MEHE KODU ON MAAILM, NAISE MAAILM ON KODU? - Tartu Ãlikool

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HARIDUSE PEEGELDUS TÄISKASVANUEAS REFLECTION OF EDUCATION IN ADULTHOOD to work in even less remunerative and unstable positions and could be completely frozen out of the labour market in the end (Philips and Loova 2005). As a long-term situation of over- or undereducation causes economic and social losses, it is important to analyse the extent of jobeducation mismatch in Estonia. In the following, we will focus on gender-specific differences in the context of over- or undereducation. What exactly constitutes a mismatch between education and work and how can it be measured? Theorists differentiate between vertical and horizontal mismatches between education and work (Skill … 2010: 1). Vertical incoherence is a situation where the employee’s educational level does not meet the requirements of the job. Horizontal mismatch means that the person’s acquired field of education, rather than the level, does not fit the profession. Three methods are used to measure over- and undereducation, or the vertical mismatch (Ramos et al. 2008; Skill … 2009). Firstly, education requirements of a job are compared with the education of the employee (the so-called objective method). Secondly, employees’ own assessments of the match between their education and job are analysed (the so-called subjective method). The third method is based on determining the average level of education for a particular position and then looking at the difference between the actual education of an employee and the average level (the so-called statistical method). This article relies on the subjective method, i.e., it analyses data on the vertical mismatch between education and employment on the basis of employee assessments collected in the Labour Force Survey (LFS). Various studies have indicated that the mismatch between education and work affects, in particular, younger workers, ageing workers, and women (Skill … 2009). According to the career mobility theory, people entering the labour market often agree to work in positions requiring lower educational level in order to gain experience and facilitate subsequent movement to higher positions (Sicherman 1991, Marchante et al. 2007); as a result, overeducation is common among people who have recently graduated from a higher school. Finding their first job is especially difficult for young people during the contraction phase of the economic cycle, when employers reduce recruitment levels or prefer experienced older candidates. The severe global financial and economic crisis that started in 2008 clearly demonstrated that young people constitute a major disadvantaged group in the labour market. Between 2008 and 2010, the unemployment rate of young people (15–24 years of age) jumped from 12% to a record high of 32.9%. To avoid unemployment, young people are not basing their job search on their acquired level or type of education. In 2010, only 16% of young people were looking for a job corresponding to their educational level, while 84% were willing to accept a job requiring lower educational level according to the Estonian LFS. The likelihood of finding a job that matches a person’s level of education increases with age, but only to a certain limit. Studies have indicated (Brunello 2008, cit. via Skill … 2009: 12) that the mismatch between education and work is bigger again after the age of 50. For instance, Wolbers (2003) and Witte and Kalleberg (1995) have observed that the share of overeducated persons among the employed increases with age; this could be explained by the theory of technological change. Older people, whose skills and knowledge are not necessarily keeping pace with technological developments in a fluid labour market, are prepared to accept jobs requiring education below their actual level of education (Paulus 2007). At the same time, an opposite trend has been noticed – the possibility of being undereducated for a position increases with age, as experiences are valued more than university diplomas (Sicherman 1991). According to the human capital theory, work experience and acquired level of education are mutually interchangeable (Marchante et al. 2007). It means that older people are able to compensate for their lower level of education with work experience, which enables them to work in positions requiring higher educational level, while being actually undereducated. According to the 2010 LFS, the shares of over- and undereducated people are relatively low in Estonia, with 3% of employees being undereducated and 12% being overeducated. Likewise, according to the surveys conducted in other countries, the risk of being overeducated is more prevalent among women (Paulus 2007). On average, every tenth man and every sixth woman is overeducated in Estonia. Considering the fact that women’s path of education lasts longer and MEHE KODU ON MAAILM, NAISE MAAILM ON KODU? MAN’S HOME IS THE WORLD, WOMAN’S WORLD IS HER HOME? 123
HARIDUSE PEEGELDUS TÄISKASVANUEAS REFLECTION OF EDUCATION IN ADULTHOOD there are more women than men among persons having attained tertiary education, the possibility of being overeducated is indeed greater for women. At the same time, undereducation is twice as prevalent among men. Approximately 4% of men and 2% of women in Estonia are undereducated. An adequate match between education and work is more common among men than among women. 87% of men and 84% of women state that their job corresponds to their education. Men and women are prepared, for varying reasons, to accept jobs that do not match their education. It is often assumed that men are career-oriented. Men often make their decisions based on salary figures and promotion prospects, while women primarily tend to consider opportunities for balancing work and family life (Robst 2007). However, women’s career advancement ambitions cannot be underestimated and, nowadays, women’s contribution to breadwinning alongside men is quite considerable. In 2010, pay was the main reason for search of a new or additional work among both men and women. However, the share of ambitious persons, who were trying to find a job with a better match with their skills and abilities, was higher among women. The share of persons, who were looking for a job with more convenient working time arrangements for personal or family reasons, was almost equal among men and women i.e. roughly one tenth. (Table 1) Based on the job-matching theory, higher positions should be occupied by highly educated people and vice versa (Boudarbat and Chernoff 2009). From an employee’s viewpoint, being overeducated is more unfavourable than being undereducated, because it means a loss in potential earnings. Dissatisfaction with work forces overeducated people to search for a job with a better fit with their level of education, i.e., it increases the likelihood of job change. A low level of education usually means a high risk of unemployment. As a result, if an undereducated person has found a job, he or she tends to be satisfied with it, which facilitates his or her staying in the job or in the company (Marchante et al. 2007). The data from the 2010 Estonian LFS indicate that this theory is valid for men. 11% of overeducated men were looking for new or additional work compared to 5% of undereducated men who were looking for new work. However, the situation was reversed in case of women: 8% of overeducated and 9% of undereducated women were searching for new work. (Figure 1) In 2010, the annual average unemployment rate in Estonia was 16.9%. The unemployment rate increased at a significantly higher pace among men than among women. The risk of unemployment increased the number of unemployed men who were willing to accept jobs not corresponding to their level of education. Before recession, a half of unemployed men with post-secondary vocational or higher education were prepared to accept a job requiring lower educational level, but this share increased to around three quarters during the nadir of recession. Women’s willingness to work in positions requiring lower education level decreased drastically in 2008, with women generally hoping for jobs that would fit their education. However, as soon as the following year, nearly 80% of unemployed women with post-secondary vocational or higher education were prepared to accept lower level occupational positions. (Figure 2) How does a person’s personal life affect his/her position in the labour market? In terms of marital status, women in a relationship are more likely to be overeducated than single women (Robst 2007). As men tend to earn more money, families often choose a place of residence based on job opportunities for men, which imposes geographic restrictions on women’s career choices and they often settle for jobs for which they are overeducated (Malo and Blazquesz 2004). At the same time, single persons do not depend on their partner and this expands their range of choices in the search for a suitable job. No such trends have been observed in Estonia. In the LFS, the best match between education and work was observed in the case of women in marriage or in cohabitation. Overeducation is most prevalent (18%) among divorced, separated or widowed women. The share of undereducated women is the largest (4%) among single women. There are no differences between single men and men in relationship, because both groups included 87% of those whose work matched their level of education. (Figure 3) In Estonia, the number of overeducated people increases and the number of undereducated people decreases with age. There is a sudden upsurge in overeducation in the group of people over 64 years of age. 16% of people aged 50–64 are overeducated, but among those aged 65 or 124 MEHE KODU ON MAAILM, NAISE MAAILM ON KODU? MAN’S HOME IS THE WORLD, WOMAN’S WORLD IS HER HOME?
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