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Classifying Occupations According to Their Skill Requirements in Job Advertisements

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  • Jyldyz Djumalieva
  • Antonio Lima
  • Cath Sleeman

Abstract

In this work, we propose a methodology for classifying occupations based on skill requirements provided in online job adverts. To develop the classification methodology, we apply semi-supervised machine learning techniques to a dataset of 37 million UK online job adverts collected by Burning Glass Technologies. The resulting occupational classification comprises four hierarchical layers: the first three layers relate to skill specialisation and group jobs that require similar types of skills. The fourth layer of the hierarchy is based on the offered salary and indicates skill level. The proposed classification will have the potential to enable measurement of an individual's career progression within the same skill domain, to recommend jobs to individuals based on their skills and to mitigate occupational misclassification issues. While we provide initial results and descriptions of occupational groups in the Burning Glass data, we believe that the main contribution of this work is the methodology for grouping jobs into occupations based on skills.

Suggested Citation

  • Jyldyz Djumalieva & Antonio Lima & Cath Sleeman, 2018. "Classifying Occupations According to Their Skill Requirements in Job Advertisements," Economic Statistics Centre of Excellence (ESCoE) Discussion Papers ESCoE DP-2018-04, Economic Statistics Centre of Excellence (ESCoE).
  • Handle: RePEc:nsr:escoed:escoe-dp-2018-04
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    References listed on IDEAS

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    1. David Deming & Lisa B. Kahn, 2018. "Skill Requirements across Firms and Labor Markets: Evidence from Job Postings for Professionals," Journal of Labor Economics, University of Chicago Press, vol. 36(S1), pages 337-369.
    2. Nikolaos Askitas & Klaus F. Zimmermann, 2015. "The internet as a data source for advancement in social sciences," International Journal of Manpower, Emerald Group Publishing Limited, vol. 36(1), pages 2-12, April.
    3. Grinis, Inna, 2017. "The STEM requirements of "non-STEM" jobs: evidence from UK online vacancy postings and implications for skills & knowledge shortages," LSE Research Online Documents on Economics 85123, London School of Economics and Political Science, LSE Library.
    4. Michele Belloni & Agar Brugiavini & Elena Maschi & Kea Tijdens, 2014. "Measurement error in occupational coding:an analysis on SHARE data," Working Papers 2014: 24, Department of Economics, University of Venice "Ca' Foscari".
    5. Hennig, Christian, 2007. "Cluster-wise assessment of cluster stability," Computational Statistics & Data Analysis, Elsevier, vol. 52(1), pages 258-271, September.
    6. Grinis, Inna, 2019. "The STEM requirements of “Non-STEM” jobs: Evidence from UK online vacancy postings," Economics of Education Review, Elsevier, vol. 70(C), pages 144-158.
    7. Lucia Kureková & Miroslav Beblavý & Anna Thum-Thysen, 2015. "Using online vacancies and web surveys to analyse the labour market: a methodological inquiry," IZA Journal of Labor Economics, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-20, December.
    8. Peter Elias & Margaret Birch, 2010. "SOC2010: revision of the Standard Occupational Classification," Economic & Labour Market Review, Palgrave Macmillan;Office for National Statistics, vol. 4(7), pages 48-55, July.
    9. Gweon Hyukjun & Schonlau Matthias & Steiner Stefan & Kaczmirek Lars & Blohm Michael, 2017. "Three Methods for Occupation Coding Based on Statistical Learning," Journal of Official Statistics, Sciendo, vol. 33(1), pages 101-122, March.
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    Citations

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    Cited by:

    1. Josten, Cecily & Lordan, Grace, 2022. "Automation and the Changing Nature of Work," IZA Discussion Papers 15180, Institute of Labor Economics (IZA).
    2. Ziqiao Ao & Gergely Horvath & Chunyuan Sheng & Yifan Song & Yutong Sun, 2022. "Skill requirements in job advertisements: A comparison of skill-categorization methods based on explanatory power in wage regressions," Papers 2207.12834, arXiv.org.
    3. Faryna, Oleksandr & Pham, Tho & Talavera, Oleksandr & Tsapin, Andriy, 2020. "Wage Setting and Unemployment: Evidence from Online Job Vacancy Data," GLO Discussion Paper Series 503, Global Labor Organization (GLO).
    4. Bogdan Walek & Ondrej Pektor, 2021. "Data Mining of Job Requirements in Online Job Advertisements Using Machine Learning and SDCA Logistic Regression," Mathematics, MDPI, vol. 9(19), pages 1-32, October.
    5. Alvin Vista, 2020. "Data-Driven Identification of Skills for the Future: 21st-Century Skills for the 21st-Century Workforce," SAGE Open, , vol. 10(2), pages 21582440209, April.
    6. Caglayan, Mustafa & Talavera, Oleksandr & Xiong, Lin, 2022. "Female small business owners in China: Discouraged, not discriminated," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 80(C).
    7. Jyldyz Djumalieva1 & Cath Sleeman, 2018. "An Open and Data-driven Taxonomy of Skills Extracted from Online Job Adverts," Economic Statistics Centre of Excellence (ESCoE) Discussion Papers ESCoE DP-2018-13, Economic Statistics Centre of Excellence (ESCoE).

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    More about this item

    Keywords

    labour demand; occupational classification; online job adverts; big data; machine learning; word embeddings;
    All these keywords.

    JEL classification:

    • C18 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Methodolical Issues: General
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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