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India's Campus Pay Gap: Reality Bites Grads
28 Apr
Summary
- Many students expect higher salaries than employers offer.
- Skills like AI and data science now command higher pay.
- Hiring remains strong, but companies are more selective.
In 2026, India's job market shows a widening salary expectation gap for graduates. A significant number of MBA students anticipate salaries exceeding 12 LPA, yet only 47% achieve this. Similarly, 60% of engineering graduates aim for 9 LPA or more, with just 14% realizing this aspiration. Undergraduate students also face a disparity, as 73% expect over 5 LPA, but only 40% secure it.
This disconnect stems from students focusing on top offers rather than median salaries. Employers are shifting focus from degrees to specific, in-demand skills like AI and data science, reserving higher pay for demonstrable expertise. Despite 88% of companies actively recruiting and 90% maintaining hiring budgets, selectivity has increased, leading to stable entry-level pay for the broader pool.
Students often delay offers expecting better pay or feel dissatisfied when reality falls short. This situation highlights a structural shift in India's early talent market, emphasizing that the alignment between education, aspirations, and industry demands is crucial for navigating the evolving employment landscape.
