Historically, decisions relating to resource allocation in British universities were largely left... more Historically, decisions relating to resource allocation in British universities were largely left to the universities themselves,1 but in the 1980s the Conservative government attempted to introduce accountability and performance measurement into the public sector and this also applied to the universities. This involved not only selectivity in the distribution of resources but also rationalisation and, where appropriate, the closure of small departments, firmer financial control and attempts to improve the standard of teaching (Cave and Weale, 1992). Two reasons for this intervention were suggested in a 1991 white paper, Higher Education: A New Framework, namely the considerable growth in student numbers and the development of competition among institutions as a result of changes to the funding mechanism.
Studies of the Australian graduate labour market have found a substantial incidence of, and signi... more Studies of the Australian graduate labour market have found a substantial incidence of, and significant earnings effects from, vertical mismatch. This study extends the literature by examining horizontal mismatch, an important dimension of mismatch in its own right and which has been less studied. Over a quarter of Australian graduates are found to be mismatched although the incidence is reduced in the longer term. Graduates from fields of study which are more occupation-specific were found to be less likely to be mismatched. Earnings penalties were found for all forms of mismatched, and affected both general and specific fields of study.
National Centre for Vocational Education Research, 2012
Overskilling is the phenomenon whereby a worker's skills are underutilised in his or her job. Ove... more Overskilling is the phenomenon whereby a worker's skills are underutilised in his or her job. Overskilled workers are employed, but they are underutilised and mismatched, in that their skills and abilities are not a good match with the requirements of the job. Overskilling can lead to decreased wages and job satisfaction, which suggests that the investment in skills for that individual has been somewhat wasted. Overskilling mismatch has been shown to be persistent; that is, present overskilling mismatch increases the probability of future overskilling mismatch. However, the previous research showing this extends back only one year. This report examines the persistence of mismatch over a longer (up to three years) time period and its effect on wages. An obvious explanation for the persistence of overskilling is that it reflects personal unobserved characteristics (such as the person having an inflated view of their own skills). This paper exploits longitudinal data to show that persistence is more than this, with the probability of being overskilled increasing if the individual has been overskilled in the previous period, after allowing for unobserved characteristics. Key findings  Overskilling is persistent: overskilling mismatch is common among those who have been overskilled in the past. Persistence varies by educational level, with its being lowest among university graduates and highest among VET diploma graduates and those who did not finish high school.  The wages of university graduates are reduced by past overskilling, more so than for any other education level. A possible reason for the second finding is that graduates tend to be in better-paid jobs and therefore there is more at stake for them. This observation is supported by the results of quantile regressions, which differentiate the impact of overskilling by whether an individual is at the top or the bottom of the earnings distribution. With the exception of certificate III and IV graduates, workers who are better paid among their peers are more likely to suffer higher wage penalties from being overskilled.
A model of supply and demand is applied to UK data over the period 2001-2010 to define graduate j... more A model of supply and demand is applied to UK data over the period 2001-2010 to define graduate jobs in terms of the proportion of graduates and/or the graduate earnings markup within occupations. Within such a framework it is found that there has been an upward shift in the likelihood of young British university graduates being employed in non-graduate jobs over the course of the past decade. Such a period has coincided with a continued (and rapid) expansion of the UK higher education sector and the findings presented here highlight the need for government policy in this area to be set in consideration of labour market needs.
1. Labour Force Participation 2. The Labour Supply Curve 3. Investment in Human Capital 4. Changi... more 1. Labour Force Participation 2. The Labour Supply Curve 3. Investment in Human Capital 4. Changing Jobs: The Economics of Job Search 5. The Demand for Labour 6. Extensions of Labour Demand: Mismatches in the Labour Market 7. Trade Unions 8. Bargaining and Conflict 9. The Structure of Labour Markets 10. Wage Incentives 11. Labour Market Policy
Job Mismatches and Labour Market Outcomes: Panel Evidence on Australian University Graduates * Th... more Job Mismatches and Labour Market Outcomes: Panel Evidence on Australian University Graduates * The interpretation of graduate mismatch manifested either as overeducation or as overskilling remains problematical. This paper uses annual panel information on both educational and skills mismatches uniquely found in the HILDA survey to analyse the relationship of both mismatches with pay, job satisfaction and job mobility. We find that overeducation and overskilling are distinct phenomena with different labour market outcomes and that their combination results in the most severe negative labour market outcomes. Using panel methodology reduces strongly the size of many relevant coefficients, questioning previous cross-section results and suggesting the presence of considerable unobserved heterogeneity which varies by gender.
