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Labor market mismatch and labor productivity: Evidence from PIAAC data

In 2010 the Mental Health Commission of Canada commissioned a study to fill a gap in pan-Canadian information about the number of people living with mental health problems and illness today and the associated costs. The study built a unique model based on a wide range of existing studies in Canada and internationally. Its findings, combined with existing evidence of effective interventions, offer some key reasons for why it is important to invest smartly in mental health.
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Undergraduates' understanding of skill-based learning outcomes: Can e-portfolios help?

The term skill mismatch is very broad and can relate to many forms of labour market friction, including vertical mismatch, skill gaps, skill shortages, field of study (horizontal) mismatch and skill obsolescence. In this paper the authors provide a clear overview of each concept and discuss the measurement and inter-relatedness of different forms of mismatch. They present a comprehensive analysis of the current position of the literature on skills mismatch and highlight areas which are relatively underdeveloped and may warrant further research. Using data from the European Skills and Jobs Survey, they examine in detail the incidence of various combinations of skills mismatch across the EU and review the European Commission’s country specific recommendations and find that skills mismatch, when referring to underutilised human capital in the form of overeducation and skills underutilisation, receives little policy attention. They argue that in cases where skills mismatch it is specifically addressed by policy recommendations, the policy advice is either vague or addresses the areas of mismatch for which there is the least available evidence.
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Independent work: Choice, necessity, and the gig economy

Taking this broad-based public discussion as a starting point, we argue that there is a fourth issue that can and should be addressed with regard to university-acquired transferable skills. This issue has students squarely at its centre and is associated with questions such as, To what extent do university students understand what transferable skills are? How well are they able to connect their university learning experiences to the development of these skills? How well can they articulate their skill-based learning? To date, this student-centred perspective concerning the development of transferable skills has been largely absent in public discourse and in the broader research literature. We argue that this is an important oversight for at least two reasons. First, if undergraduates fail to understand the skill-based learning associated with their university experiences, then they will be less likely to recognize the important skills being developed through them. Second, from a pragmatic point of view, if students cannot articulate their skill-based learning and if they are unable to understand how it is fostered through their learning experiences then they will be at a disadvantage in leveraging these skills when they enter the job market. This is likely to be particularly true for undergraduates studying in disciplines in which there is no associated career path, with learning outcomes that have been predefined by a governing body (e.g., those studying general arts and science subjects).
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The new foundational skills of the digital economy: Developing the professionals of the future

This paper explores the link between skill and qualification mismatch and labor productivity using cross-country industry data for 19 OECD countries. Utilizing mismatch indicators aggregated from micro-data sourced from the recent OECD Survey of Adult Skills (PIAAC), the main results suggest that higher skill and qualification mismatch is associated with lower labor productivity, with over-skilling and underqualification accounting for most of these impacts. A novel result is that higher skill mismatch is associated with lower labor productivity through a less efficient allocation of resources, presumably because when the share of over-skilled workers is higher, more productive firms find it more difficult to attract skilled labor and gain market shares at the expense of less productive firms. At the same time, a higher share of under-qualified workers is associated with both lower allocative efficiency and within-firm productivity - that is, a lower ratio of high productivity to low productivity firms. While differences in managerial quality can potentially account for the relationship between mismatch and withinfirm productivity, the paper offers some preliminary insights into the policy factors that might explain the link between skill mismatch and resource allocation.
Reference

A future that works: Automation, employment, and productivity

This paper reports on a search for the New Foundational Skills of the digital economy. How and when do evolving skills change the job market? Which skills are in demand in both digitally intensive jobs, and more broadly? Which skills retain their value over time? If such a set of emergent, critical skills exists, how do the skills interact, and what do they mean for job seekers and incumbent employees, educators, and employers? To find out, the Business-Higher Education Forum (BHEF) commissioned Burning Glass Technologies to examine skills in the job market by drawing from a set of more than 150 million unique U.S. job postings, dating back to 2007. The research identified 14 skills that have become foundational in the new economy, which converge in three interrelated groups: Human Skills, business skills, and digital skills. Human Skills have a long history of close study, so BHEF and Burning Glass are especially pleased to subject these two other major segments of the skills continuum – Business Enabler and Digital Building Block Skills – to similar scrutiny. These 14 foundational skills play major roles in the economy and in the lives of job seekers and incumbent employees. They increase in value when used in combination. They often command salary premiums. They help individuals and institutions keep pace with change. Critically, they are in high demand in multiple sectors, and are spreading rapidly throughout the wider economy
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Manpowergroup employment outlook survey Canada: Q3 2019

