Is there a trade-off between financial rewards and other job benefits? Different career pathways for two groups of management students

Abstract

The unemployment rate in Norway is low. More than 30 per cent work in the public sector and there is a shortage of labour, especially in the health and education sectors. This article seeks to find out more about why some choose to study within health and education and pursue a career there while others put finances or business education as their priority. Which factors influence this choice? Students’ responses to questionnaires reveal that there are some significant differences. The results indicate a trade-off between high salaries and other job benefits. Compared to business and economics students, financial rewards count for less for those selecting public sector work. They accept lower wages in compensation for job security and personal contentment. Other factors that have implications for educational choices are personal characteristics (Big Five) and interests. Furthermore, there is a substantial gap between females selecting business and financial education and females who prefer a personal-oriented job in the public sector. The methods used in this paper are comparison of means (t-test) and standard linear regression.