No part of this book may be reprinted or reproduced or utilised in any form or by any electronic,... more No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers. Fourth, we offer: (a) conceptual frameworks, (b) comparative perspectives, and (c) operational frameworks for "best practices." Fifth, we examine systemic discrimination and review the available empirical studies and legal cases pertaining to human resource policies and practices such as recruitment and selection, compensation and equal pay, promotion, training and career development, especially relating to women and racial and ethnic minorities. We hope to show that intellectual capital will become the key to competitive organizations and competitive national economies in this millennium. The authors would like to acknowledge the important contributions of two guest authors, Professor Simon Taggar and Dr. Nan Weiner. Professor Taggar wrote chapter 3 on the impact on human resources management (such as employer recruitment, selection, compensation, and other staffing policies and practices) of EE/AA legislation; and Dr. Weiner wrote chapter 5 on Fair Pay, providing an examination and an in-depth analysis of policies and practices relating to equal pay for equal work and equal pay for work of equal value and comparable worth. The senior author wishes to acknowledge partial assistance from the Social Sciences and Humanities Research Council (SSHRC), Human Resources Development Canada and Canadian Heritage, for background research studies; he was a Donald Gordon Visiting Professor at the Graduate School of Business (GSB) at the University of Cape Town (UCT) in early 2002 and wishes to acknowledge the assistance of Professor Frank Horwitz, one of the co-authors, at the UCT, GSB, in providing facilities and consultation to help write a part of the book and especially that of Ms. Elsie Plumb at the GSB. He made field trips to India, Malaysia, the United Kingdom, and the United States and wishes to thank colleagues in these countries for making library and other facilities available.
Despite the relative importance of females in the British labour force and general statements in ... more Despite the relative importance of females in the British labour force and general statements in favour of the concept of equal pay for men and women made by various employers, trade unions and the government over a period of almost a century, the issue has generally been pushed into the background by what have been considered to be more pressing policy objectives such as full employment, price stability and economic growth. In line with other areas of labour utilisation few laws have been passed relating to the question of female employment but exceptions include the Employment of Women and Young Persons Act 1963 and the Factories Act 1961. The latter which consolidated earlier legislation, has the effect of limiting the hours and times of employment of women, protecting them from materials and processes which present particular health hazards to the female sex, and imposing restrictions on the lifting of weights and on working near moving machinery. The Mining and Quarries Act 1954 also, amongst other things, prohibits the employment of females below ground. Further, certain differences between the sexes are implicit in the fact that pensions have been payable to men at age 65 since 1925, whilst the age for women has been 60 since 1940.
Some studies do not allow for individual differences or preferences; if overeducation is an inves... more Some studies do not allow for individual differences or preferences; if overeducation is an investment in future earning power, mismatches are temporary and require no policy intervention. Some choose to work in jobs for which they are overeducated since they offer compensating nonpecuniary advantages. Panel data suggest no wage penalty for men who are overeducated or overskilled, and a small penalty for those who are both. Overeducated workers find it easier to change jobs than overskilled workers or workers whose jobs and education are well matched. Policymakers should focus on reducing the incidence of widespread overskilling, which reduces worker welfare and harms employers' interests.