A full-time job with one employer has been considered the norm for decades, but increasingly, this fails to capture how a large share of the workforce makes a living. A narrow focus only on traditional jobs ignores tens of millions who put together their own income streams and shape their own work lives. Although independent work is not a new phenomenon, it does not fit neatly into official labor statistics. This report aims to fill some of the data gaps surrounding it.
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Barriers to work-integrated learning opportunities

Advances in robotics, artificial intelligence, and machine learning are ushering in a new age of automation, as machines match or outperform human performance in a range of work activities, including ones requiring cognitive capabilities. In this report, part of our ongoing research into the future of work, we analyze the automation potential of the global economy, the factors that will determine the pace and extent of workplace adoption, and the economic impact associated with its potential.
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Real-time labour market information

The ManpowerGroup Employment Outlook Survey is conducted quarterly to measure employers' intentions to increase or decrease the number of employees in their workforces during the next quarter. ManpowerGroup's comprehensive forecast of employer hiring plans has been running for more than 55 years and is one of the most trusted surveys of employment activity in the world.Key Findings: Global Hiring Outlook Remains Steady with Most Markets Anticipating Improved Hiring Intentions for Q2 Strongest hiring intentions reported by employers in Croatia, Greece, Japan, Taiwan, Romania and the U.S., while the weakest outlooks anticipated in Panama, Hong Kong, and Poland Strong hiring in the U.S. continues with employers reporting the most optimistic hiring intentions in the Americas for the tenth consecutive quarter Softer hiring outlooks in Europe reflect economic uncertainty as hiring intentions decline in 13 countries year-over-year
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Bad fits: The causes, extent and costs of job skills mismatch in Canada

Project Description: A total of 176 faculty and staff from 43 of the 44 public postsecondary institutions in Ontario were surveyed online in the spring of 2017. The online survey was followed by in-depth telephone interviews with 45 key informants to further clarify the findings and discuss the challenges of implementing certain strategies. The types of WIL included in the study are: co-op, internships, applied research projects, field experience and service learning. The authors examined what had previously been identified as major barriers, examined institution-level strategies and attempted to determine best practices for postsecondary institutions that would maximize WIL participation. Findings: Student demand for WIL opportunities is increasing and many options are often oversubscribed. However, more could be done to increase the participation of certain groups such as first-generation, Indigenous and other minority students in WIL programs. There are a variety of WIL support programs available to students such as preparatory WIL courses, dedicated WIL advisers, seminars and group presentations, and one-on-one discussions with students. However, there is no one clear way for Ontario PSE institutions to address the challenges students face when participating in WIL and different institutions use a variety of supports and strategies. Two factors that seem to be most important are the need for consistent messaging to manage student expectations and the need for faculty awareness of WIL opportunities to increase student participation. The survey findings suggest that having faculty champions is a very effective way to promote WIL to students. This strategy may not be widely used because of a lack of awareness about WIL within some departments and faculty reluctance to get involved. Students may face time and financial pressures when taking part in a WIL program and resources exist to help them manage these challenges. International students and those facing physical, mental or social challenges may also encounter difficulties in participating in WIL and respondents suggested these can be addressed through a combination of WIL-specific supports (e.g., a dedicated WIL adviser, assistance with job interview preparation) and institution-wide supports (e.g., campus offices for international students or students with disabilities). WIL coordinators noted that they rely on centralized supports within their institutions to provide assistance to students, but this strategy relies on students being willing to self-identify. While informants felt that having an overarching WIL policy is important it is “just as important to have flexibility built into the policy to allow departments to design what works best for them and for their students,” the authors conclude.