Predictor Employment opportunities

Employment is usually people’s main source of income, meaning it directly affects their economic success. Being employed and part of the workforce also allows people to contribute to the economy and society, reinforcing their sense of power and autonomy and feelings of belonging.

Evidence on the Relationship between Employment Opportunities and Upward Mobility Outcomes

As of December 2021, researchers have documented the following connections between this predictor and upward mobility. Asterisk (*) indicates primary reference. 

  • Unemployment (or a lack of desired employment) has a negative impact on earnings that can persist longer than the period of unemployment. Researchers found that a job loss is associated with an immediate 33 percent loss in earnings and up to a 15 percent loss in earnings six years later for workers (Couch and Placzek 2010). Unemployment leads to an estimated lifetime earnings loss of about 20 percent, and its effects on people’s wages can persist for as long as 20 years. Additionally, when people are reemployed, they are more likely to be employed part time and end up in jobs with less authority, autonomy, and benefits (Brand 2015*).
  • In addition to having a negative effect on economic success, unemployment has also been linked to negative psychological and physical health impacts and decreased social and familial participation. Workers who have been displaced report higher levels of depressive symptoms and anxiety as well as loss of self-acceptance, self-confidence, self-esteem, morale, life satisfaction, social support, and sense of control (Brand 2015*). People who are unemployed have significantly lower levels of psychological health than those who are employed (Wanberg 2010).
  • Unemployment has been linked to declines in physical health, including an increase in reports of physical disability, cardiovascular disease, hospitalization, and use of medical services (Brand 2015*).
  • Unemployment increases the risk of family disruption and has negative impacts on children’s well-being, such as lower self-esteem and greater likelihood of grade repetition, dropout, and suspension or expulsion (Brand 2015*).
  • Displaced workers are less likely to participate in social activities (Brand 2015*).
  • Using the National Longitudinal Survey of Youth, Dooley, Prause, and Ham-Rowbottom (2000) find that even after controlling for prior history of depression, the shift from employment to unemployment significantly increases depression. The shift from adequate to inadequate employment significantly increases depression on a similar level. This points to possible effects on the “power and autonomy” dimension of mobility, which has noted mediators such as job satisfaction, changes in income, and marital status.
  • Brand (2015)* provides a review of unemployment’s impact on mobility and determines that there is persuasive evidence of long-term consequences of unemployment on various economic and noneconomic outcomes.

Promising Local Policy Interventions

Research from both Urban and others in the field suggests the following policies could help communities improve this predictor. These suggestions are not exhaustive, and communities should work with residents and leaders to identify solutions that are best suited to their local contexts. 

Mobility Metric(s) Used to Measure This Predictor

Share of adults ages 25 to 54 who are employed

This is a common metric for measuring employment levels among prime-age workers, also known as the employment-to-population ratio.

View the full suite of metrics used to measure all the predictors in the Upward Mobility Framework.

Mobility Dimensions Engaged

  • Economic success
  • Power and autonomy
  • Dignity and belonging