BEYOND THE CPGA

A STUDY TO DETERMINE OTHER FACTORS THAT INFLUENCE STARTING SALARY

Course: Business Statistics (BUS 511)

Instructor : Kais Zaman

Group Members :
Mir Mostafa Muzaffar

1221112660

Syed Kaiser Ahmed

1430806060

Nazia Afroze

1220681060

Ishtiak Alam Chowdhury

1421407660

Every year, thousands of aspiring new

graduates rush to get into the job market

Its a race to create the most impressive C.V

But todays students know that having good

grades are not enough

Many are often involved in part time

employment while pursuing their under
graduate degrees

But does it really help ?

We tried to find out

Objective

The objective is to understand whether any

statistical relationship exists between
working part time during undergraduate
studies and starting salaries when students
graduate and make it into the workforce

Data Source

All data is primary data and has been collected via oneon-one interviews, with full time employees of
companies/organizations from various industries.

To ensure more accurate results, we have tried to

insure all the respondents were engaged in their
undergraduate programs during similar time periods
(within last 4 years).

Sample size : 47

Variables
Variable

Data type

Values

Starting salary (dependent)

Ratio

Below Tk. 10k

Tk. 10-20k
Tk.20 30k
More than Tk. 30k

Worked during under graduation

Nominal

YES
NO

Duration of work during UG

Ratio

Did not work

Less than 6 months
6-12 months
1-2years
More than 2 years

How did they get their first job ?

Nominal

Personal contact
Family Contact
Standard Procedure

Involvement in extracurricular activities

Nominal

YES
NO

Difficulty in attaining first job

Ordinal

Extremely difficult
Moderately difficult
Average
Moderately easy
Relatively easy

Did employer ask for previous work

experience

Nominal

YES
NO

Independent Variables:

Questionnaire

Data View

Variable View

Descriptive Statistics

Starting Salary

Mean Salary
range : Tk.
20k 30k
Only 6/47
respondents
had salaries
below Tk.
10k

Gender

The sample consists

of an almost equal
amount of male and
female respondents

Gender Vs. Starting Salary

A higher number females in

the sample had higher
salaries (more than Tk. 30k)
More males had salaries in
the Tk.20 k Tk. 30k range

Employment during UG

Almost 66% of the

respondents were
involved In some kind
of employment during
under graduation

Employment during UG Vs. Starting Salary

Only respondents who

worked as students had
salaries of over Tk.30
More respondents who
had previous experience
had starting salaries in the
Tk.20k 30k range

Extracurricular activity

Almost 53% of the

respondents were not
involved In any kind of
extracurricular activity during
under graduation

Extracurricular activity Vs. Starting Salary

No respondents who were

involved in extra curricular
activities had salaries less
than Tk. 10k
Respondents who answered
positively had the same
number of people who earned
over Tk. 30k as those who
answered negatively

Inferential Statistics

Are the mean starting salaries of

females same as those for men ?

H0 : female = male
H1 : female male
Significance level = 0.05
Test statistic : As samples are from independent populations and variance can be
assumed to equal, we need to use two same T -test
Rejection region - .250 to .873
T cal 1.118
Decision DO not reject H0 as T cal > T critical
Conclusion : Mean starting salary for females are not the same as for males

H0 : There is a difference in salary

between the surveys
H1 : No difference in starting salary
between surveys
Significance level = 0.01
Test statistic: It is the Chi-square
distribution
Chi Cal 6.53
Chi Critical 13.27
Decision Reject alternate
hypothesis as Chi Crit > Chi Cal
Conclusion : There is a difference in
starting salaries between surveys

Survey Results
Starting Salary And Did
Employer ask for Work
Experience

H0: No relation between

Salary and Did Employer as
for work experience
H1: Relation exists between
Salary and Did Employer as
for work experience
Fcal= 8.770

Survey Results
Starting Salary And UG Work
Duration

H0: No relation between

Starting Salary and Did
Employer as for work
experience
H1: Relation exists between
Starting Salary and Did
Employer as for work
experience
Fcal= 7.897

Survey Results
Starting Salary And
Extracurricular Activities
H0: No relation between
Starting Salary And
Extracurricular Activities
H1: Relation exists between
Starting Salary And
Extracurricular Activities
Fcal= 8.876

Survey Results
Starting Salary And Gender
H0: No relation between
Starting Salary And Gender
H1: Relation exists between
Starting Salary And Gender
Fcal= 1.249

Survey Results
Starting Salary And
Difficulty in getting Job
H0: No relation between
Starting Salary And Difficulty
in getting Job
H1: Relation exists between
Starting Salary And Difficulty
in getting Job
Fcal= 0.947

Survey Results
Starting Salary And How Did
they get the Job
H0: No relation between
starting salary And How Did
they get the Job
H1: Relation exists between
starting salary And How Did
they get the Job
Fcal= 3.105

Survey Results
Starting Salary and Worked
during Under graduation

H0: No relation between

starting salary And How Did
they get the Job
H1: Relation exists between
starting salary And How Did
they get the Job
Fcal= 34.409

Regression Model

Starting Salary = gender) + Worked

during undergraduate degree) +Duration
of work during under graduation) + +
(Extracurricular activities during under
graduation)++

Adjusted R
Square=0.44677
995393953945
R Square =.531

Starting

Salary = gender) + Worked during

undergraduate degree) +Duration of work
during under graduation) + + (Extracurricular
activities during under graduation)++

Conclusion

Conclusion

People with Experience

clearly had a higher starting
salary than people with no
experience

Challenges/Limitations

Respondents not willing to disclose salary

Small sampling size

Sampling errors due to inaccurate recording of

information or false information given by respondents
Time limitation
Other commitment.
Lack of interests of respondents
Budget constrains

Other possible factors

Other certifications / trainings

How well the interview went

Negotiation skills