The impact of higher education for part-time students

71 Figure 3.1 Estimated marginal effects and confidence intervals for the impact of mode and study and major source of tuition fees on the probability of being employed six months and th

Background

In 2007/08, nearly 40% of UK undergraduates—approximately half a million students—were studying part-time, highlighting the significant role of part-time higher education Historically, higher education policies primarily focused on full-time students who enter directly from school or college However, recent policy developments acknowledge the importance of part-time students, as emphasized in the 2011 White Paper "Higher Education: Students at the Heart of the System," reflecting a shift towards a more inclusive and flexible higher education system.

The Ambition 2020 report (UKCES, 2010) highlights that part-time study plays a crucial role in addressing the skill needs of the economy, yet little is known about its impact on graduates' labour market outcomes This study aims to fill this gap by analyzing and comparing the labour market experiences of graduates from both part-time and full-time undergraduate programs Using data from the Longitudinal Destination of Leavers from Higher Education survey, the research explores the implications for policy to better support part-time students and optimize their contribution to the economy.

This report uses the Higher Education Statistics Agency (HESA) definition of part-time higher education students, which includes individuals who do not meet the criteria for full-time study Part-time students are those who are not typically required to attend a university for at least 21 hours per week over 24 weeks of the academic year This category encompasses students studying during evenings, as well as those on block release from their employment positions.

According to HESA, full-time students are typically defined as individuals who attend a higher education institution for a minimum of 21 hours per week over at least 24 weeks annually This includes students enrolled in sandwich courses, whether thick or thin, and those taking a year away from their studies for work-related or academic reasons.

The impact of higher education for part-time students

This study analyzes the entire UK, with policy implications primarily focused on the Westminster coalition government's approach Higher education policy is devolved across England, Wales, Scotland, and Northern Ireland, leading to differing policy priorities Part-time study is crucial for lifelong learning, skill enhancement, and increasing social mobility, contributing significantly to social justice Historically, the Westminster government has shown limited interest in part-time students and study modes, evident in the scant references in the 2003 White Paper *The Future of Higher Education* and the 2004 Higher Education Act, which primarily reformed funding for full-time undergraduates.

Concerns about part-time students and higher education have shifted due to demographic downturns and economic needs, emphasizing the importance of up-skilling and re-skilling the workforce Universities UK predicts that by 2027, part-time undergraduate enrollments will grow at a faster pace than full-time enrollments, with a significant shift toward part-time students driven by declining numbers of 18-year-old school leavers This demographic change is expected to fundamentally alter the composition of university student populations, highlighting the increasing relevance of flexible, part-time study options in higher education.

The economic downturn and significant restrictions on higher education funding have increased the prominence of part-time provision in higher education discussions There is now a stronger focus on the role of higher education in developing high-level skills critical for fostering a competitive economy and supporting economic recovery.

The importance of part-time study was acknowledged in the Labour administration’s

Higher Ambition: The future of universities in a knowledge economy (Department for

Business, Innovation and Skills, 2009) However, part-time provision has come to the forefront of HE policy since the Westminster coalition government came into power in

2010 Building on their November 2010 document(BIS,

2010a), which reiterated the importance of skills to our economic future and the improvement of skills to build sustainable growth, the coalition’s 2011 White Paper Higher

Education: Students at the Heart of the System (BIS,,2011) recognises the contribution of part-time study in meeting its wider higher education policy objectives and its skills strategy

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Key characteristics of the current part-time undergraduate student

population and trends in enrolment

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• The vast majority are over the age of 25 (79% compared with 13% of full-timers) and female (64% compared with 56% of full-timers) (Callender et al, 2010b)

Approximately 80% of individuals are employed, primarily in full-time positions within the public sector Additionally, about half of full-time undergraduates work at some point during the academic year, highlighting the significant number of students balancing work and studies (Johnson et al., 2009).

Two-thirds of part-time students_have family commitments, with over 40% having children (Callender et al., 2010a), highlighting the significant family responsibilities among this group In contrast, the majority of full-time students are single and without children, indicating different life circumstances that may influence their academic experiences and needs.

Most full-time undergraduates (89%) focus solely on earning their first degree, whereas only a third of part-time students pursue a first degree, with the majority (56%) aiming for alternative qualifications such as professional certifications, higher education (HE) certificates, or institutional undergraduate credits.

