THE IMPACT OF MULTIPLE QUALIFICATIONS ON EARNINGS OF GRADUATES IN SRI LANKA

Abstract

This study examines the impact of multiple qualifications on the earnings of graduates in Sri Lanka using data from the 2022 Sri Lanka Labour Force Survey, across a sample of 2,520 graduates. The research uses the Endogenous Switching regression modeling to analyze how factors such as gender, experience, degree field, ethnicity and residential sector affect graduate earnings, with the availability of multiple qualifications. The study confirmed that apart from the ethnic factor, gender, experience, degree field and residential sector have a significant impact on the earnings of both graduates with and without multiple qualifications. According to the Endogenous Switching regression analysis, it was confirmed that graduates with multiple qualifications earn more when compared to graduates without multiple qualifications showing that earning multiple qualifications by a graduate is an economically optimal option. This research adds new knowledge to the existing research literature on graduate earnings and related labour market performance in Sri Lanka and highlights the need for further studies to explore the long-term effects of multiple qualifications on graduate earnings. Important policy suggestions were proposed by the study as its final contribution.