2010 Studies in social security and health | 110 Miia Saarikallio-Torp and Jannecke Wiers-Jenssen, eds. Nordic students abroad Student mobility patterns, student support systems and labour market outcomes Studies in social security and health 110 Kela, Research Department | Helsinki 2010 Miia Saarikallio-Torp and Jannecke Wiers-Jenssen, eds. Nordic students abroad Student mobility patterns, student support systems and labour market outcomes Editors Miia Saarikallio-Torp, M.Sc. (Econ.) Researcher Kela, The Social Insurance Institution of Finland Research Department [email protected] Jannecke Wiers-Jenssen, PhD (Sociology) Research director NIFU STEP (Norwegian Institute for Studies in Innovation, Research and Education), Norway [email protected] The publications in this series have undergone a formal referee process. © Authors and Kela, Research Department Layout: Pekka Loiri ISBN 978-951-669-834-5 (print) ISBN 978-951-669-835-2 (pdf) ISSN 1238-5050 Printed by Vammalan Kirjapaino Oy Sastamala 2010 Nordic students abroad Abstract Saarikallio-Torp M, Wiers-Jenssen J, eds. Nordic students abroad. Student mobility patterns, student support systems and labour market outcomes. Helsinki: The Social Insurance Institution, Finland, Studies in social security and health 110, 2010. 151 p. ISBN 978-951-669-834-5 (print), 978-951-669-835-2 (pdf). The purpose of this study is to examine outgoing student mobility from the Nordic countries, with an emphasis on the professional value of studying abroad. The study gives new comparative and valuable information about student mobility and its outcomes. Among the key questions are the following: 1) Who are the Nordic mobile students? 2) Do the mobile students return to their home countries after graduation? 3) Do they find relevant employment? 4) Are they able to make use of their international skills? and 5) What role does the public student support system play in student mobility? The data used in the study is based on the Nordic Graduate Survey (NGS) conducted in Finland, Iceland, Norway and on the Faroe Islands in 2007. The data includes information about 6500 respondents, around 2600 of whom graduated abroad. In addition, the report includes information obtained from two separate data sets from Denmark. Although there are several similarities between mobile students from different Nordic countries, also disparities can be found. Mobile students are more likely than non-mobile students to have highly educated parents. In addition, they and/or their parents have prior experience of living abroad. The proportion that return to their home country after study abroad varies between the Nordic countries. Norway and Iceland have experienced the highest return rates. Public student support is the most important source for financing foreign study, even if the relative importance of grants and loans varies between the countries. Integration to the labour market seems to be somewhat more difficult for mobile students compared to non-mobile students. On the positive side, those who have studied abroad are more likely to hold international jobs – even if stationed in their home country. Key words: study abroad, academic degree, graduates, employment, labour market outcomes, employment abroad, student mobility Nordic students abroad Tiivistelmä Saarikallio-Torp M, Wiers-Jenssen J, toim. Pohjoismaiset opiskelijat ulkomailla. Opiskelijaliikkuvuus, opintotukijärjestelmät ja työmarkkinoille sijoittuminen. 2010. Helsinki: Kela, Sosiaali- ja terveysturvan tutkimuksia 110, 2010. 151 s. ISBN 978-951-669-834-5 (nid.), 978-951-669-835-2 (pdf). Tämän tutkimuksen tarkoitus on tarkastella ulkomailla korkeakoulututkintonsa suorittaneita pohjoismaalaisia ja heidän työmarkkinoille sijoittumistaan vertaamalla heitä kotimaassa korkeakoulututkinnon suorittaneisiin. Tutkimus tarjoaa arvokasta uutta tietoa opiskelijaliikkuvuudesta ja sen vaikutuksista. Keskeisimmät tutkimuskysymykset ovat: 1) Keitä ulkomailla opiskelevat pohjoismaalaiset ovat? 2) Palaavatko he takaisin kotimaahansa valmistumisensa jälkeen? 3) Löytävätkö he koulutusta vastaavaa työtä? 4) Pystyvätkö he hyödyntämään kansainvälistä osaamistaan työmarkkinoilla? 5) Minkälainen rooli opintotukijärjestelmällä on opiskelijaliikkuvuudessa? Tutkimuksessa käytetty kyselyaineisto perustuu Nordic Graduate Surveyyn (NGS), joka toteutettiin vuonna 2007 Suomessa, Islannissa, Norjassa ja Färsaarilla. Aineisto sisältää tietoa yhteensä 6 500 vastaajalta, joista 2 600 on suorittanut korkeakoulututkinnon ulkomailla. Tämän lisäksi tutkimuksessa on hyödynnetty kahta tanskalaista aineistoa. Vaikka ulkomailla korkeakoulututkinnon suorittaneiden välillä on yhtäläisyyksiä eri Pohjoismaissa, on maiden välillä myös eroja. Useammalla ulkomailla tutkinnon suorittaneella on korkeasti koulutetut vanhemmat kuin kotimaassa opiskelleella. Lisäksi heidän vanhempansa tai he itse olivat useammin asuneet ulkomailla jo ennen opiskelujen aloittamista kuin kotimaassa opiskelleet tai näiden vanhemmat. Niiden ulkomailla tutkinnon suorittaneiden osuus, jotka ovat palanneet valmistumisensa jälkeen takaisin kotimaahan, vaihtelee suuresti eri Pohjoismaissa. Osuudet ovat suurimmat Norjassa ja Islannissa. Julkinen opintotukijärjestelmä on tärkein ulkomaisten opintojen rahoitusmuoto, vaikkakin opintorahan ja -lainan suhteellinen osuus vaihtelee maittain. Ulkomailla tutkinnon suorittaneiden työmarkkinoille sijoittuminen näyttää olevan jonkin verran vaikeampaa kuin kotimaassa opiskelleiden. Ulkomailla tutkinnon suorittaneet työskentelevät useammin kansainvälisissä työtehtävissä kuin kotimaassa opiskelleet – myös kotimaassa asuessaan. Avainsanat: opiskelu ulkomailla, korkeakoulututkinnot, tutkinnon suorittaneet, työllistyminen, työhönsijoittuminen, työskentely ulkomailla, opiskelijaliikkuvuus Nordic students abroad Sammandrag Saarikallio-Torp M, Wiers-Jenssen J, red. Nordiska studerande i utlandet. Studentrörlighet, studiestödssystem och arbetsmarknadseffekter. 