The complex equation of education, job security, and corporate scale: an empirical analysis of South Korean youth

Abstract

We examine the relationship among education, job security and corporate scale in South Korea, extending previous research focused on wages and using Linear Provability Model and the Conditional Expectation Correction Method to address potential endogeneity issues. Key findings challenge conventional assumptions about higher education in the Korean labour market. Notably, vocational high school education shows a positive impact on employment in large firms, while higher education does not necessarily lead to improved job security or employment in large corporations. We also find no significant advantage for males over females in job quality when controlling for work experience. The study also reveals regional variations in employment outcomes, particularly in terms of working for large corporations. These results have important implications for education policy and career guidance for young people in Korea, suggesting a need to re-evaluate the emphasis on university education and consider the potential benefits of vocational education.