Publication: Navigating Labor Market Challenges with a Focus on Youth and Women’s Employment: Labor Supply Analysis for Mongolia
Loading...
Date
2024-07-02
ISSN
Published
2024-07-02
Author(s)
Editor(s)
Abstract
Mongolia’s working age population is young, educated, and predominantly urban - creating a pool of well-educated young people living in urban centers. But Mongolia struggles to utilize its human resources in an effective and inclusive way. Labor force participation and employment rates are low and declining, while unemployment, including long-term unemployment, is high. Those who work often work excessively long hours. The share of the working age population with tertiary education is high - and compares well with that of high-income countries - but returns to tertiary (and upper secondary) education have declined in recent years. Women with tertiary degrees outnumber men, but the gender gap in labor force participation remains high and women are also still underrepresented in the higher-paying science and engineering fields. School-to-work transitions are slow, resulting in large numbers of graduates, especially better educated women, who are NEET (not in employment, education or training). Growth in real wages is considerable but lags the gains in labor productivity. Disparities exist by gender, age, education, and location, making certain groups, including women and youth, particularly vulnerable to labor market inequities. With the old-age dependency ratio set to rise in the 2040s, Mongolia's demographic window will soon be closing. To promote economic growth and harness its demographic dividend, it will be critical for Mongolia to better utilize available labor resources through increased employment, reduced labor market disparities, and higher productivity.
Link to Data Set
Citation
“Avdeenko, Alexandra; Fraikin, Anne-Lore; Gruen,, Carola; Millan, Natalia. 2024. Navigating Labor Market Challenges with a Focus on Youth and Women’s Employment: Labor Supply Analysis for Mongolia. Jobs Working Paper; Issue No. 81. © World Bank. http://hdl.handle.net/10986/41811 License: CC BY 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Navigating Labor Market Challenges with a Focus on Youth and Women’s Employment(Washington, DC: World Bank, 2024-07-25)Mongolia’s working age population is young, educated, and predominantly urban – creating a pool of well-educated young people living in urban centers. But Mongolia struggles to utilize its human resources in an effective and inclusive way. Labor force participation and employment rates are low and declining, while unemployment, including long-term unemployment, is high. Those who work often work excessively long hours. The share of the working age population with tertiary education is high – and compares well with that of high-income countries – but returns to tertiary (and upper secondary) education have declined in recent years. Women with tertiary degrees outnumber men, but the gender gap in labor force participation remains high and women are also still underrepresented in the higher-paying science and engineering fields. School-to-work transitions are slow, resulting in large numbers of graduates, especially better educated women, who are NEET (not in employment, education or training). Growth in real wages is considerable but lags the gains in labor productivity. Disparities exist by gender, age, education, and location, making certain groups, including women and youth, particularly vulnerable to labor market inequities. With the old-age dependency ratio set to rise in the 2040s, Mongolia's demographic window will soon be closing. To promote economic growth and harness its demographic dividend, it will be critical for Mongolia to better utilize available labor resources through increased employment, reduced labor market disparities, and higher productivity.Publication Portraits of Labor Market Exclusion(Washington, DC: World Bank, 2014-08)The financial crisis that hit the global market in the middle of 2008 gave way to the sharpest contraction of the European economies since the Great Depression. In 2009 the economic output in the countries of the European Union shrank 4.5 percent, the largest reduction in GDP since its creation. Since then, the economies have slowly recovered, but unemployment has continued to rise, reaching 11 percent in 2013, up from 7.1 percent in 2008. The economy of the European Union shrank 4.5 percent, the largest reduction in its GDP since the Union s creation. Furthermore, for the European Union as a whole, long-term unemployment among 15- to 64-year-olds has increased from 37.2 percent in 2008 to 47.5 percent of total unemployment in 2013. In several countries more than half of those unemployed are long-term unemployed, that is, they have been looking for jobs for more than 12 months. In Greece and Bulgaria the share of long-term unemployed in 2013 was 67.5 percent and 57.3 percent, respectively. Youth unemployment, on the other hand, has increased almost 8 percent since 2008, reaching 23.3 percent in 2013 in the EU-28 countries. In