Two West Australian universities are languishing at the bottom of a list ranking tertiary institutions according to the satisfaction rates of those who employed their graduates.

The survey results released on Friday found Murdoch University was the lowest ranked university in Australia in terms of employer satisfaction with graduates at 76.2 per cent, while the University of Western Australia came in at third from the bottom of the list with 79.4 per cent. Sitting in between them was Torrens University in Adelaide.

The survey, funded by the federal government, looked at the quality of education provided at Australian institutions by asking the employers of new graduates about the generic skills, technical skills and work readiness of the graduate.

The report found supervisors were significantly happier with graduates who had studied internally. Andrew Meares

Overall satisfaction rates for 41 Australian universities ranged from 95 per cent to 76 per cent.

Bond University topped the table at 95 per cent, then came the University of Divinity, Australian Catholic University and the University of Wollongong, all at 90 per cent.

Employers were happiest with engineering and related technologies graduates and health graduates at 90 per cent.

Next came architecture and building graduates at 86 per cent satisfaction rate and education graduates at 85 per cent.

Creative arts graduates scored 75 per cent while management and commerce graduates were at 80 per cent.

A spokesman for Murdoch University said the survey was one of various indicators measuring the performance or assessment of universities.

The survey found 76 per cent of employers of Murdoch University graduates were satisfied with the new employee. Murdoch University media

"For example, the 2020 Good Universities Guide showed Murdoch University continued to improve its results across educational and overall experience markers, and achieved five-star rankings across the areas of overall experience, student support, teaching quality and student to staff ratios, placing it in the top 20 per cent of all universities across Australia," he said.

"With respect to the QILT survey, the data pertaining to overall satisfaction should not be looked at in isolation.

"The overall satisfaction rating was based on an individual question and is not the cumulative results of the five other questions pertaining to the actual graduates."

A UWA spokesman said the university would use the survey to identify where they could improve.

"[UWA] is committed to a high quality student experience and we use feedback from the QILT survey and other sources to form future strategies to improve," he said.

"The university will be examining the results of this survey and comparing it to our own graduate data."

The spokesman said the university had recently launched a new initiative to improve student experience, and it should be noted it had improved in four of the five survey areas than previous years - including employability.

The 2019 Quality Indicators for Learning and Teaching Employer Satisfaction Survey results combined data gathered from 2017, 2018 and 2019 and gathered the views of 4689 employers about the attributes of recent graduates.

The report found supervisors were significantly happier with graduates who had studied internally, at 85 per cent, in comparison with graduates who had studied externally, at 80 per cent.

Overall 92 per cent of supervisors reported the qualification attained by their graduate had prepared them ‘very well’ or ‘well’ for their current employment.

The Murdoch University spokesman pointed to the 94 per cent rate of employer satisfaction with their graduate's foundation skills and 95.7 per cent (ranked 3rd) satisfaction with technical skills.

Notre Dame University rated fifth overall, the highest in WA at 87.4 per cent.