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ADARLO_Job Mismatch in the Philippines: A Factor for Economic Migration

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The effects of job mismatch on pay, job satisfaction, and performance.

job mismatch thesis

1. Introduction

2. theoretical framework, 2.1. job fit theory, 2.2. pay, job satisfaction, and job performance, 3.1. research model, 3.2. samples and method, 3.3. measuring instruments, 4. findings and discussion, 4.1. factor analysis and reliability testing, 4.2. structure equation analysis results, 5. conclusions and implications, author contributions, conflicts of interest.

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Click here to enlarge figure

CharacteristicsN (%)
GenderMale2019(88.8)
Female254(11.2)
Age20 s1(0)
30 s~40 s533(23.4)
50 s~60 s1608(70.7)
over 70 s131(5.8)
MajorScience429(18.9)
Technology1005(44.2)
Medical science213(9.4)
Agriculture115(5.1)
Social Science362(15.9)
Humanities149(6.6)
OrganizationPrivate477(21.0)
Public485(21.3)
University1209(53.2)
NPO (Non Profit Organization)65(2.9)
Etc.37(1.6)
DimensionExplanationVariables
Job mismatchThe gap between the qualities and capacities of individuals recognized at the time of doctoral degree acquisition versus the qualifications and capacities recognized as necessary for the current jobMISMATCH
PayCurrent annual salaryln_PAY
Job satisfactionRated on a 5-point Likert scale of satisfaction on 10 items in total: Welfare, job security, geographical location, working environment, promotion opportunities, intellectual stimulation, level of responsibility, level of independence, social contribution, social statusJOBSATIS_1~JOBSATIS_10
PerformanceResearch performancePublications in domestic and international journals, translation worksln_OUT, ln_IN, ln_CNT
Patent performancePatent applications, registration outcomesln_PATENTCNTln_PATENTRCNT
DimensionFactor LoadingCommunalityEigen ValueCumulativeCronbach’s α
Research performanceOUT0.6510.5161.36727.340.516
IN0.3310.735
CNT0.0410.720
Patent performancePATENTCNT0.9010.8232.23144.610.854
PATENTRCNT0.8930.804
KMO = 0.606, Bartlett’s = 3263 ***
Model Fit
GFIAGFIIFIRMSEANFICFI
0.9350.9010.9090.0630.9020.909
PathCoefficientsStandardized CoefficientsS.E.C.R.
PayjobmismatchH1−0.006−0.0490.002−2.437 **
Job satisfactionjobmismatchH1−0.018−0.2120.00−9.902 ***
researchjobmismatchH2−0.637−0.0043.244−0.196
patentjobmismatchH2−3.980−0.0352.311−1.722 *
Job satisfactionPayH30.1320.1880.0168.508 ***
researchPayH423.5540.01927.3010.863
patentPayH455.4600.06019.4672.849 ***
researchJob satisfactionH5304.4750.17142.9587.088 ***
PatentJob satisfactionH5−54.357−0.04232.199−1.688

Share and Cite

Kim, S.-J.; Choi, S.O. The Effects of Job Mismatch on Pay, Job Satisfaction, and Performance. J. Open Innov. Technol. Mark. Complex. 2018 , 4 , 49. https://doi.org/10.3390/joitmc4040049

Kim S-J, Choi SO. The Effects of Job Mismatch on Pay, Job Satisfaction, and Performance. Journal of Open Innovation: Technology, Market, and Complexity . 2018; 4(4):49. https://doi.org/10.3390/joitmc4040049

Kim, Si-Jeoung, and Sang Ok Choi. 2018. "The Effects of Job Mismatch on Pay, Job Satisfaction, and Performance" Journal of Open Innovation: Technology, Market, and Complexity 4, no. 4: 49. https://doi.org/10.3390/joitmc4040049

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Job Mismatch – Effects On Work Productivity

