Abstract
Prior research suggests that undergraduates employed during term time are less likely to graduate. Using transcript data from a large multi-campus university in the United States, combined with student earnings data from state administrative records, the authors find that traditional-age students who worked for pay during college on average earned more after leaving college than similar students who did not work. This post-college earnings premium is on par with the benefit from completing a degree, even after controlling for demographic and academic achievement characteristics, across various student sub-groups, and including models that account for selection bias. Implications of these findings for theories of education and social stratification, and for educational policy are considered.
Highlights
Reviewed by: Gregory Wolniak, University of Georgia, United States Petri Böckerman, University of Jyväskylä, Finland Bernardo Lanza Queiroz, Federal University of Minas
Using transcript data from a large multi-campus university in the United States, combined with student earnings data from state administrative records, the authors find that traditional-age students who worked for pay during college on average earned more after leaving college than similar students who did not work
The analysis presented below suggests the need for a reconceptualization of the working student phenomenon that goes beyond degree completion focus of the literature
Summary
Reviewed by: Gregory Wolniak, University of Georgia, United States Petri Böckerman, University of Jyväskylä, Finland Bernardo Lanza Queiroz, Federal University of Minas. Using transcript data from a large multi-campus university in the United States, combined with student earnings data from state administrative records, the authors find that traditional-age students who worked for pay during college on average earned more after leaving college than similar students who did not work This post-college earnings premium is on par with the benefit from completing a degree, even after controlling for demographic and academic achievement characteristics, across various student subgroups, and including models that account for selection bias. A large research literature (summarized below) has focused on the short-term consequences of working during college—on grades, number of credits taken, and graduation Such studies have predominantly reported negative effects from student employment (Neyt et al, 2017). Examining a longer period and focusing on earnings after college reveals a substantial positive aspect of student employment during college
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