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Abstract

Details

International Journal of Manpower, vol. 40 no. 8
Type: Research Article
ISSN: 0143-7720

Article
Publication date: 25 August 2023

Misbah Tanveer Choudhry and Francesco Pastore

Part 2 of the Special Issue on “School-to-Work Transition Around the World: The Effect of the Pandemic Recession-Global Perspective” focuses on the global panorama of…

Abstract

Purpose

Part 2 of the Special Issue on “School-to-Work Transition Around the World: The Effect of the Pandemic Recession-Global Perspective” focuses on the global panorama of school-to-work transition (STWT). With young people constituting a significant portion of the world's population, their seamless transition from education to employment is paramount for the present and future labor force. This study explores various dimensions influencing youth's STWT worldwide, including education-job mismatch, early career outcomes, young entrepreneurs' profiles, gender and informal sector wage gaps, social capital, social network sites' usage, job attributes and returns to schooling. These insights shed light on the intricate nature of global STWT, offering valuable guidance for policymakers and practitioners. This paper aims to discuss the aforementioned ideas.

Design/methodology/approach

The study builds on the country-specific contributions of the papers selected in the Special Issue by supporting it with additional literature. Moreover, the study reveals a more holistic and global understanding of the school-to-work transition by zooming out on the specific geographic contexts.

Findings

This paper examines the school-to-employment transition challenges in various countries. In Italy, PhD holders face wage disadvantages, especially in physics, engineering, social sciences and humanities. Education positively impacts transition speed, employability and earnings, but effects differ across birth cohorts. Italian women encounter persistent wage gaps, experiencing both a “sticky floor” and “glass ceiling” effect, and in Zambia, working while studying enhances the youth's chances of finding well-matched jobs. Albanian public sector careers rely on political connections over merit, revealing political clientelism. Russian research confirms a 20 percent gender wage gap due to occupational segregation. Polish informal workers generally earn less, with higher penalties for low-wage earners. In Australia, social network site usage yields positive and negative effects on teens' school and work balance. Global analysis reveals varying education returns, with rural areas showing lower returns and women benefiting more than men. Africa and Latin America exhibit higher education returns than Asia and Eastern Europe.

Social implications

This study provides valuable insights into how various countries address the challenges of transitioning from school to work and identifies the educational and economic factors contributing to a successful transition. Given that extended transition periods, high rates of youth unemployment and high NEET rates continue to be a concern for many countries around the world, the implications of this study are significant and extend beyond national borders, despite variations in the specific circumstances analyzed.

Originality/value

The study summarizes the experiences of specific developed and developing countries concerning youth unemployment and their smooth school-to-work transition. Detailed discussions of country experiences around the globe provide valuable guidance for policymakers and practitioners.

Details

International Journal of Manpower, vol. 44 no. 6
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 4 September 2020

Francesco Pastore, Claudio Quintano and Antonella Rocca

There is a long period from completing studies to finding a permanent or temporary (but at least satisfactory) job in all European countries, especially in Mediterranean…

Abstract

Purpose

There is a long period from completing studies to finding a permanent or temporary (but at least satisfactory) job in all European countries, especially in Mediterranean countries, including Italy. This paper aims to study the determinants of this duration and measure them, for the first time in a systematic way, in the case of Italy.

Design/methodology/approach

This paper provides several measures of duration, including education level and other criteria. Furthermore, it attempts to identify the main determinants of the long Italian transition, both at a macroeconomic and an individual level. It tests for omitted heterogeneity of those who are stuck at this important crossroads in their life within the context of parametric survival models.

Findings

The average duration of the school-to-work transition for young people aged 18–34 years was 2.88 years (or 34.56 months) in 2017. A shorter duration was found for the highly educated; they found a job on average 46 months earlier than those with compulsory education. At a macroeconomic level, the duration over the years 2004–2017 was inversely related to spending in the labour market policy and in education, gross domestic product growth and the degree of trade union density; however, it was directly related to the proportion of temporary contracts. At the individual level, being a woman, a migrant or living in a densely populated area in the South are the risk factors for remaining stuck in the transition. After correcting for omitted heterogeneity, there is clear evidence of positive duration dependence.

Practical implications

Positive duration dependence suggests that focusing on education and labour policy, rather than labour flexibility, is the best way to smooth the transition.

Originality/value

This study develops our understanding of the Italian school-to-work transition regime by providing new and detailed evidence of its duration and by studying its determinants.

Details

International Journal of Manpower, vol. 42 no. 3
Type: Research Article
ISSN: 0143-7720

Keywords

Open Access
Article
Publication date: 21 January 2022

Francesco Pastore, Claudio Quintano and Antonella Rocca

The Italian school-to-work transition (STWT) is astonishingly slow and long in comparison to the other EU countries. We analyze its determinants comparing the Italian case with…

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Abstract

Purpose

The Italian school-to-work transition (STWT) is astonishingly slow and long in comparison to the other EU countries. We analyze its determinants comparing the Italian case with Austria, Poland and the UK.

Design/methodology/approach

The analysis is based on a Cox survival model with proportional hazard. The smoothed hazard estimates allow us to identify the nonlinear path of the hazard function.

