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How Does the First Job Matter for an Individual’s Career Life in Japan?

Author

Listed:
  • Hamaaki, Junya
  • Hori, Masahiro
  • Maeda, Saeko
  • Murata, Keiko

Abstract

Exploiting annual career records of female workers constructed from the Japanese Panel Survey of Consumers (JPSC), this paper examines how the first job matters for an individual’s future job career. Using the regional unemployment rate in the year of graduation as an instrument for the first job status (i.e., regular job or not), we confirm that an individual’s first job status matters significantly for the future job status even for female workers in Japan, although the effect gradually declines over the years and effectively disappears within around ten years from graduation. However, the observed first job effect appears to depend on the post-graduation career path taken by an individual, in the sense that someone who was unsuccessful during the first job hunt at the time of graduation can make up for the negative effect if she is lucky enough to secure a job as a regular employee within a reasonable time period.

Suggested Citation

  • Hamaaki, Junya & Hori, Masahiro & Maeda, Saeko & Murata, Keiko, 2011. "How Does the First Job Matter for an Individual’s Career Life in Japan?," CIS Discussion paper series 516, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.
  • Handle: RePEc:hit:cisdps:516
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    References listed on IDEAS

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    11. Hamaaki, Junya & Hori, Masahiro & Maeda, Saeko & Murata, Keiko, 2013. "How does the first job matter for an individual’s career life in Japan?," Journal of the Japanese and International Economies, Elsevier, vol. 29(C), pages 154-169.
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    Cited by:

    1. Hiroshi Teruyama & Hiroyuki Toda, 2017. "Polarization and Persistence in the Japanese Labor Market," KIER Working Papers 957, Kyoto University, Institute of Economic Research.
    2. Chiang, Hui-Yu & Ohtake, Fumio, 2014. "Performance-pay and the gender wage gap in Japan," Journal of the Japanese and International Economies, Elsevier, vol. 34(C), pages 71-88.
    3. Hamaaki, Junya & Hori, Masahiro & Maeda, Saeko & Murata, Keiko, 2013. "How does the first job matter for an individual’s career life in Japan?," Journal of the Japanese and International Economies, Elsevier, vol. 29(C), pages 154-169.
    4. Ayako Kondo, 2024. "Scars of the job market “ice-age”," Social Science Japan Journal, University of Tokyo and Oxford University Press, vol. 27(2), pages 133-148.
    5. Okamura, Kazuaki & Islam, Nizamul, 2021. "Multinomial employment dynamics with state dependence and heterogeneity: Evidence from Japan," Economic Modelling, Elsevier, vol. 101(C).
    6. Takayama, Noriyuki & Shiraishi, Kousuke, 2012. "Does a Bad Start Lead to a Bad Finish in Japan?," CIS Discussion paper series 547, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.
    7. Fumihiko SUGA, 2017. "The Returns to Postgraduate Education," ESRI Discussion paper series 336, Economic and Social Research Institute (ESRI).
    8. Fujii, Mayu & Shiraishi, Kousuke & Takayama, Noriyuki, 2013. "The Determinants and Effects of Early Job Separation in Japan," CIS Discussion paper series 590, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.
    9. Jess Diamond, 2018. "Employment Status Persistence in the Japanese Labour Market," The Japanese Economic Review, Springer, vol. 69(1), pages 69-100, March.
    10. Fumihiko Suga, 2020. "The returns to postgraduate education in Japan," The Japanese Economic Review, Springer, vol. 71(4), pages 571-596, October.
    11. Fujii, Mayu & Shiraishi, Kousuke & Takayama, Noriyuki, 2018. "The effects of early job separation on later life outcomes," Journal of the Japanese and International Economies, Elsevier, vol. 48(C), pages 68-84.

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    More about this item

    Keywords

    youth labor market; initial labor market conditions; cost of recessions; Japan;
    All these keywords.

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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