AN ANALYSIS OF SKILLS-JOB MISMATCH IN SINGAPORE

Abstract

This thesis examines the issue of skills-job mismatch of graduates (in general disciplines) observed in Singapore. The controversy between the human capital augmentation view and the credentialling view takes centre stage in this thesis. The implications on the causes of mismatch, the relevance of the two views on schooling and the effects on job satisfaction and incentives to quit are discussed in intensity through simple linear regressions. Results are generally in favour of the Human Capital Theory, though some tests ratify the validity of the Signalling Hypothesis. The author therefore suggests the dual functions of schooling, for both human capital enrichment and credentialling purposes. The implications on policy-making may be somewhat obscure, given the possible existence of both theories. However, from results, bestowing more attention to human resource planning seem to be substantive, since the exactitude in forecasting and planning may affect the level of mismatch. Designing an unblemished policy may be infeasible in reality. However, the importance in certain theories and certain causes of mismatch over others may possibly highlight certain policies to mitigate the level of mismatch and fortify resource allocation in Singapore.