• Part-time students are also more likely to be studying subjects allied to medicine and education than are full-time students and to be concentrated in post-1992 universities

Part-time students tend to have either higher prior qualifications (Level 4 or above) or lower ones (Level 2), highlighting a polarization within the part-time higher education population This split reflects two main motivations: some students are re-skilling, while others are up-skilling, viewing part-time study as a valuable 'second chance' at learning This trend underscores the diverse reasons for pursuing part-time higher education and its role in enabling flexible, accessible learning pathways.

Despite future growth drivers for part-time study, historical data shows a decline in part-time undergraduate enrollments in England outside the Open University, decreasing by 8% between 2002/03 and 2008/09 Conversely, undergraduate enrollments at the Open University increased by 25% during the same period, highlighting its resilience However, policies such as the withdrawal of funding for students pursuing lower or equivalent qualifications (ELQ) are likely to accelerate further declines in undergraduate part-time enrollments across the sector.

Unpublished data provided through personal communication by HEFCE highlights the challenges in analyzing historical trends at the Open University due to complex reporting methods used in earlier years.

Existing research on the impact of lifelong learning and part-time

This study examines employment outcomes for part-time students, highlighting that most are employed full-time and pursue studies primarily to enhance their careers (Callender et al., 2010a) Many engage in lifelong learning, either upgrading existing qualifications or gaining qualifications at the same level they already hold Lifelong learning necessitates an inclusive education system that offers opportunities to learn at all levels, driven by individual needs rather than age A recent inquiry defines lifelong learning as a continuous process of acquiring knowledge and skills throughout one’s life to adapt to changing personal and professional demands.

Lifelong learning encompasses individuals of all ages engaging in diverse learning environments such as educational institutions, workplaces, homes, and leisure activities It primarily emphasizes adults returning to structured learning programs, rather than focusing on early education or informal, incidental learning experiences (Schuller and Watson)

Lifelong learning opportunities must address a diverse range of individuals, including those with or without university qualifications, professionals seeking ongoing development, and workers in lower-skilled or unskilled jobs, as well as unemployed individuals It should also support people facing literacy challenges, retirees, and anyone interested in acquiring new skills or knowledge This approach signifies a paradigm shift from traditional post-16 education, which was primarily confined to formal, institutional settings targeting young people and early career stages.

Most of the existing literature on higher education (HE) focuses on the economic and social returns for young full-time students, reflecting policy concerns about full-time study While there is a growing body of research examining the benefits of lifelong learning, as highlighted by Dorsett et al (2010), there remains a significant gap in studies specifically analyzing the returns associated with part-time HE study Understanding these dynamics is crucial for informing policies that support flexible learning options and lifelong education.

Many countries promote lifelong learning to boost productivity and support labor market advancement However, research indicates that lifelong learning may not always offer greater benefits than traditional education For instance, Light (1995) highlights various penalties associated with interrupted education in the United States Similarly, Holmlund et al (2008) find negative impacts in Sweden, though these effects tend to diminish over time Conversely, Ferrer and Menendez (2009) reveal that in Canada, graduates who delay their education may actually earn a premium compared to those who do not postpone their studies.

Garrett et al (2010) highlight the significant benefits of lifelong learning, particularly through acquiring vocational qualifications and advanced skills They note that mature students who pursue higher education later in life still achieve substantial financial returns, despite the shorter duration over which these benefits are received This underscores the value of continuous education for personal and professional development.

Mason and Hopkin (2011) surveyed 294 employers of part-time university students and found that employer support for part-time higher education is typically conditional, often requiring courses to be work-related More than half of employers also required employees to repay their fees if they left before a specified period, which can limit short-term labor mobility despite potential productivity gains They concluded that while studying can enhance employee performance, the conditions imposed may restrict workforce flexibility.

Many employers support part-time higher education (HE) study because they believe it enhances organizational performance They see benefits such as employees gaining increased knowledge and job-specific skills, leading to improved productivity and efficiency Supportive employers also report higher staff retention, better staff attitudes, and greater opportunities for career advancement, ultimately contributing to a more skilled and motivated workforce.

While the primary disadvantages of supporting part-time study include financial costs such as course fees and the impact on employees' time off work for study or exams, many employers believe the benefits outweigh these challenges Although not all surveyed employers currently support part-time students, 70% of those not offering such support anticipate implementing it in the future, highlighting a growing recognition of the value of employee development through part-time education.

Mason and Hopkin (2011, p 7) highlight the significant impact of part-time higher education on employment and wage outcomes, emphasizing that part-time study can influence career prospects and earning potential Their findings underscore the importance of understanding how part-time HE affects labor market success, making it particularly relevant for analyzing the employment and wage effects of part-time study This research provides valuable insights into the economic benefits and challenges faced by part-time students in the higher education sector.

