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Beyond the Incidence of Training

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  • S Black
  • L Lynch

Abstract

This paper seeks to provide new insight into employer-provided training investment and how they are linked to workplace practices, physical capital investments, and educational qualifications of workers. Using a new and unique nationally representing survey of establishments in the US, we go beyond measuring the incidence of training to also examine the content and extent of employer-provided training. We find that businesses that are large, have adopted some of the practices associated with high performance work systems such as the Total Quality Management (TQM) or benchmarking, are capital-intensive, or have a more educated workforce are more likely to provide formal training programs for their employees. Employers are also more likely to provide more "general" types of training programs in computing and basic education if they are large, part of a multi-establishment firm, have low employee turnover, and have adopted high performance work systems. Finally, employers who have made large investments in physical capital or have adapted new forms of work organisations are more likely to train a higher proportion of their workers, especially in the manufacturing sector. These results suggest that employer-provided training is a complement rather than a substitute to investment in physical capital and education.

Suggested Citation

  • S Black & L Lynch, 1997. "Beyond the Incidence of Training," CEP Discussion Papers dp0362, Centre for Economic Performance, LSE.
  • Handle: RePEc:cep:cepdps:dp0362
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    Cited by:

    1. repec:lan:wpaper:4012 is not listed on IDEAS
    2. Kapsalis, Constantine, 1996. "The Role of Employees in Training Decisions in Canada," MPRA Paper 25744, University Library of Munich, Germany.
    3. Vinod Mishra & Russell Smyth, 2012. "High Performance Work Practices and Workplace Training in China: Evidence from Matched Employee-Employer Data," Monash Economics Working Papers 30-12, Monash University, Department of Economics.
    4. A I Petrescu & R Simmons & S Bradley, 2004. "The impacts of human resource management practices and pay inequality on workers' job satisfaction," Working Papers 542602, Lancaster University Management School, Economics Department.
    5. Isabel DiƩguez & Ana Cantorna & Ana Canto, 2005. "Organizational Training In Manufacturing Firms And Advanced Manufacturing Technologies," Portuguese Journal of Management Studies, ISEG, Universidade de Lisboa, vol. 0(1), pages 57-70.
    6. repec:lan:wpaper:3727 is not listed on IDEAS
    7. repec:lan:wpaper:3621 is not listed on IDEAS
    8. Bridget Daldy & John Gibson, 2005. "Is Computing Different? Comparing the Determinants of Computer-Related and Other Subject Matter Training in New Zealand," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 8(4), pages 291-308, December.
    9. Giulio Pedrini, 2011. "Personnel policies in the European firms: some evidence of the existing model(s) and the potential role of Corporate Universities," Working Papers 22, AlmaLaurea Inter-University Consortium.
    10. repec:lan:wpaper:3619 is not listed on IDEAS

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