Does Having a Human Resource MBA Increase Your Salary and Job Opportunities?

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When considering getting a Masters of Business in Administration one of the first and most obvious things prospective students want to know is whether or not having an MBA will increase their earning potential and viability in the job market. MBAs in general are good for potential earnings, and the field of human resources is only expected to grow. So an MBA in human resources may very well be a strategic move. 

MBA Increases Salary

First off, it is generally fair to assume that one can expect a salary increase of some kind after getting any MBA degree. According to the Human Resources MBA site, students who graduated with MBA degrees have had a steadily increasing income base, going from 63% in 2010 to 73% in 2011 and up to 81% in 2012. Various MBA programs have different results too, however. Full-time MBA programs had the highest increase, with graduates from full-time MBA degrees showing an increase of around 28% higher than those graduating from part-time MBA programs. In 2005 MBA graduates had an average estimated income of $106,000, and it is believe that this number will only continue to rise as the economy continues to improve.

Human Resource Manager

According to the Business Because, there is a steadily growing demands for human resources departments. This is creating a demand for proficient human resources managers. Individuals with a MBA and experience will have a leg up over those who only have experience. Positions in HR management requires administrative action for the recruiting and hiring for the company. HR managers typically work alongside executives in strategic planning and so there can be opportunities for advancement. HR managers have a median salary of $99,720 and the expected job growth is 13 per cent by 2020.

Previous Experience

There are other factors that also play a major role in the salary of an human resources MBA graduate that work in tandem with their degree. As mentioned earlier, having previous experience in addition to an MBA can contribute significantly when applying for positions. Prior experience can open the door for candidates as they will have demonstrated their ability to perform in real-life settings. Also, MBAs with experience will have a greater opportunity to grow their network which in turn opens them up to a wider array of career options than would have been afforded to them with just an MBA alone.

Not All MBAs Are Equal

While it’s generally safe to say that having an MBA will greatly increase your chances at getting a better paying position, it is important to note that not all MBA degrees are created equal. Factors such as the reputation and prestige of the institution from which the MBA has been earned also come into play in affecting the salary. Location is a key factor too, as different geographical locations have higher demands for MBA graduates of different specialized fields, according to the industries in that location.

HR Demand

It’s important for prospective MBA students to recognize the importance of other variables and key factors such as prior experience, networking ability and the institution where the MBA is earned. On the whole, however, the demand is likely to steadily increase for HR positions in the foreseeable future.

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