Social Insurance, Labor Contracts, and Education-Job Mismatch among Graduates in Teacher Education and Educational Science in Vietnam
Main Article Content
Abstract
This paper examines the impact of social insurance, labor contracts and education-job on wages among graduates in the fields of teacher education and educational science in Vietnam. It uses data from the Labour Force Survey conducted between 2018 and 2020. Regression analysis reveals that, among graduates in matched jobs, those with social insurance earn higher average wages than those without. Similarly, graduates with permanent labor contracts earn higher average wages than those without. However, among those with social insurance or permanent labor contracts, graduates in mismatched jobs earn higher average wages than those in matched jobs. These findings suggest that having social insurance and permanent labor contracts is key to securing higher wages for graduates. Additionally, the wage premium associated with job mismatch suggests that graduates may self-select into mismatched jobs offering higher pay, due in part to the relatively low wages in Vietnam’s education sector.
Keywords:
Social insurance; labor contract; graduates in teacher education and education science; education-job mismatch.
References
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[31] I. Njifen, P. Smith, Education-Job Mismatch and Heterogeneity in the Return to Schooling: Evidence from Cameroon, Journal of the Knowledge Economy, Vol. 12, No. 2, 2023, pp. 1-28.
[2] T. Doan, Q. Le, T. Q. Tran, Lost in Transition? Declining Returns to Education in Vietnam, The European Journal of Development Research, Vol. 30, No. 2, 2018, pp. 195-216.
[3] T. Q. Tran, H. V. Vu, Wage Earning Differentials by Field of Study: Evidence from Vietnamese University Graduates, International Journal of Educational Development, Vol. 78, No. 4, 2020, pp. 102271.
[4] T. Thuy, Bachelor of Education Graduates Struggle to Stay in the Profession, with many Accepting Jobs Outside Their Field, In GiaoducVietnam, Vietnam Association of Universities and Colleges: Hanoi, Vietnam, 2024.
[5] N. Lien, It is Necessary to Clarify the Paradox of Teacher Shortages While Bachelor of Education Graduates Struggle to Find Jobs, In Dantri, Hanoi, Vietnam, 2022.
[6] M. A. Somers et al., Horizontal Mismatch between Employment and Field of Education: Evidence from a Systematic Literature Review, Journal of Economic Surveys, Vol. 33, No. 2, 2019, pp. 567-603.
[7] T. Q. Tran et al., Local Governance, Education and Occupation-Education Mismatch: Heterogeneous Effects on Wages in a Lower Middle Income Economy, International Journal of Educational Development, Vol. 71, 2019,
pp. 102101.
[8] G. Montt, Field-of-Study Mismatch and Overqualification: Labour Market Correlates and Their Wage Penalty, IZA Journal of Labor Economics, Vol. 6, No. 1, 2017, pp. 1-20.
[9] N. Q. Thanh et al., Employment of Graduates in Teacher Education and Educational Sciences in Vietnam, Educational Research, Vol. 40, No. 2, 2024, pp. 50-58.
[10] T. T. T. Phan, Education-Occupation Mismatch in Vietnam: Determinants and Effects on Earnings, in Development Economics, University of Economics Ho Chi Minh City: Ho Chi Minh City, Vietnam, 2016.
[11] J. Allen, R. V. D. Velden, Educational Mismatches Versus Skill Mismatches: Effects on Wages, Job Satisfaction, and On‐the‐Job Search, Oxford Economic Papers, Vol. 53, No. 3, 2001, pp. 434-452.
[12] S. Rosen, The Theory of Equalizing Differences, in Handbook of Labor Economics, O. Ashenfelter and R. Layard, Editors, Elsevier: Neitherland, 1986, pp. 641-692.
[13] L. Kahn, The Structure of the Permanent Job Wage Premium: Evidence from Europe, A Journal of Economy Society, Vol. 55, No. 1, 2016, pp. 149-178.
[14] M. Gebel, Early Career Consequences of Temporary Employment in Germany and the UK, Work, Employment and Society, Vol. 24, No. 4, 2010, pp. 641-660.
[15] R. Ramos, E. Sanromá, H. Simón, Public-Private Sector Wage Differentials by Type of Contract: Evidence from Spain, Review of Public Economics, Vol. 208, No. 1, 2014, pp. 107-141.
[16] M. Kim, S. Ryu, Wage Differential by Employment Type and Contract Length, Korean Economic Review, Vol. 26, No. 1, 2010, pp. 157-176.
[17] A. Albanese, G. Gallo, Buy Flexible, Pay more: The Role of Temporary Contracts on Wage Inequality, Labour Economics, Vol. 64, No. 2, 2020, pp. 101814.
[18] X. Ma, J. Cheng, The Influence of Social Insurance on Wages in China: An Empirical Study Based on Chinese Employee-Employer Matching Data, Emerging Markets Finance and Trade, Vol. 57, No. 12, 2021, pp. 3337-3366.
[19] X. Ma, Economic Transition and Labor Market Reform in China, Springer, 2018.
[20] X. Ma, D. Zhang, The Incidence of Social Security Payroll Taxes: Evidence from China, International Journal of Financial Research, Vol. 9, No. 4, 2018, pp. 1-18.
[21] T. Tachibanaki, Y. Yokoyama, The Estimation of the Incidence of Employer Contributions to Social Security in Japan, The Japanese Economic Revie, Vol. 59, No. 2, 2008, pp. 75-83.
[22] Y. Yiwamoto, J. Hamaaki, An Analysis on the Burden of Social Insurance: From Economics Perspective, Social Security Studies, Vol. 42, No. 3, 2006, pp. 204-218.
[23] Q. T. Nguyen et al., Employment of Graduates in the Fields of Teacher Education and Education Science in Vietnam, VNU Journal of Science: Education Research, Vol. 40, No. 2, 2024, pp. 50-58.
[24] G. Passaretta et al., The Role of Overeducation and Horizontal Mismatch for Gender Inequalities in Labor Income of Higher Education Graduates in Europe, Research in Comparative and International Education, Vol. 18, No. 1, 2023, pp. 1-24.
[25] R. Zhu, The Impact of Major-Job Mismatch on College Graduates' Early Career Earnings: Evidence from China, Education Economics, Vol. 22, No. 5, 2014, pp. 511-528.
[26] T. Q. Tran, N. B. T. Vu, V. H. Van, Does Job Mismatch Affect Wage Earnings among Business and Management Graduates in Vietnam? Research in International Business and Finance, Vol. 65, 2023, pp. 101982.
[27] T. Q. Tran et al., Local Governance, Education and Occupation-Education Mismatch: Heterogeneous Effects on Wages in a Lower Middle Income Economy, International Journal of Educational Development, 2019.
[28] ILO, Measurement of Qualifications and Skills Mismatches of Persons in Employment, International Labour Organisation: Geneva, Switzerland, 2018, pp. 19.
[29] Government of Vietnam, Decision 34/2020/QG/TTg on the of Occupations in Vietnam, G. O. Vietnam, Editor, Government of Vietnam: Hanoi, Vietnam, 2020.
[30] J. M. Wooldridge, Introductory Econometrics a Modern Approach, USA: South-Western Cengage Learning, 2009.
[31] I. Njifen, P. Smith, Education-Job Mismatch and Heterogeneity in the Return to Schooling: Evidence from Cameroon, Journal of the Knowledge Economy, Vol. 12, No. 2, 2023, pp. 1-28.
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