Labor Market Success Research Articles

Why do parental education effects on wages differ by study fields? An analysis of bachelor- and master graduates in Austria

ABSTRACT From an equity perspective, it is important that higher education graduates have the same labour market opportunities after graduation regardless of their social background. However, empirical evidence on the direct effect of parental education on labour market outcomes is mixed, with heterogeneous effects across fields of study. A common finding is that social origin is more relevant for labour market success for graduates in business, law, and the arts than for graduates in engineering, IT, or medicine. Analysis of comprehensive Austrian administrative data show disadvantages for first-generation graduates compared to graduates with tertiary educated parents in some fields (e.g. law), but advantages in others (e.g. engineering). Multilevel models show that the composition of study fields in terms of first-generation graduates plays a crucial role in explaining these differences. Other factors such as the distinction between ‘soft’ and ‘hard’ disciplines or the proportion of graduates working in more bureaucratic institutions play no or a lesser role.

Predictive Analytics Supporting Labor Market Success: A Career Explorer for Job Seekers and Workforce Professionals in Michigan

Career Explorer provides customized career exploration tools for workforce development staff and job seekers in Michigan. There are two separate Career Explorer modules: a staff-mediated service and a self-service for job seekers. The system was developed by the Michigan Center for Data and Analytics in collaboration with the W.E. Upjohn Institute for Employment Research and Michigan Works! Southwest. It was funded by the U.S. Department of Labor's Office of Workforce Investment and the Schmidt Futures’ Data for the American Dream (D4AD) project. In this paper, the authors describe the machine learning models behind the predictive analytics of the frontline staff-mediated version of Career Explorer. These models were trained on program administrative data. Additionally, the authors describe the self-service version of Career Explorer, which provides clients with customized labor market information based on published U.S. Bureau of Labor Statistics data. Career Explorer became an active feature of Michigan's online reemployment services system in June 2021.

Students’ perception of labor market success in vocational education and training

Students’ perception of labor market success in vocational education and training

The Effect of Occupational Feminization on the Returns to Education

This study explores whether workers in female-dominated occupations have lower returns to schooling than workers in integrated or male-dominated occupations. Our analysis of 2023 CPS earnings data for year-round full-time workers indicates that the earnings benefits to additional schooling decline as the female density of occupations increases. This finding is consistent with the occupational feminization literature. However, we also find that females have higher returns to schooling than males in integrated and male-dominated occupational categories. Overall, women have achieved the highest labor market success in terms of returns to schooling in male-dominant occupations.

Ethnic and racial inequality in the UK: a comment from a German perspective

Abstract I discuss findings from the article by Mirza and Warwick from a German perspective and focus on gender differences in labour market inequality, ethnic and racial inequality in tertiary education and the role of discrimination in explaining inequality. With respect to the labour market, what is most puzzling is that members of minority groups experience more upward mobility than comparable natives but are unable to translate this advantage into similar labour market success. In Germany, success in the educational system and on the labour market are closely linked. Findings on tertiary education are more in line with what we see in Germany, namely that members of minority groups are more likely than natives to move on to university but have higher dropout rates. The article’s findings on discrimination reveal that comparatively larger ‘unexplained gaps’ remain in analyses on ethnic and racial inequality, especially for ‘visible’ minority groups, than we see in Germany.

“I was always told to fit in, but never to excel”: Men’s Post-Migration Practices of Success in the Public Sector

What post-migration practices of success at the labor market do migrants employ on their way to attaining senior professional positions? This paper offers new insights to the study of migration by focusing on success and masculinity among Ethiopian men, a marginalized group in the Israeli labor market. Using findings from 27 semi-structured interviews and six semi-structured interviews with experts or professionals, we investigate the relationships between career success, gender, and migration through a transnational perspective. Migrant success continues to be assessed and viewed primarily through the lenses of the nation-state and integration, in comparison to the native population in general and in the labor market in particular. This paper analyzes the post-migration practices of success described by migrant men who have achieved senior positions in the public sector, with the aim of illuminating the mechanisms and circumstances, as they understand them, that contribute to achieving success. The findings challenge the concept of integration in the context of migrant men’s success which defines success as fitting in and mediocrity rather than excellence both on the personal and societal level. Although limited to Ethiopian men who have achieved labor market success, this study provides an opportunity to demonstrate the value of examining migrant men’s success from the perspective of cultural capital and views migration masculinity as a dynamic concept.

On-campus student employment as a form of leadership development.

