Seminario CEDE - Sebastián Montaño

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This paper studies how delays in diploma receipt affect the school-to-work transition and long-term labor market outcomes. In Colombia, graduating seniors can wait up to six months to receive their college diplomas after completing all degree requirements. Waiting times are largely determined by administrative procedures and vary considerably across and within programs. Exploiting within-program variation, we show that students experiencing longer delays are less likely to be employed one year after graduation and have significantly lower earnings ten years later. Our findings suggest that delays in diploma receipt disrupt initial firm–worker matching, helping explain the persistence of these effects.