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The purpose of this study is to analyze the effects of job mismatch on pay, job satisfaction, and performance of doctoral level researchers, based on the job-environment fit theory. The study analyzed 2273 sample data used in the survey, based on the ‘2013 Ph D. Research Survey’ from the Institute for Science and Technology Policy (STEPI) in Korea. The results showed that the degree of job-mismatch of doctors has a significant effect on overall pay, job satisfaction, and performance. Specifically, job mismatch of the Ph.D. workforce both negatively affected pay and job satisfaction. In addition, in terms of the relationship between job mismatch, pay, job satisfaction, and job performance, the mediating effect of pay and job satisfaction was confirmed. The implication of the research is that it is crucial to approach the accomplishment of an outstanding workforce based on the concept of job mismatch so that excellent and highly educated human resources can be placed in the right place to maximize their individual qualities and academic knowledge. Considering that job mismatch eventually has a negative impact on research performance through the mediation of pay and job satisfaction, it is necessary to promote strategies to utilize advanced talent, which includes job mismatch, economic incentives, such as salaries, and psychological compensation, such as job satisfaction.

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Education-Job Mismatch: Implications for Individual Earnings and Aggregate Output

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  • Published: 02 April 2022
  • Volume 163 , pages 723–752, ( 2022 )

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job mismatch thesis

  • Balzhan Serikbayeva 1 &
  • Kanat Abdulla   ORCID: orcid.org/0000-0002-4205-9700 1  

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Based on the nationally representative micro-level dataset, the present paper investigates the prevalence of education-job mismatches and their effects on individual and aggregate earnings in Kazakhstan. The analysis shows that the incidence of education-job mismatches varies across both individual and employment characteristics, and, in particular, across industries. We find that relative to being well-matched, vertical and horizontal mismatches have negative effects on individual earnings, while the penalty for being both vertically and horizontally mismatched is the greatest. Importantly, the study develops a theoretical model explaining the link between productivity and mismatch and quantifies the aggregate productivity gains that would result from reducing the levels of education-job mismatches in the labor market. The counterfactual analysis suggests that the country’s output will increase on average by 11.3% if the level of education-job mismatch is reduced across all industries.

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job mismatch thesis

Education–Occupation Mismatch and Dispersion in Returns to Education: Evidence from India

job mismatch thesis

Education-Job Mismatch and Heterogeneity in the Return to Schooling: Evidence from Cameroon

Wage effects of educational mismatch according to workers’ origin: the role of demographics and firm characteristics.

The terms “education-job mismatch” and “educational mismatch” are used interchangeably throughout the paper.

This study except for the part on the effects of educational mismatch on aggregate output is part of the PhD thesis.

In the current paper we use the terms “vertical mismatch” and “overeducation” interchangeably. The rationale for excluding two other categories of responses on the vertical mismatch question is provided in Sect. 4 .

Source: The Bureau of National Statistics (BNS).

Source: World Bank, World Development Indicators databank.

We think of \(\tau _{jM}\) as representing a friction due to a particular type of educational mismatch that affects the cost of choosing a particular industry of employment. As such, \(\tau _{jM}\) can reflect productivity changes experienced by different types of mismatched workers in different industries. For example,a librarian might be less productive as an applications developer than as a database administrator.

The derivation of the result can be found in Hsieh et al. ( 2019 ).

Some other studies that used an augmented Roy model include Hsieh et al. ( 2019 ) and Abdulla ( 2019 ). While these papers focus on the role of gender and racial differences in employment in explaining observed gaps in earnings, the focus of the current study is on the impact of education-job mismatch on productivity.

Efficiency units are the total amount of human capital available for production, which is a product of the number of workers who possess human capital and their skill level.

We have included Table 11 in the Appendix which illustrates the sample size before and after dropping missing income observations from the analysis across survey years as the main variable that affects the sample size is earnings. Starting from 2016, income isn’t reported by many observations. Since the study investigates individuals who are strongly attached to the labor market and those with non-zero earnings, we exclude individuals with missing income and zero values.

Tenge is the national currency of Kazakhstan, which was introduced in 1993.

The skill intensity of the industries is determined using the average education level of workers across industries. The industry groups are defined according to the average education level of workers as follows: lower-skill industries with the average years of education less than or equal to 13 years; higher-skill industries with the average years of education above 13 years. The industry groups defined by skill level are given in Table 10 .

While higher educational attainment is generally associated with better labor market outcomes, some studies find OLS estimates of the returns to education to be biased due to endogeneity and use the instrumental variable approach to address the issue. However, due to data availability constraints, we could not implement the IV method in the present study.