2010. Helsingfors: FPA, Social trygghet och hälsa: Undersökningar 110, 2010. 151 s. ISBN 978-951-669-834-5 (hft.), 978-951-669-835-2 (pdf). Syftet med den här studien är att jämföra nordiska högskolestuderande i utlandet med dem som har avlagt sin högskoleexamen i hemlandet. Således erbjuder den värdefull ny information om studentrörlighet och dess effekter. De centralaste forskningsfrågorna är: 1) Vilka är de nordiska studerandena i utlandet? 2) Återvänder de som har studerat i utlandet till hemlandet efter studierna? 3) Hittar de ett arbete som motsvarar utbildningen? 4) Kan de utnyttja sina internationella färdigheter på arbetsmarknaden? och 5) Hurudan roll har studiestödssystemet vad gäller studentrörligheten? Forskningsmaterialet grundar sig på Nordic Graduate Survey (NGS), som har genomförts i Finland, Island, Norge och på Färöarna år 2007. Materialet omfattar svar från sammanlagt cirka 6500 personer, av vilka cirka 2600 har avlagt sin högskoleexamen i utlandet. Ytterligare har man använt sig av materialet i två olika danska undersökningar. Även om det finns likheter mellan nordiska studerande som har studerat i utlandet, finns det också skillnader. De som har studerat utomlands har oftare högt utbildade föräldrar än de som har studerat i hemlandet. Dessutom har deras föräldrar eller de själva oftare bott i utlandet före utlandsstudierna. Andelen av dem som har återvänt till hemlandet efter studierna varierar mycket mellan de nordiska länderna och är högst i Norge och Island. Det offentliga studiestödssystemet spelar en viktig roll när man studerar utomlands. Studiestödet är den viktigaste finansieringskällan för de flesta studerande, även om den relativa betydelsen av stöd respektive lån varierar mellan länderna. Integreringen på arbetsmarknaden verkar i viss mån vara svårare för dem som har studerat utomlands jämfört med dem som har avlagt sin högskoleexamen i hemlandet. De som har studerat utomlands arbetar oftare med internationella uppgifter än de som har studerat i hemlandet – också när de bor i hemlandet. Nyckelord: studier utomlands, högskoleexamina, examinerade, sysselsättning, placering i arbetslivet, utlandsarbete, studentrörlighet Nordic students abroad PrefAce More than 50 000 students from the Nordic countries are studying abroad and they are granted more than 600 million euros each year to cover their expenses while studying abroad. Why do Nordic students study abroad? Who are they? Where do they study? What are they studying? Do they come back? And how do employers evaluate their education and skills? What kind of similarities and differences are there between the Nordic countries? These were among the issues that were discussed in a meeting between representatives from the Nordic institutions for student support and the administration of the Nordic Council of Ministers in 2003. The questions were discussed further at a Nordic conference in Kalmar in 2004. Knowledge in these fields has been scarce. A Swedish initiative was made to set up a working group in order to bring more knowledge to the field. The public student support institutions in all the Nordic countries and autonomous regions were invited by Centrala studiestödsnämnden (CSN, Swedish National Student Assistance Board) to take part in this group. Throughout the process the countries have participated in different ways. The process has consisted of three main stages. The first stage focused mainly on the extent and content of the support granted to studies abroad. The participating countries then were Finland, the Faroe Islands, Denmark, Iceland, Norway and Sweden. The issues were discussed from the perspectives of history and policy. This stage resulted in a joint report in 2006: Studiestöd för att studera utomlands – en nordisk model? (Student support for studies abroad – A Nordic model?). The second stage mainly focused on the individual experiences within each Nordic country. Four countries − Finland, Iceland, Norway and the Faroe Islands − carried out national surveys (Nordic Graduate Survey, NGS) based on a joint questionnaire addressing graduates and published each of their own country reports. Denmark made reports based on register data as well as surveys among students and employers. These national reports were presented and discussed at a Nordic conference in the Faroe Islands in 2008. The last stage – the Nordic report, ‘Nordic students abroad’ – widened the scope and discussed the issues in a Nordic and international context. The report has been edited by two researchers: Miia Saarikallio-Torp, Research Department of the Nordic students abroad Social Insurance Institution (Kela), Finland and Jannecke Wiers- Jenssen, Norwegian Institute for Studies in Innovation, Research and Education (NIFU STEP), Norway. The comparative chapters are written mainly by the editors, based on tables and written information from the different countries. Each participating country/institution has contributed a chapter analysing data from their own country. An extended editorial group contributed their comments as well. But at the same time, it is only the authors of each chapter who are