Did COVID-19 Deteriorate Mismatch in the Japanese Labor Market?

Yudai Higashi and Masaru Sasaki
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Yudai Higashi: Faculty of Economics, Kyoto Sangyo University and Research Institute for Economics & Business Administration, Kobe University, JAPAN
Masaru Sasaki: Graduate School of Economics, Osaka University, JAPAN and Institute of Labor Economics (IZA), GERMANY

No DP2024-29, Discussion Paper Series from Research Institute for Economics & Business Administration, Kobe University

Abstract: This study examines how the COVID-19 pandemic deteriorated the occupational mismatch between job seekers and vacancies in the Japanese labor market. We particularly investigate how occupational vulnerability and labor market segmentation by employment type (full-time versus part-time) affected mismatch dynamics during the pandemic. We estimate the mismatch indices across occupations by vulnerability and employment type using the method developed by Şahin et al. (2014). We find that the pandemic induced mismatch across occupations with a high risk ofinfection and occupations in which it is easy to work remotely for both full- and part-time workers. Furthermore, mismatch across occupations in which it is particularly difficult to work remotely increased for full-time workers.

Keywords: Mismatch; O-NET data; COVID-19; Labor market tightness (search for similar items in EconPapers)
JEL-codes: J61 J62 J63 (search for similar items in EconPapers)
Pages: 72 pages
Date: 2024-08, Revised 2025-10
New Economics Papers: this item is included in nep-lab
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https://www.rieb.kobe-u.ac.jp/academic/ra/dp/English/DP2024-29.pdf Revised version, 2025 (application/pdf)

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