Part-time study often leads to more demanding tasks, increased responsibilities, and higher-paying jobs for employees, although employers report these developments as happening "quite often" rather than "very often." Some employees may feel disappointed by the lack of opportunities to fully utilize their new skills and knowledge in their current roles While many employers consider part-time study during staff appraisals, such achievements rarely result in automatic pay increases These mixed outcomes are partly due to the prevalence of public sector employers with rigid salary structures, whereas private sector employers tend to be more flexible regarding pay raises linked to gaining qualifications through part-time study.

Approximately 60% of employers hiring first-degree students, just under two-thirds of those employing Higher National students, and 52% of employers of Foundation degree students agree, either strongly or to some extent, that holders of these qualifications meet their workforce needs.

Employees who gain their Higher Education qualifications through part-time study while working tend to develop superior skills and knowledge compared to recent graduates or those who complete full-time courses Only 9-16% of employers disagreed with this view, indicating broad recognition of the benefits Many employers value the job-specific and establishment-specific experience that current employees bring, along with the new skills acquired through part-time higher education, when considering the cost-effectiveness of supporting ongoing employee development versus external recruitment.

Blandon et al (2010) highlight the financial benefits of lifelong learning, showing a 20% increase in earnings for both men and women ten years after earning a qualification However, it can take approximately four to five years for individuals to fully realize these financial gains The current study suggests that some benefits of part-time study may not be fully captured, as the longitudinal DLHE survey is conducted only three and a half years after graduation.

Dorsett et al (2010) highlight that lifelong learning offers distinct benefits depending on whether individuals upgrade their qualifications Men who engage in lifelong learning without upgrading their qualifications experience a positive wage effect but do not see improvements in employment opportunities In contrast, those who upgrade their qualification levels gain both increased wages and better employment prospects These benefits are consistent across all age groups and apply to both vocational and academic qualifications, emphasizing the importance of qualification upgrades in maximizing the advantages of lifelong learning.

By contrast, Egerton & Parry (2001) report substantial penalties for late learners in the

Government policy objectives regarding part-time study and part-

Re-skilling and up-skilling the workforce

In 2008, only 31% of the UK workforce held a Level 4 qualification or higher, ranking the country 12th internationally (UKCES, 2010) To enhance the UK's economic strength and competitiveness, increasing this percentage is essential through upskilling the workforce Policy makers recognize that part-time higher education (HE) study plays a vital role in improving existing employees' skills, addressing skill mismatches, and meeting business needs Combining work experience with part-time HE can produce highly-educated professionals equipped with sought-after employability skills Additionally, this mode of learning minimizes work absence, as individuals often invest their own time in work-related study, making it an efficient approach to workforce development (Mason and Hopkin, 2011).

A recent study of over 4,000 part-time undergraduates taking a bachelor’s degree, foundation degree and higher nationals (Callender et al 2010a) highlighted that almost

According to a recent survey, 90% of students were employed, predominantly in full-time roles, and a similar percentage reported that their studies aligned with their career goals Many students were upgrading their existing qualifications, while others focused on acquiring new skills to advance in their current jobs or improve their employment prospects As highlighted by Ambition 2020, these educational pursuits are directly linked to enhancing employability and supporting career development.

Effective skill development goes beyond upskilling; it must deliver sustainable benefits to individuals, employers, and society Prioritizing in-demand skills that add value enhances employability, earnings, and career progression, while also contributing positively to the economy and social well-being Investing in skills that do not improve employment prospects or generate economic and social returns is an inefficient use of resources (UKCES, 2010 p.109)

Callender et al (2010a) found that part-time students’ decisions to study were primarily driven by instrumental reasons, such as employment and career advancement They pursued higher education to achieve career ambitions, develop new or existing skills, and access better future opportunities These motivations align with earlier research on part-time undergraduates by Callender et al (2006) and Yorke et al (2008), emphasizing the employment-focused nature of their study choices.

Over half of the students surveyed by Callender et al (2010a) demonstrated clear career ambitions and long-term plans, especially among re-skilling students with prior higher education exposure The majority of students’ decisions to study (89%) and their choice of subject (92%) were closely aligned with their career goals Notably, 27% of students reported that their career ideas had become clearer as a direct result of their coursework, particularly those nearing the end of their studies and non-traditional students from low-income backgrounds However, for around half of the students not pursuing vocational qualifications or education courses, their studies were often unrelated to their current jobs, indicating they viewed education as a means to achieve future career transitions and broader ambitions.

