Job Mismatches and Influencers in Emerging Markets: Evidence from Vietnam

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My Tran Ngo et al.

Abstract

Previous studies suggest that job mismatch is a common but context-dependent phenomenon. The incidence of job mismatch occurring in Vietnam could threaten the sustainability of its emerging economy, but there is a paucity of studies to examine it. This article fills that research gap by reporting a study that analyzes the current situation and factors affecting types of job mismatch among Business and Management graduates in the Mekong River Delta of Vietnam. This study uses surveyed data from 13 provinces and cities of the Mekong River Delta in Vietnam. Multinomial logistics regression is used to identify the influencers of job mismatches.  The analysis shows the severe job mismatches among employees working in the region. Based on participants’ self-reporting, approximately one-third of the employees encountered education mismatches, almost half-faced field-of-study mismatches, and more than three-quarters experienced skills mismatches. In addition, multinomial logit regression results show that both employee’s characteristics (mainly education) and socio-economic and cultural aspects of the country are important factors affecting the likelihood of job mismatches. The survey data on employees employed in this study is rare in Vietnam, where the available information on this respondent is hardly found. Hence, the causes of job mismatches identified in this study are important and unique sources that benefit Vietnam in modifying its workforce development strategic plans and provide further empirical evidence about job mismatch and its influencers across different labor markets.

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