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Disrupted Futures 2023 | Response to social inequalities
The OECD analysis from the 2023 conference highlights significant inequalities in the education-to-work transitions of young adults, particularly based on socioeconomic status (SES). Low-SES individuals are disproportionately represented among those not engaged in education, employment, or training (NEET) and tend to experience lower-quality job outcomes compared to their high-SES peers. The findings underscore the importance of targeted career guidance to mitigate these disparities and improve career readiness among disadvantaged youth.
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Disrupted Futures 2023 | Response to social inequalities
- 1. Disrupted Futures 2023 Howcareer guidance can best respond to social inequalities: new OECD analysis and guidance 31 May 2023 Day 1, International Online Conference Shinyoung Jeon (Policy Analyst at the OECD Career Readiness Team)
- 2. • In thispresentation, we will look at: • Inequalities in education-to-work transition • Results from data analysis across OECD countries, including Career Readiness Indicators • Implication for career guidance
- 3. • How doinequalities influence the transitions of young people as they transition from school to work? • How the early labour market experiences are shaped by inequalities linked to young adults’ socio-economic status (also gender and migrant background) • How socio-economic inequality can be seen to shape student career thinking and engagement in career development activities.
- 4. • OECD Programmefor International Student Assessment (PISA) • Allows comparison between students (aged 15-16) with different backgrounds while other factors being equal such as academic performance. • OECD Programme for the International Assessment of Adult Competencies (PIAAC) • Allows comparison between young adults (aged 15-34) with different backgrounds while other factors being equal such as skill and education levels. • OECD Career Readiness Indicators • Key indicators of teenage career readiness. • So far 14 indicators in the areas of career exploration, experiencing and thinking • 11 indicators confirmed + 3 partially confirmed through analysis of longitudinal datasets in multiple countries.
- 5. • A student’ssocio-economic status is estimated by the PISA index of economic, social and cultural status (ESCS). • Low SES: Bottom quartile of the index • High SES: Top quartile of the index • For PIAAC, the level of educational attainment attained by the parents of the participants in the Survey was used as proxy to indicate young adults’ SES • Low SES: Those whose parents who have not attained upper secondary education, versus • High SES: Those whose at least one parent who has attained tertiary education
- 6. Inequalities in theearly career experience of young adults, using OECD PIAAC
- 7. 15 percentage pointshigher among low SES 0 10 20 30 40 50 60 70 Low SES High SES 1. Labour market engagement - NEET Percentage (%) of young adults in NEET, by SES
- 8. 1. Labour marketengagement - NEET Low SES are 3.5 times more likely to be NEET than high SES 0 1 2 3 4 5 6 15 Relative likelihood (odds ratio) of young adults with low SES being NEET in reference to those with high SES Note: Odds ratios take into account the effect of level of education, literacy score, gender and place of birth.
- 9. 2. Labour marketsegmentation - sector 6 percentage point higher among low SES 6 pp 6 pp -6 pp -10 pp -20 -10 0 10 20 30 40 50 60 Agriculture, forestry and fishing Manufacturing Construction Market Services Non-market services Low SES High SES Gap (percentage point) Share (%) of young adults by employment sector and by SES, OECD average
- 10. 2. Labour marketsegmentation - occupation 15% 28% 0 5 10 15 20 25 30 Legislators, senior officials and managers Professionals Technicians and associate professionals Clerks Service workers and shop and market sales workers Skilled agricultural and fishery workers Craft and related trades workers Plant and machine operators and assemblers Elementary occupations Higher SES Lower SES Share (%) of young adults by occupation and by SES background, OECD average
- 11. 3. Job quality- wage 11.5% 15.5% High SES are 1.8 times more likely to earn high wages than low SES 0.6 0 1 2 3 4 0 5 10 15 20 25 30 35 Hungary United States 2012/2014 Turkey Korea OECD average Canada Low High Odds Ratio (right axis) Percentage of young adults (16-34) with wage at top quartile, by parent education Note: Only countries with statistically significant results are presented.
