Job–education mismatch and wage penalties

This paper examines education–job mismatch and wage differences among graduates in educational science and teacher education in Vietnam. We analyse wage effects of field-of-study mismatch and full mismatch, defined as the joint occurrence of overeducation and field mismatch. Contrary to much existing evidence, field-of-study mismatch is associated with a wage premium, particularly among women, older workers, and private-sector workers. For some graduates, working outside education yields higher earnings than remaining in teaching-related jobs. In contrast, full mismatch is consistently linked to wage penalties, with larger disadvantages for younger graduates, women, private-sector employees, and rural workers. The findings point to a clear paradox: teaching retains social prestige, yet low pay may weaken retention and encourage graduates to leave the sector.