The pursuit of equitable education is key to a government’s regulation and allocation of life-chances, which enables social integration. Yet, evidence of the diminishing returns of degrees and of the “skills mismatch” between higher education training and labour market requirements casts doubts on the role of higher educational institutions in facilitating social mobility. This paper draws upon the findings of 40 qualitative interviews with young people conducted in 2018 in Hong Kong to shed light on the micro-level processes in which higher education training is translated into graduate employment outcomes. Findings comparing two sets of higher education graduates’ interview narratives are presented. Assumptions of the logic of human capital theory are questioned from the “positional” and the “processual” perspectives on graduate employability. The discussion unpacks the meanings of “skills mismatch” and “graduate employability,” and foregrounds the assumptions of the differential values assigned to skills and knowledges of different kinds in the local higher education system. With the insights drawn, this paper concludes with a reflection on the relevance of higher education to our understanding of social mobility and social integration in post-Covid-19 Hong Kong. Copyright © 2024 China Perspectives is the property of French Centre for Research on Contemporary China (CEFC).

Declining employment prospects of graduates have been reported in the international literature and in Hong Kong. This casts doubts on the ‘employability’ of graduates of an expanding higher education sector. Yet, published patterns and trends of graduate employment outcomes do not tell us much about the contextualised processes that ‘match’ or ‘mismatch’ graduates’ qualifications with ‘appropriate’ graduate jobs. This paper addresses this research gap through examining lived experience and subjectivities of college/university-to-work transition of 10 graduates of self-financing degree-awarding institutions in Hong Kong, which were derived from a study of 40 local young workers in 2018. Drawing upon ‘positioning’ and ‘processual’ perspectives on ‘employability’, this paper sheds light on the nebulous, mutually constituted nature of the skills demanded by employers in workplace. Also, highlighting the tensions discerned in interview narratives, it elucidates the difficulties for graduates to present their skills as ‘directly’ transferable to the workplace. Graduates’ interpretations of (their) ‘employability’ reveal the differential values attached to (‘technical’ vs. ‘non-technical’) skills, (degree vs. sub-degree) qualifications and (self-financing vs. publicly funded) institutions constructed in the specific context of local higher education development. Implications for further research, assessment of higher education functioning and career services are discussed. Copyright © 2020 Informa UK Limited, trading as Taylor & Francis Group.