Flexible and diverse HE provision

The HE White Paper (BIS, 2011) emphasizes the UK government’s commitment to developing more flexible and diverse higher education (HE) provision, including part-time and workplace-based courses This approach aims to stimulate the HE market, expand students’ learning options, and meet employer skill requirements Increased flexibility in study options can improve access to HE for individuals facing domestic and work commitments, enhancing their skills and career prospects Additionally, such flexible models enable employers to better address high-level skill needs within their workforce, supporting economic growth and competitiveness.

Part-time courses are offered through diverse delivery methods, including face-to-face, mixed media, and online formats, in various environments such as campus-based, home-based, and work-based settings These courses serve different learning outcomes, ranging from course credits to certificates, diplomas, foundation degrees, and honours degrees Most part-time higher education students pursue vocational goals, focusing on obtaining professional and vocational qualifications rather than traditional bachelor’s degrees (Callender et al., 2010b).

Many part-time students choose flexible study options due to financial and practical reasons, with 80% unable to leave their jobs to study full-time Flexibility is a key factor, as 83% of students value the ability to tailor their studies around their work commitments, and 54% need to fit studies into their domestic responsibilities (Callender et al., 2010a) For many, studying part-time is not merely a preference but the only viable option, as the alternative is often no study at all (Callender et al., 2006).

Research indicates a strong interest in part-time higher education among working adults, who view it as a pathway to career advancement, increased earnings, or a career change (Pollard et al., 2008) These individuals prefer evening and weekend classes delivered locally, enabling them to manage work and family commitments effectively They tend to favor face-to-face learning over distance or work-based options and prefer vocational courses over purely academic ones Overall, convenience and accessibility are crucial factors for working adults pursuing higher education.

The Westminster coalition government has recently commissioned research to explore the potential of part-time undergraduate study among younger students as an alternative to full-time education While part-time study is currently mainly pursued by mature students and employed individuals, this initiative aims to expand access and appeal to a broader demographic This development signals a possible shift in higher education policies to promote flexible learning options for younger learners.

Social mobility and widening participation

Data from 2007 revealed that 92% of 16/17-year-olds interested in higher education (HE) preferred full-time study over part-time, although part-time options are more favored among students from less advantaged backgrounds, those wary of debt, and those less interested in the social aspects of HE Research indicates that young people's awareness and understanding of part-time study remain limited, with many viewing it as more suitable for mature students and less conducive to socialising Given recent changes in student funding, the importance of part-time study’s cost savings is expected to increase, as it can reduce overall HE costs for both students and the government While part-time students can access financial support for tuition fees, they do not receive aid for living expenses, unlike full-time students who are eligible for both.

The Westminster coalition government is dedicated to enhancing social mobility and expanding access to higher education (HE) to improve individuals’ life opportunities and earnings (Cabinet Office, 2010) The HE White Paper emphasizes that everyone should have a fair chance to achieve their career goals and higher income, regardless of background, highlighting the government's commitment to fairness and equality of opportunity (BIS, 2011) To ensure universities attract the best talent and promote inclusivity, the government encourages diverse study options and wider participation among different social groups (Willetts, 2011a) This focus on widening participation is driven by both principles of equity and economic imperatives, as increasing access to HE is crucial for addressing skills shortages and maintaining the UK's global competitiveness.

3 The Department for Business, Innovation, and Skills have recently commissioned research on - The Feasibility of Increasing the Numbers of Young People in Higher Education Studying Part-Time

Specifically, the government wants universities to help reduce the social class gap in HE participation and particularly want them to promote ‘fairer access’ (BIS, 2011, para 5.3 p

Efforts are being made to enhance access for students from lower-income backgrounds to selective, research-intensive universities, recognizing that graduates from these institutions often dominate top professions and high-paying careers (Willetts, 2011a).

Part-time undergraduate study plays a crucial role in promoting social mobility and increasing higher education access for non-traditional students, offering vital second chances for individuals with low or no qualifications Currently, at least 25% of part-time undergraduates in England have qualifications below Level 3 or none at all, highlighting its importance for widening participation Specifically, 44% of students pursuing Higher National qualifications, 35% aiming for Foundation degrees, and 21% studying for a First degree have limited or no formal qualifications, demonstrating the sector’s contribution to educational equity (Callender et al., 2010b).

Research indicates that a significant pool of untapped talent exists within the workforce, with many adults lacking a Level 4 qualification who would consider pursuing higher education if it were more accessible Approximately four million adults are willing to attend university if provided with adequate financial support and improved access opportunities (Pollard et al., 2008).