Bulgaria, Romania and Hungary, around a fourth of 15- to 24-year-olds are unemployed; in Greece close to 60 percent of youth were unemployed in 2013. Long spells of unemployment expose individuals to impoverishment. They can also lead to deterioration of skills and detachment from the labor market. Youth unemployment is particularly concerning as it risks damaging longer-term employment prospects for young people, leading them to face higher risks of exclusion and poverty. Youth unemployment also has growth implications as a generation of educated and productive people are not working at their potential. Finally, very high levels of youth unemployment for long periods of time can become a threat to social stability.Publication Good Jobs in Turkey(World Bank, Washington, DC, 2013-11)This joint study, by the World Bank and the Turkish Ministry of Development, explores the status and effects of good jobs in Turkey s current economy. After a brief account of economic events, it examines the relationship between growth and employment in Turkey, with a particular regard to the participation of different social groups in the labor market, such as women and youth. It then analyzes where jobs are being created and which activities are the most productive for the Turkish economy, and assesses if jobs have moved to more productive activities in recent years. Finally, the report proceeds to measure the impact of different types of jobs on the welfare of an entire household and on the household s relative position in the overall income distribution.Publication Soft Skills or Hard Cash? The Impact of Training and Wage Subsidy Programs on Female Youth Employment in Jordan(World Bank, Washington, DC, 2012-07)Throughout the Middle East, unemployment rates of educated youth have been persistently high and female labor force participation, low. This paper studies the impact of a randomized experiment in Jordan designed to assist female community college graduates find employment. One randomly chosen group of graduates was given a voucher that would pay an employer a subsidy equivalent to the minimum wage for up to 6 months if they hired the graduate; a second group was invited to attend 45 hours of employability skills training designed to provide them with the soft skills employers say graduates often lack; a third group was offered both interventions; and the fourth group forms the control group. The analysis finds that the job voucher led to a 40 percentage point increase in employment in the short-run, but that most of this employment is not formal, and that the average effect is much smaller and no longer statistically significant 4 months after the voucher period has ended. The voucher does appear to have persistent impacts outside the capital, where it almost doubles the employment rate of graduates, but this appears likely to largely reflect displacement effects. Soft-skills training has no average impact on employment, although again there is a weakly significant impact outside the capital. The authors elicit the expectations of academics and development professionals to demonstrate that these findings are novel and unexpected. The results suggest that wage subsidies can help increase employment in the short term, but are not a panacea for the problems of high urban female youth unemployment.Publication India : Women, Work and Employment(Washington, DC, 2014-02-26)Since economic liberalization in the early 1990s, India has experienced high economic growth and made considerable progress in gender equality in areas such as primary education. However, it fared poorly on gender-parity in labor force participation (LFP). During the period between 1993-94 and 2011-12, female labor force participation rate (LFPR) remained consistently low as compared to male participation. More alarming is the fact that female participation rate declined steadily during the same period, particularly in rural areas. The low level along with declining trend in rural female LFP poses a serious threat of 'missing gender' in the labor force. Although economic growth added jobs for both men and women in India till 2005, Indian women lost jobs in the next seven years, while men continued to gain, thereby widening the gender gap. The actual figures in 2012 suggest that approximately 35 to 40 million women are 'missing' from the labor force, had female LFP grown at the same rate as it had between 1999 and 2005.1 This represents a troubling trend considering the potential of these women to contribute to the country's productivity. To better understand the existing situation, this report investigates gender and female labor force dynamics by drawing mostly on data from five rounds of the National Sample Survey, India, between 1993-94 and 2011-12. Key findings from the study are grouped below in three sections. First section describes the dynamics of female LFP looking at its evolution in previous two decades. The next section presents the drivers of low level of female participation and its declining trend. The last section proposes possible areas of action.
