How labour market outcomes reflect age, gender and skills in Korea
Using micro-data from the OECD Survey of Adult Skills (PIAAC), this paper seeks to
answer how age, gender and childbirth are reflected in literacy proficiency, employment
prospects and pay, and to which extent labour market outcomes are determined by these
demographic profiles rather than education, skills and experience. It finds that literacy
skills and tertiary education, objective measures of skills, which are highly correlated
with employment and productivity in most OECD countries, do not significantly affect
the likelihood of employment in Korea. Work experience and educational level are highly
correlated with pay. Age, gender and parenthood are strongly correlated with both
pay and employment. The weak link between objective skills and labour market outcomes
points to a misallocation of human capital and likely a substantial loss of productivity.
Published on December 13, 2022
In series:OECD Economics Department Working Papersview more titles