This is a preview of your story

Powered by

Storydoc
analytics_default
analytics_default




The Relationship between Computer Studies and Getting a Job in High-Tech

Insights from an analysis of the educational and employment data of all LinkedIn users employed in Israel

February 2023


Research and writing: Aaron Gefen, Assaf Patir, Ziv Barel, Ido Meiboom

expand_more
analytics_default
72%

of computer profession graduates integrated into the high-tech industry.

analytics_default
9%

The gap between Israeli universities and colleges in integrating computer professions graduates into the high-tech industry.

analytics_default
9%

9% of Israeli high-tech employees were trained in coding bootcamps.

analytics_default
75%

of the graduates from coding bootcamps in 2019 who integrated into the industry, were hired by a local company.

Preface

The Israeli high-tech industry has been facing a major challenge in recent years due to a shortage of personnel. This is primarily due to the industry's rapid growth over the past few decades, which has led to an increased demand for human capital that the current supply is struggling to meet. To illustrate this point, as of April 2022, there were approximately 33,000 unfilled positions in Israeli high-tech, with two-thirds of them being technological positions. However, the total number of computer science graduates in Israel is only 7,500 per year.[1]

To address this challenge, it is crucial to increase the supply of workers with the necessary skills for technological positions. This can be achieved by optimizing the human potential in Israel through the establishment of appropriate training programs at all stages of life, including schools, higher education institutions, and vocational training programs.

Read more➕

Close

Key Findings and Policy Recommendations

The Relationaship between Types of Education and Employment in High-Tech

This section explores the relationship between obtaining higher education in computer studies and employment in the high-tech industry.[2] Our analysis is based on a population of 95,000 individuals who received computer studies education at a recognized academic institution until the end of 2021. The sample we analyzed for this section includes graduates from Israeli universities and colleges, totaling approximately 83,000 individuals.


We divided the academic study subjects into three groups:

Computer studies

Computer science, computer engineering, mathematics, in addition to other fields of engineering categorized as part of computer studies based on a review of the syllabus. Of individuals who studied these subjects, 72% were later employed in high-tech.

Other Science and engineering

Science and engineering subjects, excluding the above-mentioned computer studies fields; 55% of graduates of these courses were employed in high-tech.

Other academic studies

Other degrees. The proportion of graduates employed in high-tech in this group was naturally relatively low – not more than 36%.[3]

The diagram below depicts the distribution of academic training among workers in the high-tech industry. While the majority of high-tech employees possess a degree in computer studies, almost half of them hold degrees in other fields.

Current employees in high-tech companies as defined by the Start-Up Nation Finder; distribution by most recent type of education.

As expected, when looking specifically at technological employees in the high-tech industry, a large majority have received education in computer studies. This trend has slightly strengthened over the years, as depicted in the following diagram. These findings highlight the dominance of the information and communications technology (ICT) field in Israeli high-tech and the necessity for appropriate training in this field for most technological positions.

Distribution of technological workers by education and year of completion of studies: proportion of college and university graduates who find employment in /did not find employment in the high-tech industry by type of education, out of all graduates completing their studies in the same year. Finding employment in high-tech was defined as a binary variable: employment in high-tech in one position during the worker’s life = 1, for all current workers.

Employment in a Technological Position in High-Tech by Institution

Although coding bootcamps have experienced significant growth in recent years (as discussed in detail in the next section), academic education in computer studies remains dominant among technological workers in the industry. This leads to the question of whether there are differences between universities and colleges in terms of their graduates' employment in high-tech.

The LinkedIn data indicates that college graduates integrate into the high-tech industry in high percentages, while the gap in favor of universities is smaller than expected - 78% of university graduates integrated into high-tech compared to 69% of college graduates. However, an examination of the differences between the various academic institutions reveals a more complex picture, in which the difference between the groups is small within each group. For example, Tel Aviv-Yafo Academic College is ranked second in the rate of its graduates' integration.

In other words, it seems that the distinction between colleges and universities is not necessarily significant since there are universities whose graduates integrate into the high-tech industry less than graduates of certain colleges. For example, the integration rate into the high-tech industry of graduates of the College of Management who acquired education in computer studies stands at about 77%, which is similar to the integration rate of graduates of the Hebrew University.

It is important to note that the rate of employment of graduates in the high-tech industry does not necessarily reflect the quality of education provided by academic institutions. Firstly, it cannot be assumed that graduates who did not find employment in high-tech are employed in positions of lower productivity or quality. For example, it is possible that more university graduates in computer studies turned to academic careers rather than integrating into the high-tech industry, and this does not necessarily indicate lower quality of education.