Student employment is a common co-curricular activity among undergraduate students. Previous studies have primarily focused on the impact of employment on academic outcomes and post-graduation labor market success. Although there is an assumption that on-campus student employment influences leadership learning, there is a lack of research directly exploring this topic. Therefore, this study explores how on-campus student employment influences leadership capacity development in undergraduate students who worked in a department in Student Affairs.Findings suggest that on-campus student employment influenced leadership capacity development in undergraduate students.

Factors for a successful transition to the labor market for persons with disabilities: The perspective of special education teachers in Saudi Arabia

BACKGROUND: Despite legislation that promotes the transition of young people from school to work and the increasing knowledge of the factors that contribute to successful transitions, young people with disabilities face lower rates of participation in employment, education, and vocational training compared to their non-disabilities peers. OBJECTIVE: The paper aims to examine the perspective of special education teachers (SET) regarding the success factors of the transition to the labor market for persons with disabilities after graduating from secondary school in Riyadh, Saudi Arabia. METHODS: To conduct the research, we used a questionnaire; participants were sampled intentionally, and they were a representative sample at the level of Riyadh city (N = 180) of secondary school SET in the 2022/2023 school year. RESULTS: Educators have identified several factors critical to success in the labor market transition which can be separated into three categories; 1) person-centered factors, 2) family-specific factors, and 3) community instruction-specific factors. There were no statistically significant differences between the responses of participating SET according to their demographic characteristics (gender, educational level, and years of teaching experience) and the factors for successful labor market transition for persons with disability questionnaire. The results were interpreted in light of the theoretical framework and previous studies, and many recommendations were made for those that employ persons with disabilities. CONCLUSION: The findings highlight some of the areas that are critical to the labor market transition: employment and vocational skills’ training in secondary school, and families and community members’ attitudes and high expectations for the future of persons with disabilities.

Education, work and social mobility in Britain’s former coalfield communities: reflections from an oral history project

ABSTRACT This paper draws on an oral history project which focuses on former coalminers’ experiences of education and training. It presents the stories of five participants, all of whom undertook significant programmes of post-compulsory education during or immediately after leaving the coal industry and achieved a degree of social mobility over the course of their working lives. The paper compares and contrasts their experiences with those which now exist in Britain’s former coalmining communities which, it is argued, have been substantively attenuated over time, especially for young men. Whilst it is evident that individual choice and motivation can play an important role in helping (or hindering) young people’s journeys through education and employment, the central argument of the paper is that individual labour market success lies at the intersection of structure and agency – although the data presented also demonstrate the extent to which opportunities available to young men in the former coalfields have been diminished by de-industrialisation.

The Importance of Soft Skills in the Context of Contemporary Economic Relations and International Student Mobility

Graduates' labour market success increasingly relies on soft skills, best developed through international study experiences. With the changing economic landscape post-COVID-19, adapting to various cultures and environments is valued by employers. This is crucial for university internationalization. The study focuses on how skills from international mobility align with EU labour market needs, particularly for Prague University of Economics and Business's International Relations students. Research included surveys and interviews with employers, yielding recommendations for the Czech educational system and underscoring international mobility's importance for student skills.

‘With a little help from my educated friends’: revisiting the role of social capital for immigrants’ labour market integration in Germany

This article examines the link between immigrants’ social capital and their labour market access (employment) and success (occupational status) in Germany and contributes to previous research in two ways. Firstly, based on insights from theories of social capital and immigrant integration, we overcome the mere distinction between inter- and intra-ethnic ties. Instead, we approximate resources immigrants can access and mobilize by considering both the ethnic and socioeconomic compositions of their networks. Secondly, by using autoregressive cross-lagged panel models, we properly deal with the methodological challenge of endogeneity inherent to studies concerned with the relationship between social capital and labour market outcomes. Based on longitudinal data from the German Socio-Economic Panel the empirical findings indicate the necessity of considering both the ethnic and socioeconomic compositions of immigrants’ networks—as both have independent effects on immigrants’ labour market integration. We conclude that future research on the relationship between immigrants’ social capital and their economic integration may benefit from approximating resources available through social contacts by considering not only the ethnic dimension but also the socioeconomic dimension of contacts.

Money for nothing? Evidence on the effects of start-up subsidies on transitions from unemployment to self-employment

Start-up subsidies (SUS) aim to foster the transition of unemployed individuals into self-employment by securing their livelihood during the first months after their start-up. While the existing evidence on the effects of SUS on subsidy recipients’ labor market success and business performance is rather positive, much less is known about the degree to which SUS can actually induce additional entrepreneurial activity out of unemployment. Critics suspect that SUS are rather ineffective in increasing transitions from unemployment into self-employment, essentially handing out money for nothing. Exploiting large regional variation caused by a German policy reform at the end of 2011, this paper investigates the role of SUS for transitions from unemployment to self-employment using a difference-in-differences strategy. Results show that the reform led to large negative effects on regional transitions into subsidized as well as overall self-employment. Results imply a prominent role of public policy in shaping start-up activity from unemployment.