- 12. • SES canbe seen to shape young adults’ labour market outcomes, even after taking account of skill/educational levels. • On average, disadvantaged young people are much more likely to be NEET than their advantaged peers. • In work, patterns of concentration are apparent linked to SES. • Parental advantage strongly influences the progression of their children, notably into higher paying and higher status employment. • Young adults from more disadvantaged backgrounds often face additional barriers in converting the human capital into successful employment.
- 13. Inequalities in teenage careerreadiness, using OECD PISA and Career Readiness Indicators
- 14. • Exploring potentialfutures in work: career conversations with teachers, family members and friends; engaging with people in work through career talks or job fairs; workplace visits or job shadowing; application and interview skills development activities; occupation- focused short programmes. • Experiencing potential futures in work: activities involving first-hand experiences of workplaces such as part-time work, internships, and volunteering. • Thinking about potential future careers: • Career uncertainty: inability as a teenager to name an expected adult occupation. • Career ambition: expectation of working in a job classified as high-skilled jobs. • Career misalignment: aligning educational plans with occupational ambitions.
- 15. 4. Teenage careerexploration 1.7 1.6 1.5 1.5 1.4 1.4 1.4 1.2 1.2 1 1.2 1.4 1.6 1.8 Job fair Spoke to a career advisor outside of my school Job shadowing Internship College or univeristy tour Questionnaire Internet research for college/university programmes Internet research for careers information Spoke to a career advisor at my school Odds ratio Relative likelihood of students with high SES in reference to low SES, OECD average
- 16. 5. Teenage careerexperiencing 1.5 0.5 1 1.5 2 2.5 Odds ratio Relative likelihood of students with high SES (top quartile) doing an internship in reference to low SES (bottom quartile), by country
- 17. 6. Teenage careerthinking - uncertainty Relative likelihood of disadvantaged students to be uncertain about their careers at age 30 in reference to advantaged ones 1.1 0.6 0.7 0.8 0.9 1 1.1 1.2 1.3 1.4 1.5 1.6 Odds ratio 2.5
- 18. 6. Teenage careerthinking - ambition 2.7 0 1 2 3 4 5 Odds ratio Relative likelihood of advantaged students to expect to work in high-skilled occupations
- 19. 6. Teenage careerthinking - ambition 5 0 1 2 3 4 5 6 7 8 9 10 11 Odds ratio Relative likelihood of advantaged students to expect to complete tertiary education
- 20. 6. Teenage careerthinking - misalignment 4.6 1 2 3 4 5 6 7 8 9 10 Odds ratio Relative likelihood of disadvantaged students to be misaligned in their career expectation in reference to advantaged ones
- 21. • Socio-economically disadvantagedstudents are commonly: • participating less in career development activities • less certain about their future careers • less ambitious about their future careers • demonstrating poorer understanding of the labour market and its relation to education. • The role of career guidance comes in: • The country difference shows that the effects of inequality are not inevitable. • It is also important to highlight the results of Career Readiness Indicators based on longitudinal studies, showing that positive teenage career thinking leads to better adult employment outcomes.
- 22. For more details: OECDCareer Readiness Website: https://www.oecd.org/education/career-readiness/ OECD (2021), "Indicators of teenage career readiness: Guidance for policy makers", OECD Education Policy Perspectives, No. 43, OECD Publishing, Paris, https://doi.org/10.1787/6a80e0cc-en. OECD (2021), "Career Readiness in the Pandemic: Insights from new international research for secondary schools", OECD Education Policy Perspectives, No. 44, OECD Publishing, Paris, https://doi.org/10.1787/8b1215dc-en. OECD (2021), "Career readiness in the pandemic: A summary of project findings", OECD Education Policy Perspectives, No. 46, OECD Publishing, Paris, https://doi.org/10.1787/e9544a77-en.