(2008) report specifically called for more part-time undergraduate courses to facilitate the widening participation agenda While the more recent Cabinet Office Report Opening

Doors, Breaking Barriers: A Strategy for Social Mobility (p48) argued:

Who should pay for HE?

The question of who should pay for HE and for improving skill levels has dominated the

HE policy agenda in recent years This is not a new issue It was raised by the 1963 Robbins Report, the 1997 Dearing Report, was central to the 2003 HE White Paper The

The future of higher education is a central focus of the new HE 2011 White Paper, reflecting global concerns across various higher education systems In England, this issue has become increasingly urgent due to constraints on public expenditure, highlighting the need for sustainable solutions worldwide.

The core debate centers on the idea that those who benefit from higher education (HE) should contribute to its costs Students, as key beneficiaries, tend to secure higher wages, face lower unemployment rates, and gain non-financial advantages from completing HE Employers also benefit by accessing a skilled workforce, while society as a whole gains from the positive social and economic impacts of higher education Overall, higher education provides both private benefits to individuals and public benefits to society.

Next, is the question about the balance of private and public contributions towards the costs of HE and what proportion of these costs should be borne by:

• students and/or their families;

Since 1990, higher education student funding reforms in England have consistently followed a cost-sharing approach, aiming to reduce public expenditure by shifting the financial burden from government and taxpayers to students and their families These reforms seek to make students and parents responsible for a larger share of university costs, emphasizing the goal of decreasing reliance on public funding for higher education.

The Independent Review of Higher Education Funding and Student Finance, led by Lord Browne, emphasized that creating a sustainable HE funding model requires shifting the balance between private and public contributions and reducing reliance on public funding Browne recommended phasing out most government funding for undergraduate teaching and replacing it with higher tuition fees paid by students through government-subsidized income contingent loans The government accepted the core principles of the Browne Review and its proposals, implementing a cap of £9,000 per year on full-time tuition fees starting from 2012/13.

These reforms aim to reduce long-term public expenditure and public sector borrowing while potentially increasing university revenues By shifting funding from direct teaching grants to student loans, overall government expenditure is expected to decline, as only the government subsidy on loans will count as public spending However, uncertainties surrounding future tuition fee levels and the White Paper’s proposals make it unclear how much government subsidies will be, leaving the precise impact on public expenditure and debt uncertain.

These reforms aim to create a competitive higher education market by shifting financial responsibility towards students through loans According to David Willetts, the Universities and Science Minister, moving taxpayer contributions from upfront grants to student loans can make the system more responsive to student choice The new funding arrangements, especially tuition fee loans, are seen as essential for fostering competition among providers and improving teaching quality Student loans act as vouchers, empowering students to select educational providers that best meet their needs.

The role of financial support in promoting part-time HE participation

Financial assistance to students is grounded in microeconomic principles, aiming to reduce the net cost of education and increase university enrollment and retention (Leslie & Brinkman, 1988) Grants effectively lower the financial barrier, making higher education more accessible, especially for students from lower-income households who are more sensitive to tuition increases (Mundel, 2008) However, university participation is also influenced by social, cultural, and income factors, which can affect the impact of financial aid across different socioeconomic groups Consequently, grants and tuition subsidies tend to have a greater effect on the enrollment decisions of low-income students compared to their wealthier peers.

Research indicates that liquidity constraints and insufficient financial support significantly limit higher education (HE) participation among low-income households (Mundel, 2008; Long, 2008; Dearden et al., 2010) While evidence regarding part-time study is less conclusive due to research gaps and methodological challenges, studies show that more adults would pursue university if adequate financial assistance were available (Pollard et al., 2008) Most part-time students choose their mode of study because they cannot afford to quit jobs for full-time study (Callender et al., 2010a) The 2007/08 Student Income and Expenditure Survey reveals that 30% of part-time students are influenced by financial support availability, with the majority (70%) asserting they wouldn't have studied without funding, and 45% indicating their funding affected their choice between full-time and part-time study (Johnson et al., 2009).

The HE White Paper (BIS, 2011) and earlier student funding reforms aim to address liquidity constraints and improve affordability of higher education (HE), especially for students from lower-income backgrounds to promote social mobility These policies also make student loan repayments more progressive, offering greater subsidies to low-earning graduates while reducing support for higher earners Eligibility for undergraduate financial support remains restricted to those without existing HE or Level 4 qualifications, ensuring limited resources target those most in need Due to budget constraints, the coalition government prioritizes up-skilling individuals over re-skilling or career changers, believing that the latter should fund their education themselves or rely on employer support.