WOMEN constitute a n important and growing segment of the labour force in the UK-37.8% ' The auth... more WOMEN constitute a n important and growing segment of the labour force in the UK-37.8% ' The authors wish to acknowledge an SSRC Grant which has enabled them to investlgata this area in some detall and the research asslstance of Margaret Mells and Alun Reynolds. 1 For a comprehenalve collection of data on female em
Historically, decisions relating to resource allocation in British universities were largely left... more Historically, decisions relating to resource allocation in British universities were largely left to the universities themselves,1 but in the 1980s the Conservative government attempted to introduce accountability and performance measurement into the public sector and this also applied to the universities. This involved not only selectivity in the distribution of resources but also rationalisation and, where appropriate, the closure of small departments, firmer financial control and attempts to improve the standard of teaching (Cave and Weale, 1992). Two reasons for this intervention were suggested in a 1991 white paper, Higher Education: A New Framework, namely the considerable growth in student numbers and the development of competition among institutions as a result of changes to the funding mechanism.
Studies of the Australian graduate labour market have found a substantial incidence of, and signi... more Studies of the Australian graduate labour market have found a substantial incidence of, and significant earnings effects from, vertical mismatch. This study extends the literature by examining horizontal mismatch, an important dimension of mismatch in its own right and which has been less studied. Over a quarter of Australian graduates are found to be mismatched although the incidence is reduced in the longer term. Graduates from fields of study which are more occupation-specific were found to be less likely to be mismatched. Earnings penalties were found for all forms of mismatched, and affected both general and specific fields of study.
National Centre for Vocational Education Research, 2012
Overskilling is the phenomenon whereby a worker's skills are underutilised in his or her job. Ove... more Overskilling is the phenomenon whereby a worker's skills are underutilised in his or her job. Overskilled workers are employed, but they are underutilised and mismatched, in that their skills and abilities are not a good match with the requirements of the job. Overskilling can lead to decreased wages and job satisfaction, which suggests that the investment in skills for that individual has been somewhat wasted. Overskilling mismatch has been shown to be persistent; that is, present overskilling mismatch increases the probability of future overskilling mismatch. However, the previous research showing this extends back only one year. This report examines the persistence of mismatch over a longer (up to three years) time period and its effect on wages. An obvious explanation for the persistence of overskilling is that it reflects personal unobserved characteristics (such as the person having an inflated view of their own skills). This paper exploits longitudinal data to show that persistence is more than this, with the probability of being overskilled increasing if the individual has been overskilled in the previous period, after allowing for unobserved characteristics. Key findings  Overskilling is persistent: overskilling mismatch is common among those who have been overskilled in the past. Persistence varies by educational level, with its being lowest among university graduates and highest among VET diploma graduates and those who did not finish high school.  The wages of university graduates are reduced by past overskilling, more so than for any other education level. A possible reason for the second finding is that graduates tend to be in better-paid jobs and therefore there is more at stake for them. This observation is supported by the results of quantile regressions, which differentiate the impact of overskilling by whether an individual is at the top or the bottom of the earnings distribution. With the exception of certificate III and IV graduates, workers who are better paid among their peers are more likely to suffer higher wage penalties from being overskilled.
A model of supply and demand is applied to UK data over the period 2001-2010 to define graduate j... more A model of supply and demand is applied to UK data over the period 2001-2010 to define graduate jobs in terms of the proportion of graduates and/or the graduate earnings markup within occupations. Within such a framework it is found that there has been an upward shift in the likelihood of young British university graduates being employed in non-graduate jobs over the course of the past decade. Such a period has coincided with a continued (and rapid) expansion of the UK higher education sector and the findings presented here highlight the need for government policy in this area to be set in consideration of labour market needs.
1. Labour Force Participation 2. The Labour Supply Curve 3. Investment in Human Capital 4. Changi... more 1. Labour Force Participation 2. The Labour Supply Curve 3. Investment in Human Capital 4. Changing Jobs: The Economics of Job Search 5. The Demand for Labour 6. Extensions of Labour Demand: Mismatches in the Labour Market 7. Trade Unions 8. Bargaining and Conflict 9. The Structure of Labour Markets 10. Wage Incentives 11. Labour Market Policy
Job Mismatches and Labour Market Outcomes: Panel Evidence on Australian University Graduates * Th... more Job Mismatches and Labour Market Outcomes: Panel Evidence on Australian University Graduates * The interpretation of graduate mismatch manifested either as overeducation or as overskilling remains problematical. This paper uses annual panel information on both educational and skills mismatches uniquely found in the HILDA survey to analyse the relationship of both mismatches with pay, job satisfaction and job mobility. We find that overeducation and overskilling are distinct phenomena with different labour market outcomes and that their combination results in the most severe negative labour market outcomes. Using panel methodology reduces strongly the size of many relevant coefficients, questioning previous cross-section results and suggesting the presence of considerable unobserved heterogeneity which varies by gender.
