MODELS APPLIED IN ADVANCED ECONOMIES IN THE FIELD OF EMPLOYMENT OF YOUNG GRADUATES OF UNIVERSITY STUDIES
Signed: ________________________ Date: ________________________ NAME: ________________________ RECOMMENDATION This project has been presented for examination with my approval as the appointed supervisor. Signed: ________________________ Date: ________________________ NAME: ________________________ ACKNOWLEDGEMENT I thank the Almighty God for giving me the ability and passion to persevere to the completion of this program and project. I also thank my supervisor for her patience and persistence in providing me with valuable guidance, direction, availability and help throughout the research. I would also like to express my sincere gratitude to my parents and siblings for years of support, encouragement and love that they have given me throughout my life both academically and otherwise. Finally, thanks to the University of Worcester fraternity where I have had the best platform, good learning atmosphere and all the resources I needed to complete my course.
1 Human capital theories related to employment 7 2. 2 Unitarism model theories 8 2. 3 Pluralist model theory 8 2. 4 Critical employment model 9 2. 2 Conceptual Framework 11 RESEARCH METHODOLOGY 12 3. 1 Demographic composition 16 4. 2 Academic background 17 4. 3 Educational classification 19 4. 1 Area of study 19 4. 2 Time of graduation 20 4. The application of models plays a key role in ensuring that the young graduates are absorbed into the job market. The models have been noted to be very important for effective transition from the educational institutions to the job market. The study investigated how young graduates’ absorption could easily be increased through employing the models of employment. The models emphasized in this study included, unitarism model, critical industrial model, pluralist model and mainstream economics model. The study generally investigated the effectiveness of the models used in advanced economies in the field of employment of young graduates from the universities.
Employment issues remain very critical in the western economies due to the higher flexibility of the labour market and as a result, employability skills for the graduates is vital. The national labour market structures at different settings in the advanced economies tirelessly keep on mediating in the same issue since it is their responsibility to look at the position and status of the graduates. The tradeoff between the unemployment and levels of inflation has been also a point of concern in these developed economies. According to (Rudd et. al, 2005) Philips curve, there is a trade of which exists between inflation and unemployment and as a result, the policymakers take that into consideration when a trying to solve the issue of unemployment.
The models of employment are developed in line with these structural changes to witness increased levels of employment of young graduates from the universities. The young graduates make the biggest portion of the labour force globally and their employability if it is low that causes worrying trends in the world. International labour organization reports show that today wage and salaried employment contribute only half of the global employment with the percentage decreasing up to about twenty percentage in sub Saharan Africa and south Asia (Dobbs et. al. The undesirable state seem to be creeping and sneaking into the advanced economies therefore there is the need to use models which control unemployment levels among the young graduates in the advanced economies. In this model bargaining for better welfare of the young graduates is possible due to the flexibility of the model.
The unitarism model views employment as a long-term partnership between employees and employers all of whom possess common interests. This model seeks provide a long lasting solution of the young graduates employability issues in the advanced economies. It is also referred to as human resource management model and it concerns itself more with the sustainable relationship between employees and employers. This model postulates that in the long run there is increased absorption of young graduates in the job market especially when there is perfect relationship between employers and employees (Banerji et. It is maintained that the systems which in an economy have direct influence in the field of young graduates’ employment (Steedman, 1993). The economies which are more sensitive to the issue of youths tend to come up with policies which are sensitive their young labour force.
These models comprehensively reveal the patterns of youth employment in the advanced economies. 2 Statement of the problem Lot of studies have been conducted regarding the models used in field of employment of young graduates in the advanced economies. A lot more has been done on youth employability and their perceptions and the best models to address the issue of youth unemployment in western countries and elsewhere globally. Levels of youth employment determine with a lot of precision the economic productivity of the labour force. This is because it is the youths who are more energetic who can push the labour productivity to higher levels. Therefore the models seek to ensure that the absorption rates of youths are increased for economic development to be propagated in the advanced economies (Lowe, 2000).