responsible for the content. The project is financed by many different sources. The Nordic Graduate Surveys were financed by the public student support organisations in three of the participating countries (Finland: Kela; Norway: Lånekassen; Iceland: LIN). In the Faroe Islands, the survey was financed by Statoil Faroes. In Denmark, the Danish Educational Support Agency and the Danish Agency for International Education (formerly known as CIRIUS) have financed their respective data collections and analyses. The Norwegian research institute NIFU STEP supported the development of a common questionnaire, and Kela and Lånekassen have financed most of the costs regarding comparative analyses, editing and the publishing of this Nordic report. Internationalisation − new forms of communication and interaction between countries− increases the need for cross­ cultural knowledge and competence. Student support and study abroad are important aspects in helping build that competence. The effects are both individual and collective. The policy­ decisions in this field must be based on better knowledge. It has been the aim of this report that it will contribute to this knowledge. Oslo, June 2010 On behalf of the extended editorial group, Erling Moe The State Educational Loan Fund, Norway The editors would like to thank the many colleagues in Kela, especially Mikko Niemelä, Ulla Hämäläinen and Ilpo Lahtinen, and the three anonymous reviewers for their helpful comments to earlier drafts of the report. Many thanks also to the publication team at Kela's Research Department. Nordic students abroad cONTeNTS LiST Of cONTribuTOrS ................................................................................. 11 1 iNTrOducTiON ...........................................................................................13 1.1 Background and purpose of the study ...................................................13 1.2 The Nordic model in education ..............................................................15 1.2.1 The welfare state and education ...................................................15 1.2.2 Equality of opportunity ................................................................17 1.2.3 Selective support for students from low socio-economic backgrounds ...............................................................................19 1.2.4 Reforms leading to a comprehensive support system ................... 20 1.2.5 Current student financial support schemes .................................. 23 1.3 Statistics on student mobility from the Nordic countries ....................... 26 1.4 Previous research and tentative hypotheses ........................................ 28 1.4.1 Characteristic of the mobile students........................................... 28 1.4.2 The professional value of student mobility................................... 29 1.4.3 What kind of labour market outcomes can be expected for Nordic mobile students? .........................................................31 References.................................................................................................. 33 2 The Nordic GraduaTe Survey 2007 – comparaTive perSpecTiveS ..... 39 2.1 The design of the NGS 2007: background and limitations ...................... 39 2.2 Mobile students’ profile: Who goes abroad, and where do they go? ....... 42 2.2.1 Social origin and mobility capital ................................................ 44 2.3 Motives for studying abroad ................................................................. 46 2.4 Satisfaction with studying abroad ........................................................ 49 2.5 Sources of finance – the role of public student support ......................... 50 2.6 Integration into the labour market .........................................................51 2.6.1 The transition from higher education to work ............................... 52 2.6.2 Labour market status at the time of the survey ............................ 52 2.6.3 Skill mismatch ........................................................................... 54 2.6.4 Job satisfaction ......................................................................... 56 2.6.5 Public vs. private sector .............................................................. 57 2.7 International jobs ................................................................................ 58 2.7.1 Interest in working abroad ........................................................... 58 2.7.2 International aspects of work tasks ............................................. 60 2.8 Experiences with (domestic) employers ................................................ 62 2.9 Outcome versus expectations .............................................................. 64 2.10 Summarising the comparative analyses ............................................... 66 References.................................................................................................. 67 3 FiNlaNd: TraNSiTioN From hiGher educaTioN To work amoNG FiNNS who GraduaTed abroad .............................................................. 69 3.1 Introduction ........................................................................................ 69 3.2 Entering the labour market – is it stress-free or a struggle? ................... 70 3.3 Career paths ........................................................................................ 72 3.4 Temporary contracts – threat or possibility? ......................................... 76