Current government-funded financial support for part-time undergraduates and part-time provision

The current higher education funding system in England favors full-time undergraduates, resulting in limited availability and reduced demand for part-time study (Callender et al., 2010b) Government funding policies often assume that part-time students, many of whom are in paid employment, can afford tuition fees upfront or that their employers will cover the costs, which is not the case for most working students This is especially true for students from low-income backgrounds with low qualifications who seek to upskill This article examines the current provision for part-time students and discusses the significant limitations impacting their access and participation.

Financial responsibility for part-time study primarily rests with students rather than the government or their employers The government-funded financial support system available to part-time students has notable limitations from the students' perspective, affecting their ability to adequately finance their education.

• Part-time undergraduate fees are unregulated unlike tuition fees for full-time students which are capped by government

Part-time higher education requires students to pay tuition fees upfront, as it is not free at the point of access Unlike full-time undergraduates, who typically pay their fees upon graduation with the help of government-subsidized student loans, part-time students must manage immediate payments.

The government offers financial support to low-income part-time students through fee grants of up to £1,230 annually and course/material grants of up to £265 per year These means-tested grants are available exclusively to students without a Level 4 qualification and those studying more than 50% of a full-time course, targeting individuals who lack prior higher education experience and are most in need The current income threshold for full fee grant eligibility for a single, childless person is under £16,845 per year, ensuring that support is directed towards those with the greatest financial need.

Only a small proportion of part-time undergraduate students receive government-funded financial support, with approximately 15% of all part-time undergraduates benefiting from fee and course grants Among students pursuing a bachelor’s degree part-time, around 35% receive this financial assistance, highlighting limited access to government funding for part-time higher education.

In contrast, all full-time undergraduates receive help with these costs irrespective of the family’s income

Part-time students often find that fee and course grants do not fully cover their tuition fees and course expenses (Callender et al., 2010a) Conversely, student loans comprehensively cover all tuition fees for full-time students and contribute significantly to their study-related costs, providing essential financial support for full-time higher education students.

Encouraging employer support of higher level skills

The government cannot address the skills challenge alone; instead, employers and citizens must take greater responsibility for meeting their own skills needs Historically, governments have emphasized the importance of employers contributing more to the costs of workforce education and training, particularly in developing high-level skills This shared approach is essential for building a skilled and adaptable workforce that meets the evolving demands of the labor market.

Research by Callender et al (2010a) shows that about one-third of part-time higher education (HE) student employees receive employer-paid course fees, and nearly half are granted paid study leave However, employer support is highly selective, favoring already advantaged workers who have demonstrated success in higher education This support is disproportionately directed towards white, full-time employees from wealthy backgrounds with higher qualifications, leaving students from low-income, working-class households with limited access to employer funding Consequently, the most vulnerable students, often those without prior HE experience, miss out on employer assistance and must rely on less adequate government grants This unequal distribution of support highlights market failure in providing equitable financial aid, prompting government intervention aimed at improving access for disadvantaged students who seek to upskill rather than re-skill.

It is against this background and with this policy agenda in mind, that this study was undertaken.

Aims and objectives of the research

This study aimed to compare the employment outcomes of part-time and full-time undergraduate students after graduation, assessing whether their qualifications provided lasting benefits It specifically focused on filling gaps in research regarding part-time graduates, who have been largely overlooked in discussions about graduate employment The findings shed light on how different modes of study influence career success and long-term benefits in the labor market.

This study aimed to evaluate how undergraduate education influences graduates' employability, earnings, and career progression It specifically examined differences based on the mode of study, comparing full-time and part-time undergraduate students The research focused on assessing the impact of both full-time and part-time undergraduate programs on graduates’ job prospects, income levels, and advancement in the labor market to provide insights into how study mode affects career outcomes.

• the probability of being employed six months and three and a half years after graduation;

• transitions in employment status between six months and three and a half years after graduation; and

• salary levels and progression between six months and three and a half years after graduation for employed graduates

Furthermore, the study sought to explore the implications of the findings for policy development particularly in relation to part-time students and part-time study

This exploratory study is unique, as, to our knowledge, no similar analysis has been conducted before Consequently, this limits the depth and scope of the conclusions that can be drawn, highlighting the novelty and preliminary nature of our research.

