Consulting Industry Salaries Stall for Second Year Despite High Demand

The consulting industry is experiencing its second consecutive year of flat starting salaries, according to Management Consulted's 2025 Consulting Salaries Report. Entry-level consultants from undergraduate programs can expect base salaries up to $112,000, while MBA graduates' starting salaries cap at approximately $192,000.

The salary stagnation, despite strong demand for consulting services, points to significant shifts in the professional services landscape. The report identifies artificial intelligence as a key factor, with AI-driven efficiencies allowing firms to maintain output with reduced staffing levels. This trend could foreshadow similar developments across other industries, as consulting practices often predict broader business transformations.

Notably, consulting firms are adapting their recruitment strategies, showing a preference for pre-MBA hires over MBA graduates in an effort to protect profit margins. The industry continues to see robust demand, particularly in supply chain, cloud computing, and healthcare sectors, suggesting these areas may lead economic growth in the coming years.

The report's findings carry implications beyond the consulting industry, serving as an economic indicator for global business trends. While demand for consulting services remains high, the report suggests that persistent inflation and high interest rates could constrain industry growth, even if global economic activity improves in 2025. The current labor market conditions are expected to remain favorable for employers, allowing firms to maintain current compensation levels.