The transition from school to work

This section examines: Education participation and attainment Participation in full-time, part-time and casual work Youth unemployment Youth disengagement

Share this

The Overview

Full-time work is decreasing and casual and part-time work are increasing

Graduates are finding it harder to find full-time work

Graduates from education are finding it harder to find full-time work. It is taking on average 4.7 years for young people to move into full time work after completing full time education and 2.7 years to find any work (compared to 1 year respectively in 1986).

The proportion of young higher education and VET graduates who are in full-time work has decreased.  Four months after graduating:

  • 65% of university graduates are in full time work compared to 84% in 2008
  • 58% of Certificate III or higher graduates are in full time work compared to 70% in 2006.

Years to find fulltime work

Being overqualified is becoming as much of an issue as being underqualified for young people

It is not just that educational attainment is not leading to work for some young people.  Some are also finding themselves overqualified.  An OECD survey of 24 countries in 2011/12 ranked Australia third for overqualified workers (28%) (OECD 2013a).  This finding was supported by an Australian study that showed a quarter (26%) of Australian higher education graduates are underutilised (overeducated) immediately after course completion and 15% are still underutilised three years later (Carroll & Tani 2011).  Graduates are taking lower based occupational jobs hoping they will lead to something better.  These lower level jobs, however, can make it difficult to catch up, and individuals who start in unsuitable jobs are likely to be badly matched to their jobs, unemployed or have lower incomes later (OECD 2012; Roberts 2012; Karmel et al 2013).  Being overskilled in the past can persist and increases the probability of being overskilled in the future (Mavromaras et al 2012).

Section 3_UPgraphs_Page_07

Full-time work has decreased

Since 1986 the proportion of young people in full-time employment has decreased, with the largest decline since the 2008 Global Financial Crisis (GFC).  Young people are less likely to be in full-time employment and are more to start full-time work at a later age.

In 2014:

  • 10% of 15 to 19 year olds and 42% of 20 to 24 year olds were in full-time employment.
  • the proportion of young people in full-time work had decreased from:
    • 17% in 2008 to 10% in 2014 for 15 to 19 year olds
    • 52% in 2008 to 42% in 2014 for 20 to 24 year olds
  • decreases for 15 to 19 year olds had been substituted by education, but not for 20 to 24 year olds
  • young men were more likely to be in full-time work than young women.

 

Employment Part_full

Part-time and casual work have increased

Part-time and casual employment for those not in full-time education have increased over time.

In 2014:

  • 33% of 15 to 19 year olds, and 2% of 20 to 24 year olds, not in full-time education were in part-time employment
  • part time employment rose for 20 to 24 year olds from 24% in 2008 to 27% in 2014
  • 52% of 15 to 19 year olds, and 34% of 20 to 24 year olds, not in full-time education were in casual employment
  • casual employment rose for 20 to 24 year olds from 30% in 2002 to 34% in 2012
  • casual work among young people has increased faster for young people than for adults and young people are more likely than those over 25 years old to be casually employed (18%)
  • young women considerably more likely to be employed part-time/casual than young men.

Only a small proportion of young people are self-employed

Young people are currently most likely to be working as employees than in their own business.  In 2013 on 1% of those aged 15 to 19 and 6% of those aged 20 to 24 were self-employed, compared to 30% of 24-34 year olds, 49% of 35 to 44 year olds and 52% of 45 to 54 year olds.

 

Home
  1. Young people are a vital resource
  2. Future challenges for young people
  3. The transition from school to work
  4. Contributing to and leading change
SUBSCRIBE