No part of this book may be reprinted or reproduced or utilised in any form or by any electronic,... more No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers. Fourth, we offer: (a) conceptual frameworks, (b) comparative perspectives, and (c) operational frameworks for "best practices." Fifth, we examine systemic discrimination and review the available empirical studies and legal cases pertaining to human resource policies and practices such as recruitment and selection, compensation and equal pay, promotion, training and career development, especially relating to women and racial and ethnic minorities. We hope to show that intellectual capital will become the key to competitive organizations and competitive national economies in this millennium. The authors would like to acknowledge the important contributions of two guest authors, Professor Simon Taggar and Dr. Nan Weiner. Professor Taggar wrote chapter 3 on the impact on human resources management (such as employer recruitment, selection, compensation, and other staffing policies and practices) of EE/AA legislation; and Dr. Weiner wrote chapter 5 on Fair Pay, providing an examination and an in-depth analysis of policies and practices relating to equal pay for equal work and equal pay for work of equal value and comparable worth. The senior author wishes to acknowledge partial assistance from the Social Sciences and Humanities Research Council (SSHRC), Human Resources Development Canada and Canadian Heritage, for background research studies; he was a Donald Gordon Visiting Professor at the Graduate School of Business (GSB) at the University of Cape Town (UCT) in early 2002 and wishes to acknowledge the assistance of Professor Frank Horwitz, one of the co-authors, at the UCT, GSB, in providing facilities and consultation to help write a part of the book and especially that of Ms. Elsie Plumb at the GSB. He made field trips to India, Malaysia, the United Kingdom, and the United States and wishes to thank colleagues in these countries for making library and other facilities available.
Despite the relative importance of females in the British labour force and general statements in ... more Despite the relative importance of females in the British labour force and general statements in favour of the concept of equal pay for men and women made by various employers, trade unions and the government over a period of almost a century, the issue has generally been pushed into the background by what have been considered to be more pressing policy objectives such as full employment, price stability and economic growth. In line with other areas of labour utilisation few laws have been passed relating to the question of female employment but exceptions include the Employment of Women and Young Persons Act 1963 and the Factories Act 1961. The latter which consolidated earlier legislation, has the effect of limiting the hours and times of employment of women, protecting them from materials and processes which present particular health hazards to the female sex, and imposing restrictions on the lifting of weights and on working near moving machinery. The Mining and Quarries Act 1954 also, amongst other things, prohibits the employment of females below ground. Further, certain differences between the sexes are implicit in the fact that pensions have been payable to men at age 65 since 1925, whilst the age for women has been 60 since 1940.
Some studies do not allow for individual differences or preferences; if overeducation is an inves... more Some studies do not allow for individual differences or preferences; if overeducation is an investment in future earning power, mismatches are temporary and require no policy intervention. Some choose to work in jobs for which they are overeducated since they offer compensating nonpecuniary advantages. Panel data suggest no wage penalty for men who are overeducated or overskilled, and a small penalty for those who are both. Overeducated workers find it easier to change jobs than overskilled workers or workers whose jobs and education are well matched. Policymakers should focus on reducing the incidence of widespread overskilling, which reduces worker welfare and harms employers' interests.
WOMEN constitute a n important and growing segment of the labour force in the UK-37.8% ' The auth... more WOMEN constitute a n important and growing segment of the labour force in the UK-37.8% ' The authors wish to acknowledge an SSRC Grant which has enabled them to investlgata this area in some detall and the research asslstance of Margaret Mells and Alun Reynolds. 1 For a comprehenalve collection of data on female em
Uploads
Papers by peter J sloane