← Back to Home
Caucasus

Azerbaijan's graduates can hardly find suitable jobs

ostwirtschaft.de · May 18, 2026
Azerbaijan is now producing more university graduates than its own economy can absorb. For thousands of young people, this means choosing between jobs below their qualifications, alleged bribes for public sector positions or emigration. Economists and graduates point this out in discussions with local media. This development reveals a structural weakness in the Azerbaijani economy. In recent years, only around 9,000 to 12,000 new jobs have been created each year, more than half of them in connection with the reconstruction of the Karabakh region. At the same time, more than 50 percent of university graduates have degrees in the humanities. The result is an inflation of academic qualifications and an increasing misallocation of human capital. Jobs only with connections? A graduate of the Azerbaijan University of Architecture and Civil Engineering reported that he was unable to find a job at Azərsu after completing his degree in water management and technical communication systems. "I was told that there were no vacancies," the graduate reported. "At the same time, I was told that the problem could be solved if you had relatives or acquaintances in the ministry - or were prepared to pay a certain amount." Today, he works as a registrar in a hospital and earns 400 manat a month. Another graduate described a similar situation in Sumqayıt. Many wages there are below the statutory minimum wage and labor law violations are widespread. Personal contacts are often crucial for career opportunities in the public sector. Without connections, applicants are merely "held in reserve", he said. A third graduate explained that he had turned down several job offers because the salaries were too low and was now looking for study and work opportunities abroad. "There are not enough alternatives for young people at home," he said. Academic inflation on the job market Araz Aliyev, former lecturer and researcher at Baku State University, sees the core problem in academic inflation. The more people acquire a university degree, the lower its actual value on the labor market. "More and more university graduates are working as cashiers, courier drivers or salespeople," he said. "If two people apply for a job in retail - one with a high school diploma and one with a university degree - the employer usually chooses the academic. This pushes the other person out of the job market completely." Aliyev points out that more than half of all new jobs created since 2020 have been in the construction industry, even though the majority of university graduates have degrees in the humanities. "In the end, a history student ends up in construction. That is precisely the discrepancy we are facing," he said. Experts call for structural reforms However, economist Rovshan Agayev warns against placing the responsibility solely on the universities. Ultimately, it is the demand of the economy that is decisive. "The economy determines what kind of graduates it needs, and the universities respond to this," he said. "If competitive high-tech jobs are created that require highly qualified specialists, the education on offer will also change accordingly." The problem of unemployment among university graduates has been discussed within the government for years. However, real change is only possible through comprehensive economic structural reforms - not through changes to the education system alone. The education system is also being criticized A similar problem affects the vocational training sector. Education expert Mazahir Mammadli explained that universities have so far had difficulties adapting to the new requirements of the labor market. "University graduates no longer have a decisive advantage on the labor market," he said. "In many cases, colleges merely serve as a transitional phase for students who later want to transfer to a university without taking an entrance exam." Mammadli therefore proposes formally integrating colleges into the university system and developing them as a preliminary stage to a bachelor's degree. This would allow students to obtain a recognized degree after just two or three years and enter the job market earlier. Low wages despite studies The problems do not end when you start your career. One university graduate reported earning 600 to 700 manat per month, but was only officially registered as earning 350 to 400 manat. Employers would deliberately declare lower salaries in order to save on social security contributions. This has long-term consequences for many young employees: Despite academic training and already comparatively low salaries, their pension entitlements build up much more slowly. The "Graduate Employment Rating" in Azerbaijan, which has been published since 2018, shows that university graduates work disproportionately often in retail, as cashiers or in the service sector - a finding that confirms the statements of graduates and experts. The post Azerbaijan's graduates find few suitable jobs appeared first on ostwirtschaft.de.

Original article (German):

Read on ostwirtschaft.de →