Users also downloaded
Showing related downloaded files
Publication Global Economic Prospects, January 2025(Washington, DC: World Bank, 2025-01-16)Global growth is expected to hold steady at 2.7 percent in 2025-26. However, the global economy appears to be settling at a low growth rate that will be insufficient to foster sustained economic development—with the possibility of further headwinds from heightened policy uncertainty and adverse trade policy shifts, geopolitical tensions, persistent inflation, and climate-related natural disasters. Against this backdrop, emerging market and developing economies are set to enter the second quarter of the twenty-first century with per capita incomes on a trajectory that implies substantially slower catch-up toward advanced-economy living standards than they previously experienced. Without course corrections, most low-income countries are unlikely to graduate to middle-income status by the middle of the century. Policy action at both global and national levels is needed to foster a more favorable external environment, enhance macroeconomic stability, reduce structural constraints, address the effects of climate change, and thus accelerate long-term growth and development.Publication Supporting Youth at Risk(World Bank, Washington, DC, 2008)The World Bank has produced this policy Toolkit in response to a growing demand from our government clients and partners for advice on how to create and implement effective policies for at-risk youth. The author has highlighted 22 policies (six core policies, nine promising policies, and seven general policies) that have been effective in addressing the following five key risk areas for young people around the world: (i) youth unemployment, underemployment, and lack of formal sector employment; (ii) early school leaving; (iii) risky sexual behavior leading to early childbearing and HIV/AIDS; (iv) crime and violence; and (v) substance abuse. The objective of this Toolkit is to serve as a practical guide for policy makers in middle-income countries as well as professionals working within the area of youth development on how to develop and implement an effective policy portfolio to foster healthy and positive youth development.Publication Commodity Markets Outlook, October 2024(Washington, DC: World Bank, 2024-10-29)Commodity prices are expected to decrease by 5 percent in 2025 and 2 percent in 2026. The projected declines are led by oil prices but tempered by price increases for natural gas and a stable outlook for metals and agricultural raw materials. The possibility of escalating conflict in the Middle East represents a substantial near-term upside risk to energy prices, with potential knock-on consequences for other commodities. However, over the forecast horizon, longer-term dynamics—including decelerating global oil demand, diversifying oil production, and ample oil supply capacity—suggest sizable downside risks to oil prices, especially if OPEC+ unwinds its latest production cuts. There are also dual risks to industrial commodity demand stemming from economic activity. On the one hand, concerted stimulus in China and above-trend growth in the United States could push commodity prices higher. On the other, weaker-than-anticipated global industrial activity could dampen them. Following several overlapping global shocks in the early 2020s, which drove parallel swings in commodity prices, commodity markets appear to be departing from a period of tight synchronization. A Special Focus analyzes commodity price synchronization over time and considers the relative importance across commodity cycles of a wide range of demand and supply shocks, including global demand shocks and shocks specific to different commodity markets. It concludes that, while supply shocks were the dominant commodity price driver in the early 2000s and around the global financial crisis, post-pandemic price movements have been more substantially shaped by commodity-specific shocks, such as those related to conflicts.Publication World Bank Annual Report 2024(Washington, DC: World Bank, 2024-10-25)This annual report, which covers the period from July 1, 2023, to June 30, 2024, has been prepared by the Executive Directors of both the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA)—collectively known as the World Bank—in accordance with the respective bylaws of the two institutions. Ajay Banga, President of the World Bank Group and Chairman of the Board of Executive Directors, has submitted this report, together with the accompanying administrative budgets and audited financial statements, to the Board of Governors.Publication Europe and Central Asia Economic Update, Fall 2024: Better Education for Stronger Growth(Washington, DC: World Bank, 2024-10-17)Economic growth in Europe and Central Asia (ECA) is likely to moderate from 3.5 percent in 2023 to 3.3 percent this year. This is significantly weaker than the 4.1 percent average growth in 2000-19. Growth this year is driven by expansionary fiscal policies and strong private consumption. External demand is less favorable because of weak economic expansion in major trading partners, like the European Union. Growth is likely to slow further in 2025, mostly because of the easing of expansion in the Russian Federation and Turkiye. This Europe and Central Asia Economic Update calls for a major overhaul of education systems across the region, particularly higher education, to unleash the talent needed to reinvigorate growth and boost convergence with high-income countries. Universities in the region suffer from poor management, outdated curricula, and inadequate funding and infrastructure. A mismatch between graduates' skills and the skills employers are seeking leads to wasted potential and contributes to the region's brain drain. Reversing the decline in the quality of education will require prioritizing improvements in teacher training, updated curricula, and investment in educational infrastructure. In higher education, reforms are needed to consolidate university systems, integrate them with research centers, and provide reskilling opportunities for adult workers.