Labor Force Segmentation
By: Fay Walther |
"Work Experiences
of Wyoming's Youth" by Carol Toups, Research by Lee Saathoff, in
Wyoming Labor Force Trends, July 1997,
vol.34 No.7.
This article illustrates the concept of labor market segmentation by age,
specifically ages sixteen (16) to twenty (20). The author examined
employment by these youth and stated, " the largest group of young
people (6,997 or 32.2%) are employed in the lowest paying jobs. Retail
Trade
is first with 6,997 or 32.2 percent, and in second place is
Services 3,712 or 17.1 percent." With regard to segmentation by
gender, the author points out that "a serious problem that becomes
apparent from our youth work experience study is that first employment
for many young women seems to set the trend for future expectations and
they do not always venture out of low paying Retail Trade and Services
industries." Males may expand the variety of industries in which
they find employment over time.
Additional Resources and References ( from previous article):
Several publications are referenced in the previous article which may
be of assistance to teachers and career counselors dealing with youth,
especially females who may need advice on occupations outside Retail
Trade or Services. Wyoming Career Explorer is specifically
designed for high school junior and senior students, and it contains
up-to-date information on wages, educational requirements for selected
careers, and programs of study offered in Wyoming.
Wyoming Career Trails is designed for post high school
individuals and includes information on high-technology job searches
using the Internet, occupations which are expected to grow, and the
financial benefits of changing jobs for some individuals. The
publication Where Are The Jobs? What Do They Pay?
contains wages and employment for each of Wyoming's counties.
Together these publications may offer assistance to youth who want to
explore several occupations or industries.
"The Relation
of Age and Gender to Employment in Wyoming: Part One" by Brett
Judd and Gregg Detweiler in Wyoming Labor
Force Trends, May 1996.
The concept of segmentation of the labor market by gender and age is
illustrated in this article. It " focuses on gender as a
discriminating factor." The difference between males and females
average weekly wage is substantial, with males earning $528 and females
$270. This difference is $258 per week. The authors described an
important trend for this labor segment: "in every industry, males
make more than females." This research on labor market
segmentation was expanded in a subsequent study in June 1996 which is
described below.
"The Relation of
Age & Gender to Employment: Part Two" by Gregg Detweiler
and Brett Judd.
"Gender,
Tenure and Wages" by Mary Beth O'Loughlin,
Wyoming Labor Force
Trends, August 1997. An important conclusion related wages and wages increases to age:
" the 19-25 years age category may be an indicator of the future
where the gaps are smaller or altogether nonexistent." This
statement about the future may illustrate the importance of additional
research on labor market segmentation for young adults ages 19 to 25.
It can also be combined with the previous research on segmentation by
youth ages 16 to 20. These studies illustrate the importance of
research on the segmentation of the labor market by age and gender.
Conclusion:
This article also focused on wage distributions by gender. Two important
cautions in interpreting this data are that "no distinction is made
between full and part-time employees and there are no analyses of
occupations, education, or skill levels." Bearing these cautions
in mind, the authors state that "in every one of the industries,
the mean wage is higher for males than it is for females. There are
six industries in which the average weekly wage for males was
significantly higher than for females: depository industries;
nondepository industries, security and commodity brokers; insurance
carriers; health services, and legal services." The authors
emphasize the importance of studying this segment of the labor market:
"women are playing a larger role in today's workforce. In the
past 15 years, we have seen women in the Wyoming labor force grow
form 37.3% to 46.4%".
This article illustrated labor market outcomes for males and females.
O'Loughlin stated that "in all industries, for people with the
same tenure, starting wages and wage increases for females lag behind
males." This article illustrates the concept of labor market
segmentation by gender, and that some outcomes such as wages may vary
by gender. The author stressed an important caution in dealing with
this segment of the labor market: occupations and hours worked per
week was not available. With this caution in mind, females' average
wage increases were only about 60 percent those of males with equal
tenure. The largest discrepancy occurred after three years of tenure
when males average "44.1 percent higher than their starting wages
and females average 40.9 percent higher."
In conclusion, the concept of segmentation of the labor market is
illustrated by the previous research articles on age and gender:
there are important differences between population segments, males
and females, in their work experience and in their wage
distributions. These segments of the labor market are important
to understand in terms of their participation in the labor market
as females become a larger segment of the workforce. The concept
of segmentation is related to important labor market outcomes such
as wages as illustrated in the previous four articles.
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