Generation STEM Links 
Cost-Benefit Analysis

Program evaluation summary 

July 2026

Generation STEM Links is a CSIRO‑delivered internship program that connects 
industry with tertiary STEM students through paid placements across NSW.

This evaluation assessed whether 
Generation STEM Links delivered value 
for money and broader social benefits.

The program connected tertiary STEM 
students in New South Wales (NSW) 
with paid industry placements, with a 
particular focus on small and medium 
enterprises (SMEs), regional businesses, 
and students from underrepresented 
backgrounds. The analysis examined 
costs and outcomes for students, 
industry partners, government, and 
the wider STEM workforce system.

Evaluation approach 
and methods

This study presents an ex-post cost‑benefit 
analysis (CBA) consistent with NSW 
Treasury guidance. Between 2022 
and 2025, the program facilitated 250 
placements, with 202 completed 200-hour 
placements included in the final analysis. 
Outcomes observed in the program 
were compared against a counterfactual 
scenario representing likely outcomes 
in the absence of Generation STEM Links. 
A mixed-methods approach combined:

• program administrative data 
(2022–2025)
• student and employer 
surveys and interviews
• published labour-market 
and workforce datasets
• economic modelling and Monte Carlo 
simulation (1,000,000 iterations) 
to test uncertainty in key assumptions. 


Only benefits judged attributable 
to the program were monetised.

Key findings

Economic outcomes

The program generated positive economic returns:

Total economic benefits 
$12.3 million 

(range $11.4 to $13.2 million)

Program costs 

$2.0 million

Net Present Value 
(NPV) 

$10.3 million

Benefit-cost ratio 
6.13:1

This indicates that every dollar invested generated 
approximately $6.13 in economic value. 

INDUSTRY captured most 
benefits ($11.0 million), 
largely through reduced 
recruitment costs, faster 
hiring, and productivity gains. 

STUDENT benefits were 
estimated at $1.3 million, 
primarily through earlier 
entry into STEM employment 
and increased income. 

Almost 98% of total benefits were attributable to PLACEMENTS 
that would not have existed without the program, highlighting 
the importance of creating additional internship opportunities.

Employment and workforce outcomes

The program produced strong employment outcomes:

76% of completed 
placements resulted in 
employment offers.

91% of students 
offered employment 
accepted.

80% of sampled 
businesses hosted an 
intern for the first time 
through the program. 

Generation STEM Links is a deliverable of Generation STEM, 
managed by CSIRO and made possible by the NSW 
Government’s $25 million endowment to the Science 
and Industry Endowment Fund (SIEF). 



Qualitative findings

Stronger workforce pathways: 
Paid, industry-based placements 
improved students’ opportunities 
in STEM careers and enhanced 
employment outcomes. 

Low-risk recruitment 
for industry: Industry reported 
gaining access to high‑quality 
candidates through a 
recruitment-style model that 
reduced hiring costs and risk. 

Enhanced productivity and 
capability: Industry described 
how interns supported 
project delivery while helping 
businesses build capability 
to host future students. 

Improved access and equity: 
Program data demonstrates the 
program increased opportunities 
for underrepresented students 
and reduced barriers for SMEs 
and regional businesses. 

System-level benefits: 
Examples of stronger 
industry‑tertiary partnerships 
contributed opportunities 
to build a larger and more 
diverse pipeline of work-ready 
STEM graduates. 

Overall, Generation STEM Links generated 
positive social and economic returns, 
demonstrating value as a workforce 
development and equity initiative.

Key implementation learnings

Several factors appear central to program effectiveness:

• The recruitment-style matching process provided 
employers with high-quality, pre-screened candidates.
• Paid placements supported student participation and 
reduced financial barriers.
• Dedicated support from program staff improved 
internship experiences for both students and employers.
• SMEs and regional businesses particularly benefited 
from reduced administrative burden, recruitment 
support, and flexible placement design.
• The program strengthened capability for some 
industry partners to supervise interns and engage 
with future work-integrated learning opportunities. 


Evaluation limitations

Data related constraints narrowed the focus to 
short‑term outcomes and excluded potential benefits 
from the economic analysis: 

• Limited longitudinal data prevented measurement 
of longer-term impacts such as career progression, 
lifetime earnings, retention, or innovation outcomes.
• Post-graduation survey response rates were low.
• Industry interview participation was lower 
than anticipated.


Consequently, reported economic benefits should be 
considered conservative estimates of total program value. 

Conclusion

The evaluation found that Generation STEM Links 
delivered positive net economic and social benefits. 
Program evidence highlighted contributions to increased 
paid STEM internship opportunities, improved transitions 
from education to employment, strengthened industry 
workforce capability, and increased participation among 
underrepresented students. 

Most importantly, value was generated through the 
creation of placements that would not otherwise have 
existed. Although longer-term impacts remain to be 
assessed, the evidence indicates that Generation STEM 
Links represents an effective and scalable model for 
supporting STEM workforce development, industry 
engagement, and equitable access to work-integrated 
learning opportunities.

This resource was created with the support of generative artificial 
intelligence (Co-pilot) to help summarise reporting. Any outputs generated 
by AI were interpreted and reviewed by humans. All the content in this 
resource was drafted, reviewed, and finalised by humans.

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