Although the impact of models of employment has been broadly studied there are still questions regarding the impact of these models towards achieving higher employment levels for the young graduates and provide sustainable development in the labour market alongside removing labour imperfections. Young graduates employment levels have been decreasing both in relative and absolute terms over the past few decades and this has been due to a number of structural changes which have been witnessed in the labour market. 3 General objective The general objective will be to determine the effectiveness of the models used in advanced economies in the field of employment of young graduates from the universities 1. 1 Specific objectives i. To investigate the impact of unitarism model in solving the challenge of job mismatch among the young graduates from the universities ii.
To determine how the pluralist model solve the issue of labor market imperfection iii. To establish the relationship between mainstream economic model and rate of absorption of young graduates to the job market iv. Lots of studies have been conducted before to explain the same matter but the answers they gave are either unsatisfying or limited and that justifies why this study will be important to the advanced economies. The role of policy makers in the advanced economies is to make the labour market function effectively and let the market forces of demand and supply of labour determine the equilibrium. However the global crisis makes the market forces ineffective in addressing that issue therefore a gap exist between the job seekers and the employment opportunities available in the labour market.
This project sufficiently provides the solutions to the many questions surrounding the issue of use of models in the field of employment for the young graduates from universities in advanced economies. Through this study a solution was sought for the gaps that existed in the labour market alongside trying to suggest a solution to the market imperfections. al. The young graduates are assumed to have made the choice of investing in human capital which helps them build their capacities to higher levels. According to Nelson- Phelps view of human capital, the ideology is basically based on the ability of workers to adapt to the changing environment in the labour market (Lepak et. al. According to this view, there is a lot of dynamism in the labour market and therefore we focus on the methods of addressing such phenomena and still end up achieving market equilibrium.
For the organization to gain full profitability and achieve the set goals and objectives, there should be fair and equal treatment of employees and satisfaction of their desires and interests (Guest,1987). This models lays down a very great foundation for the strategic management of the human resource in any organization that formulates policies that are mutually beneficial to employees and employers. It is worth noting that this unitarism model views the relationships as issues of power and conflict between employees and employers. The assumption of shared interests between the employers and employees negates the importance of power as well as viewing conflict as just temporary state of affairs (Becker, 1994). Policy makers after a close examination of the situation realize that these forms of conflict is a reality within any organizational setting.
Economic incentives and markets are seen as important mechanisms for allocating and effectively using scarce resources. This model also includes more of a role for institutions to help overcome market imperfections and serve noneconomic goals. Pluralist model emphasize on managing the conflicts in the organization as opposed to eradicating and avoiding them. It is only through bargaining that a conflict can be resolved in any organization (Ackers, 2002). The power which comes into play in this model is the power for collective bargaining which is aimed at coming up with an amicable solution. al. A feminist perspective focuses on unequal power relations between men and women; a critical race perspective focuses on segregation and control along racial lines In Marxist thought, as employers control the means of production, they are able to extract labor’s surplus value which further empowers the capitalists at the expense of workers, not only in the economic arena, but in the socio-political arena, too.
This extraction perpetuates the importance of power relations and reinforces the broad-based nature of class conflict. Kelly’s (1998) application of mobilization theory to industrial relations is another example of critical scholarship in which power and conflict are key. 2 Conceptual Framework Independent variables dependent variable CHAPTER THREE RESEARCH METHODOLOGY 3. 4 Sample size determination Sampling in research is the process of obtaining information about an entire population by examining only a part of it (Kothari, 2003). It serves the purpose of saving time and other resources and yet produces the required results. This happens by the researcher drawing inferences based on samples about the parameters of population from which the samples are taken. In this research, the sample size was determined using the formula by Fisher et al.
n=Z2pq/d2 Where n=desired sample size. Jupp, V. These components were sufficient to collect data which was analyzed and gave out results which could be used to make policy inferences The database was password protected to shield information leakage to unauthorized parties with each respondents being issued with their own personal password to access the site to fill the questionnaire. Other features of the of the database included the ability to categorize information using built-in taxonomy, ability to offer text standardization helped in data cleaning, reducing text information and merging data sets. 6 Methods of data analysis and presentation Collected data was edited, classified, coded and analyzed. The collected data was analyzed using descriptive statistics which included the mean, frequency, percentages and standard deviation.
