Tracing Labor Market Outcomes of Technical and Vocational Training Graduates in Saudi Arabia
This paper exploits a rich dataset from various administrative sources to study short- and medium-term labor market outcomes of vocational education and training graduates in Saudi Arabia. It examines five cohorts of graduates from institutes operated by the Technical and Vocational Training Corporation who are formally employed in the private sector. The outcome measures for the study are based on monthly earnings data from the private sector social insurance records covering up to five years after graduation for the first cohort. The analysis finds positive returns to technical and vocational education are sustained over time. However, program orientation and economic conditions at the time of graduation appears to impact wages. Furthermore, vocational education and training in Saudi Arabia is associated with higher job mobility after graduation from the program. Students’ mobility premium is enhanced by completion of the program, suggesting improved skills signaling and utilization contributing to higher returns to vocational education and training. The analysis identifies several challenges and opportunities to further improve outcomes of graduates, such as reducing the gender gap in labor market outcomes of female graduates and reducing the high incidence of vertical mismatch among graduates’ field-of-study selection and the occupations group in which they are employed.
Main Authors: | , , |
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Format: | Working Paper biblioteca |
Language: | English |
Published: |
World Bank, Washington, DC
2022-01
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Subjects: | LABOR MARKET, TECHNICAL AND VOCATIONAL EDUCATION AND TRAINING, FEMALE LABOR FORCE PARTICIPATION, SMALL AND MEDIUM-SIZED ENTERPRISES, HUMAN CAPITAL, VOCATIONAL EDUCATION, SKILLS TRAINING, |
Online Access: | http://documents.worldbank.org/curated/undefined/774091642748753456/Tracing-Labor-Market-Outcomes-of-Technical-and-Vocational-Training-Graduates-in-Saudi-Arabia-A-Study-on-Graduates-from-the-Technical-and-Vocational-Training-Corporation-TVTC https://hdl.handle.net/10986/36863 |
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Summary: | This paper exploits a rich dataset
from various administrative sources to study short- and
medium-term labor market outcomes of vocational education
and training graduates in Saudi Arabia. It examines five
cohorts of graduates from institutes operated by the
Technical and Vocational Training Corporation who are
formally employed in the private sector. The outcome
measures for the study are based on monthly earnings data
from the private sector social insurance records covering up
to five years after graduation for the first cohort. The
analysis finds positive returns to technical and vocational
education are sustained over time. However, program
orientation and economic conditions at the time of
graduation appears to impact wages. Furthermore, vocational
education and training in Saudi Arabia is associated with
higher job mobility after graduation from the program.
Students’ mobility premium is enhanced by completion of the
program, suggesting improved skills signaling and
utilization contributing to higher returns to vocational
education and training. The analysis identifies several
challenges and opportunities to further improve outcomes of
graduates, such as reducing the gender gap in labor market
outcomes of female graduates and reducing the high incidence
of vertical mismatch among graduates’ field-of-study
selection and the occupations group in which they are employed. |
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