Findings

The authors reckon that the actual length of the transition to a stable job is around 30 months in Italy. Conversely, it is less than one year in the other countries. Women are particularly penalized, despite being on average more educated than men. Tertiary or vocational education at high secondary school strongly increases the hazard rate to a regular job. The smoothed hazard estimates suggest positive duration dependence at the beginning of the transition and slightly negative thereafter.

Practical implications

Stimulating economic growth and investing in education and training are important pre-conditions for shortening the transition.

Originality/value

Despite the duration of the STWT is one of the most important indicators to measure the efficiency of the STWT, it is not easy to measure. The authors build on their previous research work on this topic, but relaxing the assumption of a monotonic hazard rate and using the flexible baseline hazard approach to test for the existence of nonlinear duration dependence. Furthermore, they extend the analysis by including student-workers who attended a vocational path of education, in order to detect its effectiveness in allowing young people finding a job sooner.

Details

International Journal of Manpower, vol. 43 no. 7
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 13 December 2022

Francesco Pastore and Misbah Tanveer Choudhry

This is Part 1 of the two special issues on the topic, “School to work transition around the world – the effect of the pandemic recession.” The first part focuses on the…

405

Abstract

Purpose

This is Part 1 of the two special issues on the topic, “School to work transition around the world – the effect of the pandemic recession.” The first part focuses on the determinants of the school-to-work transition (STWT) and the implications of the COVID-19 pandemic on the young worker and their response to uncertain labor market conditions. The second issue will explore the country-specific experiences around the globe in tackling the problem of a smooth STWT. The purpose of this introductory article is to elaborate on the transition of young workers in the labor market. Discussion on the status of various indicators of the youth labor market (unemployment, underemployment and not in employment, education and training [NEET]) is also integrated. The determining factors of school-to-work transition (STWT) and the role of technical and vocational institutions and universities are analyzed. Moreover, the impact of COVID-19 on the labor market is also evaluated. After the pandemic, there was a dreadful change in the job market; this study dives into those diverse factors and carves out the multiple impacts on youth unemployment.

Design/methodology/approach

The study analyses relevant literature on STWT, NEET and COVID-19 implications for the labor market, based on the other papers in this special issue. Using the review method, the authors identified similar research articles and reports which helped in strengthening the study’s argument. The primary focus of the study was on the smooth transition of young workers in the labor market and the impact of the pandemic on youth unemployment. Hence, literature supported the authors in giving the justifications from various economies and societies.

Findings

The paper finds that youth worldwide have suffered from the repercussions of COVID-19, especially in their early career (STWT). Skill mismatch, underemployment, job losses, salary cut downs, health issues, vocational education importance, vulnerable employment, etc. were some of the significant impacts the authors identified by analyzing the various reports and papers. Furthermore, this paper also discusses the role of active labor market policies and hiring incentives for promoting youth employment.

Social implications

The paper finds that the times ahead are challenging ones. There is a dearth of productive job opportunities due to slow economic growth. The unemployment rate among youth and adults is high, and labor markets have become more competitive. The young generation is now left with no choice but to upgrade and improve their skill set or some other expertise. On the one hand, technical and vocational education and training (TVET) and universities need to enhance their marketable knowledge and skills, and on the other hand, there is a need for active labor market policies to encourage their participation in the labor markets.

Originality/value

This paper strongly contributes to highlighting the professional and societal hit backs faced due to the aftermath of COVID-19. The study summarizes the specific details of STWT and employment issues faced by youth in various parts of the world.

Details

International Journal of Manpower, vol. 43 no. 7
Type: Research Article
ISSN: 0143-7720

Keywords

Abstract

Details

International Journal of Social Economics, vol. 51 no. 2
Type: Research Article
ISSN: 0306-8293

Content available
Article
Publication date: 16 May 2019

Francesco Pastore and Klaus F. Zimmermann

1930

Abstract

Details

International Journal of Manpower, vol. 40 no. 3
Type: Research Article
ISSN: 0143-7720

Article
Publication date: 22 May 2023

Emanuela Ghignoni and Francesco Pastore

After the decision of the Egyptian government to adhere to the Equal Pay International Coalition in 2020, a great deal needs to be done to guarantee ‘equal pay for equal work’…

Abstract

Purpose

After the decision of the Egyptian government to adhere to the Equal Pay International Coalition in 2020, a great deal needs to be done to guarantee ‘equal pay for equal work’. The authors provide a comprehensive, in-depth, up-to-date analysis of the gender wage gap in Egypt, as well as its evolution over the last 20 years, disaggregated by public and private sector. The authors also provide an analysis of the cultural determinants of Egypt's low female participation.

Design/methodology/approach

The authors apply the Oaxaca-Blinder decomposition (with sample selection) to assess the gender wage gap at the mean of the wage distribution in the public and private sector. The authors also implement a re-centred influence function decomposition to assess the extent of ‘discrimination’ along the wage distribution in both sectors. An inverse-probability-weighted regression adjustment procedure is used to assess the joint impact of gender and firm-ownership. A female participation equation taking into account gender equality attitude is provided.

