The Effect of Labor Market Conditions on Enrollment Rate in Iran’s Distance Universities: A Case Study of Payame Noor University

Education, labor market, and social behaviors of young people are among the key factors in a country's scientific and administrative policy making. The level of public knowledge and the skills of specialists in all sectors of a national economy are the determinants of successful development. This study aims to identify the most crucial labor market conditions affecting students’ enrollment at Payame Noor University (PNU) in Iran. To fulfil the research objectives, the data were analyzed using a qualitative method (content analysis). At first, the indicators and variables were extracted using Delphi method and document examination, and then these indicators were distributed among 15 professors of higher education, economics, and social sciences to be reviewed and corrected. The required data were collected from the Statistical Center of Iran, Ministry of ‘Cooperatives, Labor and Social Welfare’ and the Center for Statistics at PNU. The Ordinary Least Square regression model (OLS) was used to analyze the data collected from undergraduate students attending the PNU courses between 2001-2014. The OLS results showed that the total labor force (Beta=2.824, P=0.017) and high school workforce population (Beta=0.399, P=0.007) had a positive and significant effect on student enrollment at PNU. The number of industrial workshops (Beta=-0.078, P=0.649) had a negative impact on student enrollment at PNU. The total labor force and high school workforce population had a significant impact on student enrollment at PNU. Therefore, strategic planners in open and distance universities should consider the market conditions in their academic strategies. The policy makers at Payame Noor University should focus their plans on the areas that appeal to all high school graduates. Also, they need to provide training opportunities for the people already working in the industrial sector.