Skip to main content

Advertisement

Log in

Transition from higher education to work: are master graduates increasingly over-educated for their jobs?

  • Article
  • Published:
Tertiary Education and Management Aims and scope Submit manuscript

Abstract

In this paper we address the transition from higher education to work among graduates with a master’s degree, with a particular focus on over-education. We relate to an ongoing debate on whether too many students undertake a master’s degree, and the consequences a surplus of graduates may have. Our data show that the transition from higher education to work has not become much more difficult during the period 1995–2013, despite a huge increase in the number of graduates. Unemployment rates fluctuate, but were lower at the end of the period than at the beginning. Regarding over-education, we find an increase at the beginning of the observation period, but a striking stability in years when the number of graduates rose sharply. When considering all educational groups together, we find no association between the number of graduates, business cycles and the prevalence of over-education. However, we find some exceptions when looking at different subject fields.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Aamodt, P. O., Hovdhaugen, E., & Prøitz, T. (2014). Utdanningskvalitet i høyere utdanning: noen empiriske eksempler. Resultater fra en undersøkelse Want faglig ansatte våren 2013 [Quality in higher education; some empirical examples. Result from a survey among faculty members 2013] (Report 6/2014). Oslo: Nordic Insitute for Studies in Innovation, Research and Education.

    Google Scholar 

  • Alba-Ramirez, A. (1993). Mismatch in the Spanish labor market: Overeducation?. The Journal of Human Resources, 28, 259–278.

    Article  Google Scholar 

  • Allen, J., & van der Velden, R. (2011). The flexible professional in the knowledge society. New challenges for higher education. Dordrecht: Springer.

    Book  Google Scholar 

  • Arnesen, C. Å. (2006). Har etableringsfasen i arbeidsmarkedet betydning for senere yrkeskarriere? [Does the esablishment phase in the labour market effect future career?] Sokelys på arbeidsmarkedet, 23, 149–158.

    Google Scholar 

  • Arnesen, C. Å. (2009). Kandidatundersøkelsen 2008 [The graduate survey 2008] (Rapport 29/2009). Oslo: Norwegian insitute for studies in Innovation, Research and Education.

    Google Scholar 

  • Barro, R. J. (2013). Education and economic growth. Annals of Economics and Finance, 14, 301–328.

    Google Scholar 

  • Barth, E., Roed, M., Schone, P., & Torp, H. (2004). Arbeidsmarkedet for akademikere [The labour market for academics] (Rapport 9/2004). Oslo: Institutt for samfunnsforskning.

    Google Scholar 

  • Bijlsma, I., & Van der Velden, R. (2015, 22–24 November). Skill, skill use and wages: A new theoretical perspective. Paper presented for the second PIAAC International Conference, Haarlem.

    Google Scholar 

  • Cappelen, A., Gjefsen, H., Gjelsvik, M., Holm, I., & Stolen, N. M. (2013). Forecasting demand and supply of labour by education (Report 48/2014). Oslo: Statistics Norway.

    Google Scholar 

  • Chartered Institute of Personnel and Development. (2015). Over-qualification and mismatch in the graduate labour market. London: Chartered CIPD. Retrieved November 17, from https://doi.org/www.cipd.co.uk/publicpolicy/policy-reports/overqualification-skills-mismatch-graduate-labour-market.aspx

    Google Scholar 

  • Collins, R. (1979). The credetial society: An historical sociology of education and stratification. New York, NY: Academic Press.

    Google Scholar 

  • Dolton, P. J., & Vignoles, A. (1997). Overeducation duration: How long did graduates in the 1980s take to get a graduate level job? (Working paper). University of Newcastle upon Tyne, Newcastle.

    Google Scholar 

  • Dore, R. (1976). The diploma disease: Education, qualification and development. Berkeley: University of California press.

    Google Scholar 

  • Duncan, G., & Hoffman, S. (1981). The incidence and wage effects of overeducation. Economics of Education Review, 1, 75–86.

    Article  Google Scholar 

  • Elias, P., & Purcell, K. (2004). Is mass higher education working? Evidence from the labour market experiences of recent graduates. National Institute Economic Review, 190, 60–74.

    Article  Google Scholar 

  • Eurostat. (2015). Unemployment rates by sex, age and educational attainment level (%). Retrieved November 6, 2015, from https://doi.org/ec.europa.eu/eurostat/en/web/products-datasets/-/LFSA_URGAED

    Google Scholar 

  • Freeman, R. (1975). Overinvestment in college training? The Journal of Human Resources, 10, 287–311.

    Article  Google Scholar 

  • Freeman, R. (1976). The overeducated American. New York, NY: Academic Press.

    Google Scholar 

  • Green, F., & Mcintosh, S. (2007). Is there a genuine under-utilization of skills amongst the over-qualified? Applied Economics, 39, 427–439.

