wider UK graduate labour market, with a reduction in professional services hiring attributed to economic contraction and government policies. However, 45% of employers reported that graduate intake will increase over the next year, representing a 17% decrease in comparison to 2022, but overall showcasing a relatively robust section of the labour market.
Professor Angela Scanlon said:
“The 2025 Ulster University Graduate Employer Survey highlights the enduring strength and value of partnership between higher education and Northern Ireland employers. As we navigate a rapidly evolving global landscape shaped by technology, economic pressures, and the needs of a diverse workforce, this collaboration is essential in equipping graduates with the skills and mindset to thrive in the 21st century."
The report observed that student competition in the graduate labour market has been cited as the stiffest on record, largely due to the slowdown in hiring coupled with the widespread usage of AI amongst candidates, making it easier to apply for roles.
It also highlighted that the average starting salary of graduate recruits was most likely to fall into the £21-25K salary band and that traditional activities and methods associated with the graduate recruitment process have withstood the significant disruption that was brought about by the Covid pandemic. For example, the use of face-to-face interviews has remained the most popular selection method utilised by many recruiters, while the prevalence of online interviews has decreased.
Other key findings included:
Jack Myers, a final year student at Ulster University said:
“As a final year student, I will soon be applying for graduate roles and, like many of my peers, I intend to use AI as an aid when progressing through the recruitment process. For example, AI will help me visualise interview scenarios and generate potential interview questions based on job descriptions. While many companies are still exploring how AI can add value to their operations, graduates can help bridge that gap – bringing both digital fluency and a fresh perspective to positively support businesses in navigating AI.”
Charmain Filmer, Head of Future Capabilities at Just Group Plc (HUB Financial Solutions) said:
“Candidates who have the skills to use new technology effectively have always been in demand, and AI is no different. Applicants increasingly use AI tools in their job search, from refining CVs and cover letters through to using virtual bots to practice interview responses. This can help graduates with limited professional work experience present themselves better, and as hiring managers, we recognise that AI proficiency is fast becoming a standard skill in our future workforce.
“We use technology to improve efficiency and reach in our recruitment, but our core selection methods remain human-driven. At Just Group (HUB Financial Solutions) we help people achieve a better later life – it’s our purpose and why we exist. So tools such as psychometric assessments and structured interviews continue to be fundamental in evaluating graduates – ensuring they have the potential to contribute to our business, help our customers, and fulfil our purpose.”
Head of Employability and Graduate Futures, Shauna McCloy said,
“Employers are the bridge between education and the workforce, it is vital that we seek and respond to their feedback to ensure that graduates are not only academically prepared but also equipped with the skills, adaptability, and professionalism needed to thrive in today’s rapidly changing job market. We strongly value employers’ views on the AI and recruitment space and intend to use this insight to design and deliver high-quality guidance to students and graduates on using AI effectively and responsibly in the recruitment process."
Strategic Project Officer at Ulster University and author of the report, Dr Rachel Shannon said,
“It is reassuring to see a significant increase year-on-year in the number of employers sharing their views on recruitment practices, plans and needs through the survey. Reflecting over the three iterations of the survey, some key characteristics of the local graduate labour market have emerged, including the enduring importance of the yearlong placement model, the centrality and demand for key employability skills such as communication, teamwork and problem solving, and the re-emergence of face-to-face recruitment and selection activities since the Covid pandemic. Many thanks to all our employer partners who took the time to complete the survey.”
To read the full Ulster University Graduate Employer Survey Report, visit: Ulster University Employer Survey Report
Ulster University engages with employers in multiple ways, including collaborating on curriculum design and delivery, offering work-based learning opportunities such as placements, internships and degree apprenticeships, supporting graduate recruitment, supporting research and innovation, and through employer advisory boards. For more information, contact us at ulster.ac.uk/talent
Sync NI's Summer 2025 magazine celebrates women in tech across Ireland as we continue to encourage more women to enter the thriving sector and address the current gender imbalance. Read the Summer 2025 Sync NI Magazine online for free here.
