Rethinking Degrees: Labour Shortages and Educational Requirements in Belgium’s Key Sectors

Details

Supervisors

Hindriks, Jean

Faculty

Faculté des sciences économiques, sociales, politiques et de communication

Degree label

Master [120] en sciences économiques, orientation générale, à finalité approfondie

Abstract

enIn the last few decades, labor shortages in Belgium’s healthcare and education sectors have increased, opening questions about how employers modify their hiring practices, particularly regarding educational requirements. This thesis wants to examine the ”degree resetting” phenomenon, the reduction of formal qualification criteria in response to the growing shortage of qualified workers. This fact has been observed in the U.S., however, it remains not well explored in the European context. Focusing on Belgium between 2010 and 2023, the current study investigates whether such adjustments reflect short-term responses to labor market pressure or structural changes in recruitment behavior. Through the combined use of job vacancy data (OECD, Eurostat), administrative microdata (Statbel) and PISA school data, the analysis integrates descriptive and econometric approaches. The results provide new evidence on how skills shortages and mismatches affect qualification standards. Despite the use of rigorous methodologies, the heterogeneity and limitations of data quality, coverage, and comparability partly reduce the scope of the conclusions. However, the analysis shows that the reduction of formal requirements can be observed in both sectors, particularly in education, where rigid wage and professional regulations make formal qualifications one of the few areas of flexibility for addressing structural shortages of skilled labor.