    Article  Google Scholar 

  • Hartog, J. (2000). Over-education and earnings: Where are we, where should we go? Economics of Education Review, 19, 131–147.

    Article  Google Scholar 

  • Harvey, L. (2000). New realities: The relationship between higher education and employment. Tertiary Education and Management, 6, 3–17.

    Article  Google Scholar 

  • OECD. (2001). The well-being of nations. The role of human and social capital. Paris: OECD, The Centre for Educational Research and Innovation.

    Book  Google Scholar 

  • OECD. (2013). Skills outlook 2013: First results from the survey of adult skills. Paris: Author.

    Book  Google Scholar 

  • OECD. (2014). Indicator A3: How many students are expected to complete tertiary education? In Education at a glance. OECD Indicators. Paris: OECD. doi:10.1787/888933115388

    Google Scholar 

  • Sloane, P., Battu, H., & Seaman, P. T (1999). Overeducation, undereducation and the British labour market. Applied Economics, 31, 1437–1453.

    Article  Google Scholar 

  • Smith, J., & Welch, F. (1978). The overeducated American? A review article (UCLA Economics working paper), https://doi.org/www.econ.ucla.edu/workingpapers/wpl47.pdf

    Google Scholar 

  • Statistics Norway. (2015a). Credit points and graduations from universities and colleges, 2013/2014. Retrieved November 5, 2015, from https://doi.org/www.ssb.no/en/utdanning/statistikker/eksuvh

    Google Scholar 

  • Statistics Norway. (2015b). Labour force survey, seasonally-adjusted figures, August 2015. Retrieved November 5, 2015, from https://doi.org/www.ssb.no/en/arbeid-og-lonn/statistikker/akumnd

    Google Scholar 

  • Statistics Norway. (2015c). Population’s level of education, 1 October 2014. Retrieved November 5, from https://doi.org/www.ssb.no/en/utdanning/statistikker/utniv

    Google Scholar 

  • Statistics Norway. (2015d). Students at universities and colleges, 1 October 2014. Retrieved November 5, 2015, from https://doi.org/www.ssb.no/en/utdanning/statistikker/utuvh

    Google Scholar 

  • Støren, L. A., & Arnesen, C.Å. (2011). Winners and losers. In J. Allen & R. van der Velden (Eds.), The flexible professional in the knowledge society: New challenges for higher education (pp. 199–240). Dordrecht: Springer.

    Chapter  Google Scholar 

  • Støren, L. A., Næss, T, Reiling, R. B., & Wiers-Jenssen, J. (2014). Far nyutdannede med høyere grad arbeid i samsvar med sitt utdanningsnivá? [Does fresh master graduates obtain jobs in accordance with their level of education?] (Report 53/2014). Oslo: Nordic Insitute for Studies in Innovation, Research and Education.

    Google Scholar 

  • Thune, T., & Støren, L. A. (2015). Study and labour market effects of graduate students’ interaction with work organisations during education. Education + Training, 57, 702–722.

    Article  Google Scholar 

  • Thurow, L. C. (1975). Generating inequality. New York, NY: Basic Books.

    Book  Google Scholar 

  • Tsang, M. (1987). The impact of underutilization of education on productivity: A case study of the U.S. Bell companies. Economics of Education Review, 6, 239–254.

    Article  Google Scholar 

  • Tsang, M., Rumberger, R., & Levin, H. (1991). The impact of surplus schooling on worker productivity. Industrial Relations, 30, 209–228.

    Google Scholar 

  • UNESCO Institute for Statistics. (2012). International standard classification of education ISCED 2011. Retrieved January 6, 2016, from https://doi.org/www.uis.unesco.org/Education/Documents/isced-2011-en.pdf

    Book  Google Scholar 

  • Verhaest, D., & Van der Velden, R. (2013). Cross-country differences in graduate overeducation. European Sociological Review, 29, 642–653.

    Article  Google Scholar 

  • Wiers-Jenssen, J., Støren, L. A., & Arnesen, C. Å. (2014). Kandidatundersøkelsen 2013 [The graduate survey 2013] (Report 17/2014). Oslo: Nordic Insitute for Studies in Innovation, Research and Education.

    Google Scholar 

  • Wolbers, M. J., de Graaf, P. M., & Ultee, W. C. (2001). Trends in the occupational returns to educational credentials in the Dutch labor market: Changes in structures and in the association? Acta Sociologica, 44, 5–19.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Jannecke Wiers-Jenssen.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Støren, A.L., Wiers-Jenssen, J. Transition from higher education to work: are master graduates increasingly over-educated for their jobs?. Tert Educ Manag 22, 134–148 (2016). https://doi.org/10.1080/13583883.2016.1174290

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1080/13583883.2016.1174290

Keywords

Navigation