TERMINOLOGICAL ANALYSIS OF THE MAIN DEFINITIONS OF STEM-EDUCATION

One of the main aspects of the innovative development of STEM-education is the introduction of innovative pedagogical approaches and teaching methods. STEM education is based on active learning that includes problem-based, project-based, and research-based approaches.The analysis of the literature proved that the topic of STEM education was researched by many Ukrainian and foreign scientists. M. John, A. Nicolas, V. Rokhov, S. Sosnovskyi studied the approaches; N. Morze, О. Stryzhak considered the theoretical foundations. І. Slipukhina, V. Chornomorets in his works found out the content of the implementation of STEM-technologies. О. Stryzhak, І. Slipukhina, N. Polikhun, І. Chernetskyi considered the main concepts of STEM-education. The purpose of this ar- ticle is to reveal the main definitions of STEM-education. The scientific novelty consists in the selection of different approaches to the concepts of STEM-education, the authors who research this issue are detailed, and the specific concepts are defined on the basis of the analyzed sources.In the course of a scientific search, it was established that the scientist N. Valko found out that for the first time STEM-education as a new direction appeared in the documents of the USA in 2001, in Ukraine – in 2015, and is considered as a curriculum that includes the following disciplines: science, design, engineering and mathematics. We tend to define the term as follows: it is an educational program that prepares students in elementary, middle, high school, as well as college, university and graduate students for the purpose of comprehensive development and focuses on the combination of science, mathematics, technology and engineering. Considered the well-known concept of STEM-education – it is the space of an individual in which he can ex- plore, experiment, studying various subjects, work in a team and search for his “self”.STEM-education is based on STEM-competencies and skills. N. Honcharenko interprets them as follows: first, the system of knowledge, abilities and skills; secondly, values and personal qualities that characterize innovative activity; thirdly, the ability to solve problems, work in a team, be able to control emotions and negotiate. In the composition of STEM-competencies, it is possible to distinguish characteristic specific components, which include cognitive, reflective-analytical, operational-activity, value-motivational ones. STEM-competencies are important for preparing young people for future professional challenges and the development of innovative technologies. We consider it expedient to highlight the following statements: STEM learning tools are a set of equipment, ideas, actions and phenomena with the help of which research, experimental and other works are carried out in lessons and in extracurricular time (circles). STEM-methods are a specific activity of students and teachers, during which the former discover new things and make discoveries themselves with the help of special methods and forms of work. Analysis of the concept of STEM-technologies by scientists N. Valko and O. Barna. allow us to highlight that technologies in STEM are a complex of psychological and pedagogical tools aimed at the formation of professional and socio-economic com- petences in the process of combining disciplines and collective work.Thus, the terminological analysis of the main definitions of STEM-education is of great relevance for improving the com- mon understanding and practical application of STEM-education, as well as for improving the quality of education and prepar- ing young people for the modern technological world. We highlighted the main concepts of STEM-education, innovative and STEM-technologies, STEM-specialist, STEM-competencies, innovative technologies, STEM-laboratory, STEM-tools and methods. The essence of some concepts was also explained with clarifications.A modern integrated direction will ensure the development of critical thinking, technological thinking and communication skills, which are becoming increasingly important for success in the future labor market. Terminology analysis will help you confidently identify and develop curricula that meet these needs. We consider it necessary to further reveal the content of STEM-education, as this study did not cover the entire topic.

Are general skills important for vocationally educated?

In this paper, we examine the effect of general skills on wages for vocationally educated workers with a qualification at upper secondary level. While general skills are considered crucial for labour market success of workers in general, it is not clear whether this also holds for the vocationally educated workers. We use the recently developed concept of effective skills to identify the relationship between general skills and wages for this group. Using data from the Programme for the International Assessment of Adult Competencies (PIAAC) in 25 countries with advanced economies, we show that general skills strongly affect wages of vocationally educated workers and are just as important a factor as they are for generally educated workers. For vocationally educated males, the effect is especially salient for older workers (aged 45 and above). For vocationally educated females, general skills are most important in the beginning of their career (aged 20 to 35) and at prime age (aged 36 to 45).

