This study aims to better understand the complex and changing nature of pathways taken by young Australians in their journey from school to work using sequence analysis methods. Conventional methods of examining pathways and transitions generally follow a linear approach which only provides a ‘snap shot’ of the position of individuals at a given point in time. This tends to over-simplify the multi-dimensional nature of transition pathways. Sequence analysis methods incorporate the complex and dynamic nature of transition trajectories, allowing a broader understanding of young people’s pathways. Moreover, it allows for better utilisation of longitudinal data that enables to identify dominant pathways or structures. Identifying a typology of transitions from school to work will provide important insight into how young people’s background and characteristics can potentially influence the chance of experiencing a particular type of transition.

The primary source of data for the analysis is the 2006 cohort of the Longitudinal Surveys of Australian Youth (LSAY): a nationally representative survey that tracks 15 year old students as they move from school to further education or other destinations until they are 25 years of age. Based on the survey data, it is possible to identify monthly education and labour market activities of respondents for each year in the survey between 2007 and 2016. Given the high volatility in the youth labour market, monthly activity data provide a finer level of analysis.

The study has three key objectives. First, identify the different types of pathways that young people follow in their journey from school to work in order to obtain a better understanding of the nature of these transitions. Using this information, further explore the socio-economic and demographic characteristics of young people in different pathways, particularly those who experience labour market churning. Finally, use the analysis to identify possible predictors of different pathways and their implications for labour market, education and social policy.