Systemic gender inequality is a stubborn feature of our labor market. NACE’s First Destination Survey has consistently demonstrated that gender inequity exists in the labor market upon graduation. Our most recent report found that, for the Class of 2023, the pay gap stands at 80%. Among women graduating with a bachelor’s degree, the average salary was $59,778; for men, the average was $72,190. This is down from 78% for the Class of 2020, when NACE first began collecting data by gender.

Further, while the career outcomes rates between men and women bachelor’s degree graduates were very close (85% for men and 84% for women), the nature of those outcomes was different: A greater percentage of men were employed full time compared to women—60% versus 53%—and a greater percentage of women (23%) were engaged in continuing education compared to men (19%).

But what happens after the first six months of graduation? 

For the first time, NACE can provide some answers to this question. We conducted a survey of early career professionals who graduated with an undergraduate degree in the last 10 years. The survey asked them about a range of career development topics, including their experiential learning opportunities, career development trajectories, and job preferences. The survey covered many of the same topics as NACE’s annual student survey to facilitate comparison between graduating seniors about to enter the workforce with early career professionals. 

This article focuses on graduates who earned their bachelor’s degree within the last one to seven years (2017 – 2023) and work full time (N = 1,441) to explore the gender differences in their early career outcomes.

Early Career Gender Pay Gap: 82%

Looking at the average earnings of those taking part, women’s pay stood at $63,822, while men earned $78,114—a gender pay gap of 82%, not a big difference from the finding of our Class of 2023 First Destination Survey (83%) and in line with the overall pay gap for women in the labor market (currently at 85%, according to Pew Research Center). The pay gap then remains steady over the early years of the career. 

In part, the gender pay gap is attributable to occupational sex segregation—men and women are in different types of work and industries that offer different labor market rewards. Figure 1 highlights that this systemic contributor to pay inequity. Almost three-quarters of men are employed in a private-sector company or corporation, but just slightly more than half of women are. In contrast, 30% of women work for a nonprofit, and 10% work for state and local government, where pay tends to be lower than in the private sector.

Looking across industries by gender further highlights a segregated labor market: The top industries where men are employed are manufacturing (15%); finance, insurance, and real estate (13%); and architectural, engineering, and related services (12%). Women, in contrast, are in education and education services (19%), healthcare and social assistance (13%), and professional scientific and technical services (11%). As such, women tend to be dominant in lower-paying industries. 

Agreement Around Career Satisfaction and Progression

There is very little difference in the self-reported career satisfaction among early career professionals by gender. About one-third of both women and men are extremely satisfied with their career, and just slightly less than half (49%) of men and slightly more than half (51%) of women are somewhat satisfied. 

Men and women also share relatively equal views on the speed of their career progression, with men slightly more likely to report that their career is progressing faster than they expected. (See Figure 2.)

However, gender differences are evident in the reasons early career professionals attribute to the progression speed of their careers. 

For instance, among those who feel that their career is progressing at a quicker rate than expected, men are more likely than women to cite their networks, taking on leadership roles, and having a graduate degree. Women are more likely to report that having a mentor and participating in professional development sped up their progress. (See Figure 3.)

Regarding why their career is progressing slower than they expected, both men and women similarly believe that there are no opportunities for advancement at their current organization and that they are not aware of the career paths available. (See Figure 4.) However, there are some differences. Men are more likely than women to report that they have not been active in promoting their careers, are not willing to relocate, and face work/family challenges. (Note: This last item reflects that men also value work/family balance and that organizations need to recognize that balance is important for both men and women.) Women, on the other hand, are more likely to report they have not been able to find jobs in their field and do not have a graduate degree.

Social Capital: Networks and Mentors

Networks and mentors are an important form of social capital as college graduates navigate their early career years. Slightly more than three-quarters of men (77%) and women (78%) report they have a network to draw on for career advice and support. However, slightly more men (41%) than women (39%) reported they had a career mentor they could turn to for advice and support. 

When we look at the composition of networks, they appear relatively similar for men and women, with men slightly more likely to have colleagues outside their organization and from their previous jobs as part of their networks. (See Figure 5.) However, when we look at the ways early career workers activate their networks, gender differences emerge. Both men and women are equally likely to report that their network provides advice on navigating workplace dynamics, supports professional development, and offers career advice, but women are more likely to report that their network provides them with emotional support and resources than are men. (See Figure 6.)

Student Loans: Gender Differences

Important gender differences also emerged when we asked early career professionals about their student loan situation. 

Women were slightly more likely than men to report using student loans to pay for college and were less likely to have paid off those loans at the time of the survey. Furthermore, a larger percentage of women were not confident they would be able to pay off their student loans compared to men. This may be related, in part, to the gender pay gap, as women have less income to put toward paying down debt. (See Figure 7.)

Implications

This article points out the similarities and differences among early career professionals across gender categories. There are a few key takeaways to consider:

• In general, the results show that the gender pay gap persists in early career years and that women are less confident about their ability to pay off their school debt, and are less likely to have paid off their debt shortly after college graduation.

• Among women, the acquisition of an advanced degree—or lack thereof—appears to play a key role in career advancement: Women were much more likely than men to point to their graduate degree as a factor in faster-than-expected career progression and more likely than men to point to the lack of such a degree as contributing to a slower progression. This may point to women experiencing greater levels of impostor syndrome than men, which we have seen in other research we have conducted; women may see the degree as validating their qualifications and abilities.  

• Networks, mentors, and professional development opportunities are important to career advancement for both men and women. Both career services and employer professionals can consider how to help their alumni/early career employees leverage these. 

• Lack of knowledge about career paths was a career staller for both men and women: Organizations may consider identifying their career pathways in conjunction with their professional development opportunities. This could help with retention, encouraging advancement rather than departure among current employees looking to grow their careers.

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About the Early Career Talent Survey: NACE conducted a survey of early career professionals who graduated with an undergraduate degree in the last 10 years (2014 through 2023). The survey covered a range of career development topics, including their early career experiences and their perceptions around their careers. 

Data were collected from August 21, 2024, to December 1, 2024. NACE sent the survey to NACE members at 2,761 colleges and employer organizations; the members then distributed the survey to their alumni and early career employees. Participants were offered a cash incentive and were encouraged to send the survey to their early career colleagues. Overall, a total of 5,031 individuals who fit the requisite time frame took part; of these 1,441 were professionals who achieved their bachelor’s degree within the last one to seven years—2017 through 2023—and were employed full time. Of these, 519 were men and 922 were women. (See Figure 8 for a breakdown by race/ethnicity.) The data presented in this article reflect those responses. As nearly all questions were optional, response rates vary for each question. 

* Please note: Items marked in the figures with an asterisk are statistically significant with a p value of <=0.5.