The final questionnaires were then rolled out in the database in the internet enabled system and used to collect the data from the respondents. The database was password protected to prevent unauthorized respondents from accessing the information. 8 Ethical Considerations This study focused on the ethical consideration which included; informed consent, confidentiality, anonymity and data storage and disposal. The researcher had obtained consent from the respondents before administrating the questionnaire so as to enable them set aside time to complete the questionnaires. The administered questionnaires were not bearing the respondents names so as to uphold their anonymity. 0 Total 150 98. 0 Missing System 1 2. 0 Total 151 100. 0 Table 1 above shows the findings of the gender distribution of the respondents. 52% of the respondents were male and 48% of the total respondents were female.
The age bracket of between 20-24 years had a frequency of 34% of the total respondents. The age bracket of 25-29 years had a frequency of 30% of the total respondents. Age bracket of 30-34years had a frequency of about 22% of the total respondents in the entire study. Those who were above 35years were about 14% of the total respondents. 2 Academic background Table 3: former department of the respondent Frequency Percent Valid Percent Cumulative Percent Valid science based 74 47. The age brackets shows the periods when the young graduates starts getting their degrees. The youngest graduates between the age brackets of 20-24years as it can be seen from the bar chart. The latest group to graduate is those of about 35 years and this is especially those who pursue second and third degrees.
This bar chart shows how the responses were distributed along the nature of department where the respondent formerly belonged to during their university studies. Art based departments were more as compared to science based departments’ respondents. Out of the total respondents, 24% of the respondents were from the engineering areas of study. Those from the business areas of study were the biggest number with 36% of the total respondents. Health sciences contributed 30% of the total respondents. However there was other respondents who were from other areas of study who had a frequency of about 10% of the total respondents. 2 Time of graduation Table 5: when did you graduate from university Frequency Percent Valid Percent Cumulative Percent Valid less than a year 40 29. Those young graduates who had 3 years and above since graduation contributed 20% of the total respondents who participated in the research.
3 Final Grade Table 6: final year grade at university Frequency Percent Valid Percent Cumulative Percent Valid first class honours 51 33. 0 second class honours 50 33. 0 other grades 49 31. 0 Total 150 98. Business area of study contributed the highest number of respondents followed closely by health sciences and engineering respectively. This could possibly be attributed to the attitude of learner who have an interests in different fields with majority going for business and health sciences, engineering among other many areas of study. The bar chart above shows the distribution of young graduate’s grades from the university. Majority of the respondents scored first class and second class honors with also a significant number scoring other grades. The analysis is important to measure those who are in a position to secure employment and their various qualification.
0 advanced level 76 51. 0 Total 150 98. 0 Missing System 1 2. 0 Total 151 100. 0 The table 7 above shows the analysis of the skills which the respondents possessed in their areas of study which are relevant in the job market. 0 Table 8 above shows analysis of the field of specialization competency of the respondents. This analysis was aimed to view how best the respondents were best suited for the market. It is worth noting that job skills and competency which a person possess is important in evaluating their job skills match level. A frequency of 52% of the total respondents indicated that they were quick learners. This means that they are in a position to learn new ways in the job sector and take short time to adapt to changes in the job market.
A frequency of 49% of the total respondents sampled for study indicated that they preferred to work in the skills which they had studied for in the university. These respondents had preferences for specific jobs in the market and could not opt for other jobs which they were not trained for the same during their study in the university. Specific job preference is usually low when it comes to young graduates since the fresh graduates have the anxiety to take up any form of jobs in the job market immediately after they graduate. When analysis is made between those who have specific job preference and those who do not have, the latter are usually higher when compared to the ones with job preferences.
The bar chart above shows a graphical representation of the skills which the respondents possessed with respect to various fields of specialization. The responses have been categorized into two cases whereby the responses are either yes or no when it comes to job preferences. The graphical representation shows that majority of the respondents have no job preferences and they can work anywhere without much emphasis on nature of job. However it is worth to note that there was also a significant number of respondents who said that they have job preferences. This analysis is good to measure the extent to which the young graduates from universities in the advanced economies are in a position to secure jobs when they have job preferences or otherwise.
