International graduates continue to face barriers to securing graduate employment in Australia, with a lack of permanent residency identified as the biggest obstacle to working in jobs that match their qualifications.
Those are among the findings of the 2025 Graduate Outcomes Survey (GOS) International Report, released by Quality Indicators for Learning and Teaching (QILT).
The report draws on responses from more than 39,000 international graduates from 119 higher education institutions, including all 42 Australian universities. Graduates completed the survey around four to six months after finishing their course, with the 2025 results covering responses collected between November 2024 and May 2025.
Permanent residency identified as barrier to employment
Graduates were asked whether they believed their job fully utilised their skills and education. Just over one quarter (26.3%) of undergraduate international respondents and almost 40 per cent of postgraduate coursework respondents (38.7%) felt overqualified.
Not having permanent residency was the most commonly cited reason among postgraduate coursework graduates and the second most common reason among undergraduate graduates.
The report notes that international graduates have consistently reported these barriers since 2021 and suggests greater opportunities to gain relevant work experience during study.
Underemployment on the rise
Underemployment among undergraduate and postgraduate coursework graduates has risen since 2023, after peaking during the pandemic before falling in 2022 and 2023. The main reason international graduates gave for not working more hours despite wanting to is that no more hours are available in their current position.
Employment outcomes remain lower than domestic graduates
International graduates continued to trail domestic graduates on employment outcomes, particularly in full-time employment. Within the 2025 results, international graduates recorded lower labour force participation at both undergraduate (74.9 per cent compared with 88.0 per cent for domestic students) and postgraduate coursework level (87.1 per cent compared with 93.0 per cent), while participation among postgraduate research graduates was broadly comparable.
However, the report cautions that 2025 results are affected by a change in how the labour force is defined, meaning year-on-year comparisons should be treated carefully.
International graduates are much more likely to continue studying
Continuing study was one of the main reasons international graduates were not participating in the labour force. Among undergraduates, 58 per cent cited ‘studying or returning to studies’, compared with 45.8 per cent of domestic graduates. For postgraduate coursework graduates, the figures were 29.3 per cent and 24.4 per cent respectively.
Significant differences by field of study
Employment outcomes varied considerably by field of study. International graduates in medicine, dentistry, pharmacy and rehabilitation recorded some of the strongest full-time employment rates, while psychology, creative arts, communication, and science and mathematics recorded some of the weakest. Similar patterns were evident for postgraduate coursework graduates.
The full 2025 Graduate Outcomes Survey International Report is available on the QILT website.