Secondly, the variation in employment rates among institutions may indicate that candidates inclined to work in high-tech tend to prefer certain institutions for reasons such as a more practical curriculum or the ability to combine work and study.

In other words, it seems that the distinction between colleges and universities is not necessarily significant since there are universities whose graduates integrate into the high-tech industry less than graduates of certain colleges. For example, the integration rate into the high-tech industry of graduates of the College of Management who acquired education in computer studies stands at about 77%, which is similar to the integration rate of graduates of the Hebrew University.

Employment in a Technological Position in High-Tech by Institution

Coding Bootcamps as a Pathway to High-Tech Employment


Coding bootcamps offer a shorter and more vocational alternative to traditional academic studies, and are often used for vocational retraining. In this section, we will examine whether coding bootcamps provide graduates with a viable path to employment in the high-tech industry.

According to our data, approximately 9% of employees in the Israeli high-tech industry are graduates of coding bootcamps. A breakdown of workers in technological professions in high-tech by type of training and year of completion of studies shows a steady increase in the proportion of coding bootcamp graduates employed in the industry over the past two decades. In 2005, the figure was a negligible 2.5%, rising to 13% in 2019. This trend may indicate the growing role of coding bootcamps as a viable entry path to high-tech employment.

The proportion of coding bootcamp graduates out of all individuals employed in technological positions in high-tech, by year of completion of studies, with breakdown for local and international companies. High-tech companies as defined by the Finder; most recent position and education for each worker.

A breakdown of the entire coding bootcamp graduate population reveals that 46% pursued bootcamp training after prior academic studies, either as vocational retraining or as a complement to their previous education. Among them, 20% had prior academic education in computer studies, 12% had an education in science and engineering without computer studies, while the remaining 68% came from different academic fields, demonstrating the role of coding bootcamps as a vocational retraining option for high-tech careers.

Further analysis shows that while the proportion of coding bootcamp graduates in local companies increased steadily from 3% in 2005 to over 15% in 2019, in multinational companies the proportion of bootcamp graduates remained in single figures, reaching only 9% in 2019. Examining the absolute figures reveals an even more significant gap, as over 75% of coding bootcamp graduates employed in high-tech in 2019 were employed by local companies. One possible explanation for this disparity is that international companies require a certificate from a recognized academic institution, which is considered a stamp of quality assurance. Another possibility is that academic certificates are perceived to be of higher quality, giving international companies an advantage in the competition for these skilled workers.

Percent of employees whose most recent education is a coding bootcamp out of all employees, by sector.

Appendix: Methodology

Database and Limitations

This review is based on two main data sources: user profiles from LinkedIn and data on companies from the Start-Up Nation Finder database.[4]

Data from LinkedIn for all users registered as workers in Israel (over 1.6 million users) were collected with the help of the Bright Initiative.[5] We use solely data the platform users choose freely to make public concerning their education and employment history; we ensured strict anonymization and used the data solely for statistical analysis. The data in this review are updated to September 2022.

Read more

Close

Classifications

The fields of study were identified based on free text. Due to their highly diverse character, the entries were classified into three categories for the purpose of this review:

  1. Computer studies – computer science, computer engineering, mathematics, as well as additional fields of engineering defined as belonging / not belonging to computer studies based on a careful review of the syllabus.

  2. Science and engineering, excluding computer studies – other science and engineering subjects not included in the definition of “computer studies.”

  3. Other academic – including social sciences and the humanities, law, etc., according to the usual division of the Budgeting and Programs Committee.

  4. In addition, approximately 5% of the entries were not classified based on an analysis of the free text, and were defined as “unclassified/NA.”


Start-Up Nation Policy Institute is an independent think-tank that works to strengthen the Israeli innovation ecosystem through research and policy recommendations. The Institute works in partnership with the public sector and the high-tech industry to advance policies that maintain Israel’s technological edge and expand Israeli innovation to all areas of its economy & society.


analytics_default

[1] The data is taken from the Human Capital Report in the Israeli high-tech industry: 2021-2022, SNPI.

[2] Integration into high-tech is examined throughout the employee's entire employment history, i.e., if they had a job in a high-tech company registered on their LinkedIn profile at any certain stage of their career.

[3] There is a suspicion that the 36% figure represents a bias towards the higher end of the data, as described in the second limitation in the methodology section. This bias is more significant for professions with low integration into high-tech, and therefore it was emphasized that 36% represents an upper limit.

[4] For the definition of a high-tech company by The Finder, see: https://finder.startupnationcentral.org/about/glossarys

[5] We acknowledge The Bright Initiative, operated by Bright Data, for supporting this survey by providing the data. The Bright Initiative is a public benefit program that collaborates with leading academic and non-profit institutions to promote change worldwide.