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The purpose of this paper is to highlight the pivotal role of overeducation in explaining the unexplained part of the gender pay gap (GPG), i.e. the component usually attributed to gender discrimination in the Oaxaca-Blinder decomposition.

The study uses a large Italian data set (ISFOL PLUS 2005–2014) to estimate the GPG among properly educated and overeducated workers. The model simultaneously accounts for both participation bias and endogeneity bias by applying an extension of the Heckman’s two-stage procedure.

Estimates show that the GPG is significantly higher among overeducated than among properly educated workers because women’s unobservable characteristics driving female employment into overeducation also drag down female wages more than men’s unobservable characteristics drag down male wages. Correcting for the participation and overeducation decisions, the unexplained portion of the GPG disappears among overeducated workers, while it remains significant among properly educated individuals.

The authors draw the conclusion that overeducation is, first, a first-best matching for individuals (both men and women) compensating with more education for their lower productive characteristics. Second, it may be a signaling device for women spending their useless-for-the-job diploma to inform employers on their valuable though unobservable productive characteristics and fight gender wage discrimination. The results favor education as a tool of counteracting gender discrimination. Hence, as females are less overeducated than males despite their larger representation in higher education, there should not be concern that expanding higher education will disadvantage females.

This paper analyzes the age pay gap in Italy (22%), particularly as it is of interest in an aging society and as it may affect social cohesion. Instead of the traditional approach for model selection, we use a machine-learning approach (post double robust Least Absolute Shrinkage Operator [LASSO]). This approach allows us to reduce Omitted Variable Bias (OVB), given data restrictions, and to obtain a robust estimate of the conditional age pay gap. We then decompose the conditional gap and analyze the impact of four further potential sources of heterogeneity (workers', sectors', and occupations' permanent heterogeneity as well as sample selection bias). The results suggest that age discrimination in pay is only perceived but not real in Italy for both men and women.

This article studies the provenance and destination of individuals in mobility, by processing the data obtained by ISTAT (Italy’s National Statistical Institute). Disaggregation of the data by sex reveals intermittent labor‐force participation by the female component of the population. Disaggregation of the data by age group shows that this situation persists unchanged over time, given that substantial uniformity of behavior is observed between young women and the female population as a whole. Tournament theory provides grounds to argue that this behavior is Pareto‐inefficient, because it obstructs the optimal allocation of talent in society. The conclusion is drawn that economic policy measures are necessary in order to alter the gender division of labor in its current form.

The purpose of this paper is to verify whether higher education increases the likelihood of young Italian workers moving from non‐standard to standard wage contracts.

The authors exploit a data set on labour market flows, produced by the Italian National Statistical Office, by interviewing about 85,000 graduate and non‐graduate individuals aged 15‐29 in transition between five labour market states: standard wage employment; non‐standard wage employment; self‐employment; unemployment; inactivity. From these data, an average six‐year transition matrix was constructed whose coefficients can be interpreted as probabilities of moving from one state to another over time.

As the authors find evidence for the so‐called stepping stone hypothesis (that is, a higher probability of moving to a permanent job for individuals starting from a temporary job), the authors expect graduates to be more likely to pass from non‐standard to standard wage contracts than non‐graduates, because the signalling effect of education is enhanced by the stepping stone effect of non‐standard wage contracts. Nevertheless, the authors find that non‐standard wage contracts of graduates are more likely to be terminated as bad job/worker matches.

This paper adds to the empirical literature on the probability of young workers moving from non‐standard wage contracts to a permanent job. By separating graduates from non‐graduates, it was found that education reduces the likelihood of passing from non‐standard to standard wage contracts. The authors interpret this result as evidence of the changing labour market that makes it more difficult to infer the productivity of graduates as opposed to non‐graduates.

The purpose of this paper is to investigate the gender impact of tertiary education on the probability of entering and remaining in self‐employment.

A data set on labour market flows produced by the Italian National Statistical Office is exploited by interviewing about 62,000 graduate and non‐graduate individuals in transition between five labour market states: dependent workers; self‐employed workers; unemployed persons; and non‐active persons. From these data, an average ten‐year transition matrix (1993‐2003) is constructed and the flows between labour market conditions by applying Markovian analysis are investigated.

The data show that education significantly increases the probability of entering self‐employment for both male and female graduates, but it also significantly increases the transition from self‐employment to dependent employment for female graduates, thereby increasing the percentage of female graduates in paid employment and reducing the percentage of women in entrepreneurial activities. It is argued that the disappointment provoked by the gender wage gap in paid employment may induce some female graduates with low‐entrepreneurial ability to set‐up on their own, but once in self‐employment they have lower survival rates than both men in self‐employment and women in paid employment. Thus, what is observed overall is that education widens the gender gap between self‐employed workers and employees for individuals persisting in the same working condition.

The data are enabled to shift the focus of the relationship between education and entrepreneurship from the probability of being self‐employed to the probability of entering and surviving in this condition.

This is the title of an article by Sheila Rothwell in Vol. 91 No. 1 of the European Business Review. The developments in working trends, problems, legislation, and research in the context of equal opportunities in employment in the 1980s are examined. Attempted policy changes are detailed in the following areas: education, training, employment, trade unions, and social policy. There is discussion of three themes which have been the subject of debate: conforming to the male career model; obtaining greater recognition for “female” qualities, skills and attributes; and emphasis on a common humanity and maximising choices for both women and men. The likelihood of the success of each is discussed, and the third approach is supported. The implications for management development specialists are examined.