Firms’ preferences:

In Portugal, the preference of companies to hire individuals with a bachelor’s vs. master’s degree is one of the main concerns of students. Although both educational paths offer distinct advantages, the choice is often accompanied by a concern not only regarding salary issues and career trajectory, but also the ability to enter the job market. 

Following the introduction in 2006 of a 3-year undergraduate degree instead of the 5 years that used to be required to complete this cycle of studies, within the Bologna process, bachelor’s and master’s degrees now last 5 years as a whole. Someone with a master’s degree is often more appealing to companies. They are seen as a safer option because they are better educated and have completed a longer period of study, already have a specialization and are more mature in their work. For these reasons, these professionals tend to demand a higher salary than someone without a master’s degree. 

In turn, those with a bachelor’s degree are seen as a less experienced Human Resource, because, when they enter the job market, companies know that they have little or no experience beyond university and/or associations. However, this is not necessarily a negative thing. Many companies prefer these kinds of candidates, as they allow for more on-the-job training, enabling professionals to acquire the necessary and often more specific knowledge for a particular position/career. These professionals usually have lower entry-level salaries than someone with a master’s degree, but is the difference really meaningful?