Competence Proximity to Employers’ Requirements and Labour Market Success of Economics and Business Graduates

Abstract This research concentrates on Croatia with threefold aims: (1) to identify and quantify key competences developed by economics-and-business graduates; (2) to assess the degree of proximity between competences acquired at universities and those required on the labour market; and (3) to investigate how this proximity translates labour market outcomes for graduates. This research is based on primary data, collected through two questionnaires, one for graduates and one for firms. Key competences were identified using factor analysis. Proximity between employers-required and graduates-acquired competences were then used as covariates in explaining differences in graduates’ employability and wage premiums using standard regression model, Heckman selection model and instrumental variables approach. Results show that university education is highly skewed towards the acquisition of economics-and-business practical competences, while employers put greater emphasis on generic competences. Results also point to a penalty of having a competence gap on graduates’ probability of being employed and on their wages.

Longer schooling with grade retention: The effects of increasing the school leaving age on dropping out and labour market success

This paper examines the effects of increasing the compulsory school leaving age from 16 to 18 in Hungary using a difference-in-regression-discontinuities design empirical strategy. While the reform increased the length of schooling, it did not decrease the probability of dropping out of secondary school, either on average or among the most at-risk group of Roma ethnic minority students. Due to grade retentions, marginal students were older than their peers and couldn't have reached the final grade of secondary school by age 18 to earn a degree. The reform also did not affect the probability of employment, hours worked, wages and the probability of working in low-skilled occupations at ages 20 and 25. In education systems that allow grade retention, compulsory education should have the explicit goal of keeping students in school until they earn a secondary degree, rather than just until a certain age.

Is being competitive always an advantage? Competitiveness, gender, and labour market success

Competitiveness is increasingly discussed in behavioural economics as a personality trait that potentially relates to various labour market outcomes, such as career choices or compensation. This paper studies the association between individual competitiveness and premature employment and training contract termination from apprenticeships. We combine an incentivized measure of students’ competitiveness, elicited almost two years before the start of an apprenticeship, with administrative data on premature contract terminations. We find that not only the propensity towards competition depends on gender, but also that competitiveness is related differently to premature contract termination for men and women. For competitive men, we observe no correlation or, depending on the measure of competitiveness, that they are more successful in their apprenticeships. Competitive women, in contrast, are more likely to terminate their contract prematurely compared to non-competitive women, mostly due to a higher risk of conflicts with their employers.

The Evolution of the Returns to Schooling for Refugees and Other Immigrants in the United States

Previous research has shown that refugees have lower earnings than other immigrants with comparable human capital. The differences in the degree of correlation between schooling and unobservable factors across the two groups may contribute to this gap. This paper investigates the returns to schooling for refugee and non-refugee men in the United States. The results show that the returns to schooling are lower for refugees upon arrival. This gap persists over two decades in the country and is robust to specifications that conduct sensitivity analysis, suggesting that differences in unobservable characteristics that are important in immigrants’ labor market success, particularly adaptability traits, drive the initial gap in the returns to schooling and how the gap changes over time.

University peers and career prospects: The impact of university ties on early labor market outcomes

By using extensive Hungarian administrative data, this study aims to provide empirical evidence that former university ties strongly influence the labour market outcomes of individuals, even early in their careers. The estimates focus on the early career paths of graduates who obtained a master's degree between 2010 and 2017. As direct information on social contacts is not available in the dataset, we proxy university peers as students who started and finished the same university programmes (bachelor's or master's) in the same semester. Our results suggest that individuals are more likely to get hired by given firms if their former peers work there. The measured effects are considered significant and quite robust, even after controlling for the important sources of potential bias. Although we cannot present exact proof of the direct help of contacts, we provide suggestive evidence that seems to confirm the existence of such assistance. Our findings also revealed that the measured benefits are mainly attributable to connections from bachelor's studies. The effect of master's peers is mostly driven by the selection of individuals alongside prevalent study track-firm pathways. By comparing entries into new firms with and without peers, we also show that graduates with links have better labor market outcomes after hiring: they earn higher wages, obtain better and more prestigious positions, and stay longer at their new firm. The results draw attention to the importance of university peers in the labour market and contribute to the discussions about the determinants of early labour market success.

Pre-existing company contacts and premature termination of apprenticeship training in Germany

Using longitudinal data from Starting Cohort 4 of the German National Educational Panel Study (NEPS), we examined whether pre-existing strong ties and weak ties in the training company are associated with the risk of premature termination of apprenticeship training in Germany. This is highly relevant for the literature on social capital in the labor market since so far little is known about the role of social contacts for the turnover propensity of labor market entrants. By examining a potentially important factor for a successful labor market integration, our research also adds to both the school-to-work and the social stratification literature. Our empirical results are only partly consistent with our theoretically derived expectations. While contrary to our expectations, we found no association between strong ties and termination probability, weak ties were, as expected, associated with a lower probability of premature training termination among those apprentices who were trained in their desired occupation. Our main results, combined with several robustness checks, let us assume that this is due to better matched training situations.