(Yicai) Dec. 25 -- The number of Chinese applicants for the entrance exam for postgraduate studies fell for the first time in nine years this year because of higher work experience needs and the rising cost of pursuing a master's degree.

Around 4.4 million people took the postgraduate admission test from Dec. 23 to today, 360,000 fewer than a year earlier, according to data from the education ministry. By comparison, more than 3 million people took the national civil service exam, up by nearly 500,000.

The upfront financial outlay and lower return on investment for some students are the main reasons for the drop in applications, according to insiders.

More realize that getting a master's degree takes a lot of time and costs a lot of money and does not significantly improve their competitiveness in the jobs market, so they tend to start working directly, said Chu Zhaohui, a researcher at the National Institute of Education Sciences.

Postgraduate enrolment has been increasing in recent years, but some students have noticed that it remains difficult to find a job even with a master's degree, Ding Changfa, associate professor at Xiamen University's economics department, told Yicai. 

Enrolment in professional master's programs is also rising, along with tuition fees, while Peking University and Fudan University recently said they will no longer provide dormitories for these students, which increases their costs as they will need to rent accommodation, Ding added.

Long work experience and enhanced skills are also of significant career value, according to a report by research institute Mycos. For example, the monthly salary of 2014 graduates from non-double first-class universities reached an average of CNY9,507 (USD1,333) after five years of work, compared with CNY9,961 for those without college diplomas but with longer work experience.

Many fresh graduates majoring in medicine, agriculture, and science still go on to do postgraduate studies for a number of reasons, including social needs, industry development, occupational characteristics, and job prospects. Up to 29 percent of medical school graduates opt for postgrad courses.

Editor: Martin Kadiev