Data and Methodology

The Longitudinal DLHE

The Longitudinal DLHE survey expands on earlier research by tracking the employment destinations of higher education leavers more comprehensively It replaced the First Destinations Supplement in 2002/03, increasing coverage to include postgraduate and part-time students Conducted by HESA, the survey has two stages: an initial census called the Early Survey, conducted six months after graduation, and a follow-up known as the Longitudinal Survey, which monitors graduates’ career paths up to three and a half years post-qualification The Longitudinal Survey is based on a sample of respondents from the Early Survey, providing valuable insights into graduate employment trends over time.

To date, two follow-up surveys have been conducted for cohorts of students who graduated in 2002/03 and 2004/05, with a third follow-up currently underway for the 2006/07 cohort Due to the rapidly evolving higher education policy landscape, our analysis focuses solely on the most recent data available for the 2004/05 cohort of graduates.

The six-month survey achieved a 74% response rate, capturing data from over 300,000 graduates, while the three-and-a-half-year survey was conducted on a subset of 71,390 six-month respondents, with a 58% response rate, resulting in just over 40,000 graduates included Our refined sample excludes students who pursued postgraduate qualifications or were domiciled outside the UK, ensuring a focused analysis of UK-domiciled graduates To account for response rate variations across key characteristics, survey weights were provided with the dataset, enhancing the accuracy and representativeness of the findings.

This study exclusively examines UK-domiciled graduates who completed a First Degree or other undergraduate qualifications prior to their studies Due to limited inclusion of certain undergraduate qualifications in the DLHE survey sample, our analysis specifically focuses on graduates who obtained one of the specified qualifications.

• First degree leading towards obtaining eligibility to register to practice with a Health or Social Care or Veterinary statutory regulatory body

• First degree with qualified teacher status (QTS)/registration with General Teaching Council

• First degree and diploma (to be obtained concurrently)

• Diploma in HE leading towards obtaining eligibility to register to practice with a Health or Social Care regulatory body

This survey provides insights into the labour market outcomes of graduates at two key points: approximately six months and three and a half years after graduation, including employment status, unemployment, study, or other activities For employed respondents, it offers detailed information about job characteristics such as occupation, employer size, employment type (full-time or part-time, permanent or temporary), industry, and earnings Earnings data are limited to full-time workers and categorized into ten salary bands, allowing analysis of salary progression and band changes over time While increases in earnings may partly reflect overall wage growth, the study focuses on comparing salary changes between part-time and full-time graduates, ensuring that similar average earnings growth across groups does not bias the results.

The proposed HE funding reforms aim to treat full-time and part-time students equally by applying the same salary thresholds for loan repayments, making earnings analysis more straightforward Although specific data on whether graduates earn above the exact repayment thresholds are not available, we know that repayment begins at an annual income of £21,000, with inflation adjustments applying once earnings exceed £41,000 Currently, data indicating whether graduates earn above £20,000 or £40,000 serve as useful proxies for understanding their repayment behavior, offering insights into the potential impact of the proposed funding changes.

The survey records individuals' employment status along with their occupation and industry classifications based on standard definitions In addition to capturing employment details, it provides insights into key socio-economic characteristics and includes questions about further education, training, research activities, and qualifications obtained since graduation.

Methodological challenges

Estimating returns to education is a crucial evaluation problem highlighted by researchers like Heckman et al (1999) Blundell et al (2005) provide a comprehensive review of popular methods used to address biases caused by individual education choices in order to accurately determine the causal impact of education on earnings Biases often occur because individuals with higher unobserved abilities or higher unobserved returns from schooling tend to invest more in education, complicating the estimation process.

Estimating the impact of achieving a higher education (HE) qualification through part-time versus full-time study offers valuable insights into educational choices, even though traditional methods focus on returns to education relative to not studying or studying less This approach emphasizes that the decision is about the mode of study—full-time or part-time—and the timing within the life cycle, rather than whether to pursue education at all By comparing these two modes, we can better understand the benefits and implications of different study formats within the broader context of educational returns.

Full-time students are mostly under 25 years old and typically have little to no labour market experience, whereas part-time students tend to be older and possess more work experience, as shown in Table 1.1 Older individuals who choose to study part-time often do so based on prior decisions not to pursue full-time education, possibly due to earlier lack of entry qualifications However, the DLHE survey does not include questions that would enable an analysis of how these decisions are made.

Comparing full-time and part-time graduates is complex because full-time students typically pursue honours degrees, while part-time students often study for certificates and diplomas However, analysis can effectively compare students with the same qualifications based on their mode of study, providing clearer insights into their outcomes.

