This paper uses longitudinal data from Australia to examine the extent to which
overskilling is a transitory phenomenon that declines with increased labour market
mobility. The results suggest that while overskilled workers are more likely to want to
quit, they are relatively unconfident of finding an improved labour market match.
Furthermore, some of the greater mobility observed among overskilled workers is due
to involuntary job separations and even in instances where job separations are
voluntary, the majority of moves do not result in improved skills matches.