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Adult Vocational Training and Government Policy in France and Britain

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  • Greenhalgh, Christine

Abstract

Provision of continuing vocational training is subject to several market failures: capital-market imperfections (credit constraints), risk arising from variability of future values of skills, mismatch of costs and returns owing to worker mobility, and general positive externalities of human capital. In the light of these market imperfections we evaluate the contrasting French and British systems of adult training. French policy is interventionist and includes an employer training levy. British policy has abandoned levies and emphasizes individual initiatives by workers and employers. Despite contrasting policies, the character of training provision is similar in both countries, being mainly arranged and financed by employers. Differences are that the French system offers both higher public subsidy and cost-sharing between training and non-training employers. Training provision is higher in France and occurs earlier in the working life-cycle. We conclude British policy could usefully reconsider employer levies for solving training under-investment. Copyright 1999 by Oxford University Press.

Suggested Citation

  • Greenhalgh, Christine, 1999. "Adult Vocational Training and Government Policy in France and Britain," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 15(1), pages 97-113, Spring.
    • Handle: RePEc:oup:oxford:v:15:y:1999:i:1:p:97-113
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    Cited by:

    1. McIntosh, Steven, 1999. "A cross-country comparison of the determinants of vocational training," LSE Research Online Documents on Economics 20213, London School of Economics and Political Science, LSE Library.
    2. Alex Bryson & Christine Erhel & Zinaida Salibekyan, 2021. "Perceptions of non-pecuniary job quality using linked employer–employee data," European Journal of Industrial Relations, , vol. 27(2), pages 113-129, June.
    3. Lazareva Olga, 2006. "Firm-paid vs. worker-paid on-the-job training in Russia: Determinants and returns," EERC Working Paper Series 06-05e, EERC Research Network, Russia and CIS.
    4. Bryson, Alex & Erhel, Christine & Salibekyan, Zinaïda, 2017. "The Effects of Firm Size on Job Quality: A Comparative Study for Britain and France," IZA Discussion Papers 10659, Institute of Labor Economics (IZA).
    5. Brunello, Giorgio & Wruuck, Patricia, 2020. "Employer provided training in Europe: Determinants and obstacles," EIB Working Papers 2020/03, European Investment Bank (EIB).
    6. Travkin, Pavel, 2014. "The impact of the on-the-job training on Russian worker’s salary: The effect of abilities approach," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 33(1), pages 51-70.
    7. Andrew Sharpe & James Gibson, 2005. "The Apprenticeship System in Canada: Trends and Issues," CSLS Research Reports 2005-04, Centre for the Study of Living Standards.
    8. Alexander Bryson & Christine Erhel & Zinaida Salibekyan, 2019. "Perceptions of non-pecuniary job quality using linked employer–employee data," Post-Print hal-02965966, HAL.

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