The DLHE survey offers valuable insights into how higher education qualifications influence employment and earnings, despite limitations such as limited data on pre-study earnings and partial employment information before enrollment While it does not facilitate a direct comparison of earnings and employment pre- and post-study, it enables analysis of employment and earnings trajectories between six months and three and a half years after graduation This provides important and fresh evidence on how higher education impacts pay progression over time. -**Sponsor**Need help refining your article to be SEO-friendly and highlight key points? [Soku AI](https://pollinations.ai/redirect-nexad/bTLI4kAw?user_id=983577) can assist by automating expert-level content optimization, just like it does for Facebook ads While rewriting, focus on emphasizing the DLHE survey's value in examining the impact of HE qualifications on employment, even though it lacks complete pre-study data Highlight the survey's unique ability to track earnings and employment changes post-graduation, offering valuable insights into the pay progression resulting from higher education This approach can make your content more appealing and informative to your target audience.

Earnings analysis is complicated by non-response to salary questions, with data available for just over half of graduates in employment six months after graduation and slightly over three-quarters of those in full-time employment after three and a half years This non-response introduces potential bias in salary estimates; however, multivariate models incorporate numerous control variables, many of which are related to non-reporting, likely minimizing these biases.

This study employs multivariate techniques to control for various factors known to impact employment and earnings, such as age, gender, ethnicity, industry, occupation, and region By accounting for these variables, the analysis provides a clear understanding of how different modes of study—full-time versus part-time—affect employment outcomes The findings highlight significant differences in employment and earnings based on the mode of study, offering valuable insights for policymakers and educational institutions seeking to improve student employment prospects.

Section 1.2 highlighted a number of policies issues relevant to part-time students The analysis will attempt to explore whether part-time study had a bigger or smaller impact on the outcomes considered for certain key subgroups

A key area of policy interest is understanding the sources of support for tuition fee payments among students Our data identifies the primary sources of funding, enabling an analysis of employment outcomes for graduates based on their fee support, including no support, support through a Local Education Authority (LEA) award—common among full-time students—support from their employer, or other UK government assistance.

Financial support for tuition classified by HESA as ‘Government’ mainly includes funding provided by the Department for Health to assist students studying medicine and related applied medical subjects According to HESA, these students are recipients of government-backed financial aid aimed at supporting their education in healthcare disciplines.

In the 2004/05 DLHE Longitudinal survey, students included in the 'Government' aid cohort were eligible for NHS bursaries These bursaries, available in both means-tested and non-means-tested categories, covered various healthcare-related courses Both types of bursaries included tuition fee payments on behalf of students, with part-time students receiving support proportional to their study hours.

Financial support provided by Local Education Authorities (LEAs) is a primary source of government-funded funding for both full- and part-time students studying non-medical subjects Until 2009/10, LEA support was predominantly managed by local authorities, with variations depending on whether students studied full-time or part-time LEA financial assistance for part-time students was reformed multiple times between 1997 and 2005, making it challenging to determine the exact support received, especially for the 2004/05 cohort Low-income part-time students, defined as those receiving social security benefits, were most likely eligible for full tuition fee waivers, though part-time students not in receipt of benefits had to pay their fees upfront, with no cap on fees In contrast, all full-time students in England included in the same cohort were generally eligible for means-tested support to help cover their tuition fees, ensuring greater access to financial aid.

7 Since 2009/10 Student Finance England and the Student Loan Company have been responsible for administering both student loans and grants for new full-time and part-time entrants

In 2002/03, the maximum full-time tuition fee was set at £1,100, with fees being means-tested based on family income Students from families with incomes below £20,480 were exempt from paying tuition fees, while those from households earning between £20,480 and £30,501 paid a partial fee Conversely, students from families with incomes of £30,502 or more were required to pay the full tuition fee of £1,100.

8 Low-income students were also eligible for means-tested loans of £500 towards their course costs

9 Full time students were also eligible for means-tested loans of up to £4,815 towards their living costs in 2002/03 Note no grants were available for students living costs

Assessing social mobility through higher education (HE) remains challenging due to limited data, especially regarding part-time students’ social backgrounds However, analyzing students who entered HE with low-level qualifications (below Level 3) provides valuable insights into how their employment outcomes compare to those with higher-level entry qualifications This comparison helps evaluate the extent to which higher education promotes social mobility among different entry groups.

Many part-time students already possess Level 4 qualifications before starting their study programs, indicating they are more focused on re-skilling rather than upgrading their qualification level Examining entry qualifications helps us understand the influence of re-skilling and social mobility among these learners Re-skilling is particularly relevant when considering whether part-time students are motivated to change careers or improve job prospects, rather than advance within their current roles.

The characteristics of the students surveyed by mode of study

Job characteristics for those employed six months and three and a

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