As it can be clearly observed, the young graduates who are very fresh in the job market do not have job preferences since their anxiety is very high to secure jobs at the existing wages in the market. Based on the characteristics of the human capital theory which include skills, knowledge and motivation, it is clear from the findings that the young graduates have invested well in human capital. Majority graduate with first class and second class an indication that they have the necessary skills. The findings show that they are in possession of innovation skills and quick learning skills and this is an evidence that they invest in human capital. These provides a good basis to the argument that these people are best suited for job market.
The unitarism model theory shows that employees are viewed as psychological agents who have the ability to rationally think. This theory further shows that the labor market is imperfect and left on its own it will be difficult to attain equilibrium. Therefore we can effectively employ the models to facilitate the rate of absorption into the job market among the young graduates. The model of critical theory shows that the employers are owners and controllers of factors of production and therefore they have the power. On the other hand it is the employees who control the input of labor they put in the market. This brings the conflicting interests between the groups and therefore there is the need to have the models to address these issues well.
1 Summary of study The main objective of the study was to determine the effectiveness of the models used in advanced economies in the field of employment of young graduates from the universities. The study focused on advanced economies like United Kingdom, United States of America and Germany among other many nations in the European Union. The research was also assisted by specific objectives which include: i)To investigate the impact of unitarism model in solving the challenge of job mismatch among the young graduates from the universities ii)To determine how the pluralist model solve the issue of labor market imperfection iii)To establish the relationship between mainstream economic model and rate of absorption of young graduates to the job market iv)To identify the impact of critical industrial model of employment on the socio-politico-economic systems.
The research work also employed descriptive design in data collection and analysis of the collected data. Primary data was collected for analysis and getting the findings. It was further concluded that majority of the young graduates have the competency which is needed in the various job markets. These skills include being quick learners and innovative in nature. Possession of these competencies should be an added advantage for the young graduates towards gaining entry in the jobs of their interests. These skills coupled with excellence performance should be a recipe for acquisition of good jobs. Therefore the models should be applied to ensure that the students who possess this combination of skills and qualification get entry into the best jobs which they need.
As it is seen in the discussions section, there is a large number of young graduates who graduate annually, then their effective absorption will cure the problem of labor imperfection. The demographic composition has witnessed in the descriptive statistics reveals that there is higher levels of equality in the market and this leads to uniformity between the two genders. The composition of gender alongside several dimensions makes it possible for the industries to have wide variety of graduates to choose from whom to accept into their organizations. Those nations which apply these models of employment will have lower levels of unemployment of the young graduates from the universities. It can further be noted that nations which adopt these models tend to have smooth transition from education to work hence there is no backlog of employees.
The advanced economies should collectively apply the models of employment and allow mobility of labour from one nation to another since the exchange of labour will create a very good relationships hence promoting the regional economic growth in those areas. The provisions of the international labor organization should be taken care of to ensure that young graduates from the universities are not mistreated in the labour force and they are paid amount equal to their marginal productivity in the organization they are working. Adoption of the models will favor employment sector positively. REFERENCES Ackers, P. Reframing employment relations: the case for neo‐pluralism. H. , & Blavy, M. R. Youth unemployment in advanced economies in Europe: searching for solutions. International Monetary Fund. The dynamics of employee relations.
Palgrave Macmillan. Crouch, C. , Finegold, D. , & Sako, M. 5 billion people (Vol. Greater Los Angeles: McKinsey Global Institute. Edwards, R. , Garonna, P. , & Ryan, P. The International Journal of Human Resource Management, 17(7), 1190-1208. Guest, D. E. Human resource management and industrial relations . Journal of management Studies, 24(5), 503-521. A. , Butt, F. , Domki, A. A. , Khawaja, H. K. Rate control for communication networks: shadow prices, proportional fairness and stability. Journal of the Operational Research society, 49(3), 237-252. Lepak, D. P. Managing the employment relationship in the smaller firm: Possibilities for human resource management. International Small Business Journal, 11(4), 57-64. McDowell, L. The trouble with men? Young people, gender transformations and the crisis of masculinity. International Journal of Urban and Regional Research, 24(1), 201-209. The incidence of temporary employment in advanced economies: why is Spain different?.
From $10 to earn access
Only on Studyloop