Abdulla, K. (2019). Productivity gains from reallocation of talent in Brazil and India. Journal of Macroeconomics, 62 , 103160. https://doi.org/10.1016/j.jmacro.2019.103160

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Appendix A: Description of the data

See Fig. 1 .

figure 1

Rates of education-job mismatches across age and education categories

See Tables 6 , 7 , 8 , 9 , 10 , 11 and 12 .

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Serikbayeva, B., Abdulla, K. Education-Job Mismatch: Implications for Individual Earnings and Aggregate Output. Soc Indic Res 163 , 723–752 (2022). https://doi.org/10.1007/s11205-022-02912-x

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40% of Filipinos are overqualified for their jobs: Job mismatches and how you can avoid them

Orange Magazine TV Team Orange Article Link PJD 2022 Vol. 46 No. 1d

With the growing number of job seekers eagerly looking to start and grow in their careers, job mismatches have become normalized occurrences despite being a concerning matter in the job market. A recent study by the Philippine Institute for Development Studies (PIDS) found that 40% of employed Filipinos have academic credentials beyond what is needed in their jobs and that these Filipinos were only earning 5% more for finishing their studies despite being relatively overeducated for their positions.

According to the leading online job portal  JobStreet , a job mismatch is a growing phenomenon wherein the skills required to be successful in a certain position and the skills possessed by a certain employee are not completely aligned with each other, consequently affecting the employee’s work productivity, motivation, and development.

Identifying the mismatch

Job or skills mismatches can come in the form of either a horizontal or vertical mismatch. A horizontal mismatch is when an employee who has studied in one field works in a completely different one. Employees that are considered under this type of mismatch may have the right level of education but don’t necessarily have the ideal level of expertise. An example of this mismatch is a person who has a journalism degree working in a sales and marketing position.

On the other hand, a vertical mismatch is when an employee’s level of expertise doesn’t match the level needed for a job. The terms of over qualification and under qualification would fall under this type of skills mismatch since both imply an overall discrepancy between the individual’s abilities required by the position. For example, an engineering graduate is working as a customer support representative, a position which they may be overqualified for.

Better hiring practices

When a company’s employees aren’t properly matched to their positions, these employees are more likely to struggle with their assignments, feelings of insecurity and lack of motivation and development, which may lead to resignation and ultimately nullify the resources that the company has invested in.

“ Job mismatches are one of the primary reasons that new hires don’t stay in certain positions long-term, which translates to high turnover rates for the company ,” said  JobStreet Country Manager Philip Gioca . “ Not only will this require employers to invest more to hire, train new employees, but it also reflects negatively on the employee experience that other jobseekers perceive .”

According to JobStreet, crafting a specific and well-detailed job description is important in minimizing mismatch. Employers should be clear and concise regarding the skills that the position asks for, the requirements that a candidate needs to assume the role properly, and what the candidate would be expected to do. This helps in targeting qualified talents and avoid misinterpretations among jobseekers.

It’s also advised for hirers to avoid squeezing in the roles and responsibility of a two person under one position, as this may later on lead to job mismatch. For instance, an employer opened a role for a social media community manager but would also expect this candidate to be highly skilled in graphic design.

JobStreet also suggests evaluating candidates beyond interviews through skills assessment tests, which can come in the form of tests or even job simulation activities. Skills assessment tests offer a more unbiased perspective as to what candidates are capable of and help measure their abilities.

Upskilling goes a long way

The impacts of job mismatches can also negatively affect employees and job seekers, but there are a few things that candidates can do. Apart from ensuring that their academic pursuits are geared towards an industry that they are interested in, jobseekers can also choose to develop valuable skills that can help minimize any skill gaps. This can help expand their abilities and increase their chances of succeeding in other jobs across industries.

Other than upskilling, JobStreet advises candidates to read job descriptions carefully to have a better understanding of what the position entails. This can help them better comprehend the skills and requirements that the job might ask for and whether they themselves are suited for the job.

“ It’s important for candidates to focus on the development of not only hard skills through their education and other experiences, but also soft skills. With a combination of both, candidates can then look at job listings more critically and come to a decision as to whether they would be the right fit for a position ,” shared Gioca.

Eliminating job mismatches lead to better hires for employers and help jobseekers find more fulfillment in their careers—both situations leading to better productivity and employee satisfaction in the workplace long-term.

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