Summary
This study aims to explore whether the demand for skills in the labor market can be analyzed using job advertisement data, which can be represented as real-time labor market information. The job advertisement data was retrieved from Saramin, a representative source of the private sector job postings, and WorkNet, a representative of public sector job postings. The accessibility and usability of real-time labor market information have been confirmed through LDA analysis and keyword network analysis. A collaboration model of industry, academia, research, and government is proposed for future data accumulation and analysis.
▸Keywords: real-time labor market information, job advertisement, big data, Latent Dirichlet Allocation (LDA) analysis, network analysis
Ⅰ. Background and Purpose of Research
□ Necessity for Research
◦ When establishing economic policies, it is critical to gain an accurate understanding of the conditions of the labor market.
- In particular, understanding the dynamics of the labor market, including the need for technology, is essential when making investment decisions in education and training and therefore requires reliable information on the labor market.
◦ Generally, labor market information is gathered through large-scale surveys and it takes time to conduct these surveys and interpret the findings.
- Because the surveys use data from a particular point in time, they cannot be said to precisely show the current labor market.
◦ It is important to reflect the skills needed according to the companies' point of view, the demand side of the labor market.
- It is often pointed out that the current education system has not been able to keep up with the demands of the industries as the education system does not possess on-the-job technology. Therefore, it is necessary to identify the skills required to resolve the mismatch between supply and demand in terms of human
Analysis of Skill Demand Using Real-Time Labor Market Information
▸Lead Researcher: Kwang Pyo Hong, Associate Research Fellow Tel: 044-415-5264 / e-mail:[email protected]
resources.
□ Purpose of Research
◦ Using representative job advertisement data as real-time labor market information, as adopted by developed Western countries, this study explores whether skills demand analysis using real-time labor market information is possible in Korea as well.
Ⅱ. Main Research Contents
1. Research Contents
□ Literature Research
◦ Understanding the characteristics of information from the traditional labor market and the real-time labor market
- Understanding the pros and cons of conventional labor market information - Understanding the pros and cons of real-time labor market information
◦ Understanding domestic and overseas status using real-time labor market information
- Identifying developed Western country cases using real-time labor market information
- Identifying domestic cases using real-time labor market information
□ Real-time labor market information collection and analysis
◦ Real-time labor market information collection
- Using representative job advertisements as real-time labor market information - Information gathered through Open API from Saramin (private sector operated)
and WorkNet (public sector managed)
◦ Analysis using big data methodology
- Topic modeling using Latent Dirichlet Allocation (LDA)
- Network analysis of the relationships of skills retrieved from job advertisements
2. Research Results
□ Characteristics of traditional labor market information and real-time labor market information
◦ Characteristics of traditional labor market information
- While surveys can provide a great deal of information, the data collection process is time-consuming and result announcements are inevitably time-constrained.
- The contents may vary depending on geographic details.
- Most tend to provide reliable national data; however, regional information is limited for statistical reasons as it is based on sampling data.
◦ Characteristics of real-time labor market information
- It allows the collection and provision of details on trends and an index of the labor market of concern at present, using both text and numerical information in job advertisements.
- It may not be possible for all job vacancies to be revealed as market demand.
- Information bias may occur depending on the specific job group or level of education.
◦ Real-time labor market information can effectively compensate for the shortcomings of conventional information in the labor market.
□ Analysis of domestic and overseas cases which uses real-time labor market information
◦ Overseas Cases
- In Europe, Cedefop's project, “'Real-time Labour Market Information on Skill Requirements: Setting up the EU System for Online Vacancy Analysis (2017-2020),” aims to understand changing technological demand and job requirements using data retrieved from online job portals.
- Pittsburgh's workforce supply and demand forecasts in the United States, as well as those of Pennsylvania, Florida, New Jersey, Michigan, New York, and Missouri, use real-time labor market information adapted to their local conditions.
- Australia's Department of Employment Skills Small and Family Business is mapping job transitions to provide better labor market modeling and to inform Australian workers facing career transition decisions with skills information obtained from big data sources.
◦ Domestic Cases
- Domestically, attempts have been made to use job postings and to understand labor demand through network analysis and big data analysis techniques such as word clouds as well as to identify qualifications and duties for particular occupations.
□ Collection and analysis of domestic real-time labor market information
◦ Collection of real-time labor market information through Open API
- Saramin, representing the private sector source, and WorkNet, representing the public sector source, allows data collection through Open API with the information provided by data creators. Information on hiring companies (scale, industry, region, etc.) and information on job openings (occupation, work type, job content, salary, etc.) and requirements (education, career experience, etc.) can be obtained.
◦ Analysis of skill demand using real-time labor market information
- Analysis of job postings in the information and communication technology sector from January 1, 2018 to June 30, 2019
- To examine whether duties required in the actual labor market, job classification, and key requirements can be identified through each job posting, Latent Dirichlet Allocation (LDA) method was used for analysis and ten topics were extracted.
- Identified the characteristics and structure of the skill-to-skill network by performing a network analysis of the relationships formed among the skills found in job advertisements.
Ⅲ. Policy Recommendation
□ Policy Implications
◦ Using data on job advertisements, which represents real-time information in the labor market, the study found it was possible to analyze the demands of industries and industry-related technologies.
- Continuous real-time analysis is required but analyses are mostly performed once, as real-time analysis involves high set-up costs and maintenance costs.
- The classification system of occupations or duties used in job advertisements may vary from the classification system used in official statistics of the nation, so research or technological supplementation to improve the consistency of linkage is required as well to make use of real-time labor market information.
□ Future Improvement Plans
◦ Korea Research Institute for Vocational Education and Training (KRIVET) could consider building an information integration and analysis system to make use of real-time labor market information.
- Directly build a system that collects and analyzes data through the use of Open API or through MOU with relevant information sources
- Prepare to store data in hardware and build a system to analyze ontology-based big data in the analysis phase
◦ Given the late launch compared to developed Western countries, collaboration with industry, academia, research, and government might also be considered.
- Through MOUs, etc. with relevant information sources, building a system to collect data and collaborating with universities to perform analysis might also be considered
◦ Considering additional research methods which recognize information consumers - In the education sector, it is possible to create a curriculum that reflects the
market demand and design a converged course; in the training market, training courses and demands can be derived and local governments may use them to develop regional curricula or training courses.
∙ Relevant Ministries: Ministry of Education, Ministry of Employment and Labor