Findings

The authors find a sizable and increasing gender wage gap in the private sector almost entirely due to ‘discrimination’. The authors also find evidence of a sticky floor in the private sector and a glass ceiling in the public one. Cultural barriers play a major role in determining female participation.

Originality/value

This is the first paper on the evolution of gender equality in Egypt that takes into account the effect of the 'Arab Spring’ of 2011. To the best of the authors’ knowledge, this is also the first time that an IPWRA procedure is applied to study the interaction effect of gender and firm-ownership.

Details

International Journal of Manpower, vol. 44 no. 8
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 15 March 2022

Giuseppe Lucio Gaeta, Giuseppe Lubrano Lavadera and Francesco Pastore

The wage effect of job–education vertical mismatch (i.e. overeducation) has only recently been investigated in the case of Ph.D. holders. The existing contributions rely on…

Abstract

Purpose

The wage effect of job–education vertical mismatch (i.e. overeducation) has only recently been investigated in the case of Ph.D. holders. The existing contributions rely on ordinary least squares (OLS) estimates that allow measuring the average effect of being mismatched at the mean of the conditional wage distribution.

Design/methodology/approach

The authors implement a recentered influence function (RIF) to estimate the overeducation gap along the entire hourly wage distribution and compare Ph.D. holders who are overeducated with those who are not on a specific sample of Ph.D. holders in different fields of study and European Research Council (ERC) categories. Moreover, the authors compare the overeducation gap between graduates working in the academic and non-academic sector.

Findings

The results reveal that overeducation hits the wages of those Ph.D. holders who are employed in the academic sector and in non-research and development (R&D) jobs outside of the academic sector, while no penalty exists among those who carry out R&D activities outside the academia. The size of the penalty is higher among those who are in the mid-top of the wage distribution and hold a Social Science and Humanities specialization.

Practical implications

Two policies could reduce the probability of overeducation: (a) a reallocation of Ph.D. grants from low to high demand fields of study and (b) the diffusion of industrial over academic Ph.Ds.

Originality/value

This paper observes the heterogeneity of the overeducation penalty along the wage distribution and according to Ph.D. holders' study field and sector of employment (academic/non-academic).

Details

International Journal of Manpower, vol. 44 no. 6
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 19 October 2010

Francesco Pastore

The Saint Valentine's Decree (1984) and the ensuing hard‐fought referendum (1985), which reduced the automatisms of scala mobile, started a process of redefinition of wage fixing…

Abstract

Purpose

The Saint Valentine's Decree (1984) and the ensuing hard‐fought referendum (1985), which reduced the automatisms of scala mobile, started a process of redefinition of wage fixing in Italy, which culminated with the final abolition of scala mobile (1992) and the approval of Protocollo d'intesa (1993). Since then, following new corporatist principles, a national system of centralised wage bargaining (concertazione) and so‐called “institutional indexation” have governed the determination of wages. Does incomes policy generate greater coordination in the process of wage formation? Does it cause greater co‐movement of wages, prices, labour productivity and unemployment? This paper aims to answer these questions with reference to one of the G8 economies.

Design/methodology/approach

After testing for unit root each component by using the ADF, Phillips and Perron, DF‐GLS and Zivot and Andrews statistics, the paper tests for co‐integration the so‐called WPYE model using different methods. The Engle and Granger approach is used to assess the impact of incomes policy on the speed of adjustment of real wages, productivity (and unemployment) to their equilibrium value, while the Gregory and Hansen procedure serves as a means to endogenously detect the presence of a regime shift. The paper estimates coefficients before and after the structural break.

Findings

Incomes policy based on the 1993 Protocol has caused a regime shift in the process of wage determination. The long‐run estimates of the WPYE model do not generate stationary residuals except when a dummy for 1993 is added. The share of wages over GDP reduces by about ten percentage points in the early 1990s and has stood at about 57 per cent since 1995. The link with productivity is close to one‐to‐one only before the break. The feedback mechanism, as measured by the coefficient of lagged residuals in short‐run estimates, is increased from −0.46 in the pre‐reform to −0.79 in the post‐reform period, suggesting that incomes policy has increased real wage flexibility indeed. In recent years the link between real wages and (very low) labour productivity growth has weakened. In a sense, incomes policy has introduced a new form of (upward) wage rigidity. Last but not least, incomes policy has changed the correlation with the unemployment rate from positive to not statistically significant.

Research limitations/implications

Future developments will focus on disentangling the impact of incomes policy vis‐à‐vis other policy interventions on WPYE and on unemployment.

Practical implications

The analysis calls for a careful revision of the 1993 Protocol aimed at better protecting the purchasing power of real wages without losing control on inflation, and introducing growth‐generating mechanisms.

Originality/value

The paper studies the impact of incomes policy on WPYE and the Phillips curve by means of co‐integration and structural break analysis. It proposes to interpret the effect of incomes policy on the Phillips curve as changing the coefficient of the error correction mechanism that leads real wages to their long‐run equilibrium value.

Details

International Journal of Manpower, vol. 31 no. 7
Type: Research Article
ISSN: 0143-7720

Keywords

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