Lost in Translation: Gender Gap in Education–Occupation Mismatch among Highly Educated Workers

Abstract

Despite tremendous advancements women have made in higher education, gender inequality has persisted in the labor market, even among college graduates. The present study seeks to understand such paradoxical trends by investigating an underexplored source of gender inequality among highly-educated workers—how educational credentials translate into labor market positions. We operationalize this translational process as education–occupation mismatch, evaluating different dimensions of mismatch (vertical and horizontal) along the occupational allocation and mobility processes. Using longitudinal data from the Survey of Income and Program Participation as well as the National Longitudinal Study of Youth, we find marked gender differences in the incidence and persistence of mismatch and identify heterogeneity by the dimension of mismatch and moderating factors. Specifically, college-educated women were disproportionately more likely to take mismatched occupational positions below their educational level (vertical mismatch) and outside their field of study with lower wages (horizontal undermatch) compared to their peers who are men; meanwhile, they were less likely to secure high-paying positions outside their field of study (horizontal overmatch). Notably, once mismatched, college-educated women tended to remain in such positions longer than their counterparts who are men. The elevated risk of mismatch was primarily faced by married women and mothers. Graduating with advanced degrees or from selective institutions alleviated the gender gap in vertical mismatch, whereas STEM degrees played a nuanced moderating role. Overall, this study pinpoints education–occupation mismatch as an important process that reproduces gender inequality among the growing and increasingly diverse highly-educated workforce.