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Labour Market Flexibility and Skills Acquisition: Is there a trade-off?

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Author Info
Wiji Arulampalam () (Economics Department, University of Warwick, UK)
Alison Booth () (Institute for Social and Economic Research, University of Essex, UK)

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Abstract

This paper explores the nexus between skills acquisition and labour market "flexibility" (which we proxy by contract type, part-time employment, and lack of union coverage), using the first five waves of the British Household Panel Survey (BHPS) conducted over the period 1991-1995. Our results show that workers on short-term employment contracts, or who are not covered by a union collective agreement, are significantly less likely to be invovled in any work-related training to improve or increase their skills. A man switching from a permanent contract to a temporary or fixed term contract is 19% less likely to receive training in his current job, while a comparable woman is nearly 14% less likely. A man moving from a union workplace to a non-union one is 9% less likely to receive training, while a woman making this transition is 11% less likely. In addition, we find that part-time male workers are 8% less likely to receive work-related training than their full-time counterparts. Our results suggest that there is a trade-off between expanding the more marginal forms of employment, and expanding the proportion of the workforce getting work-related training.

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Publisher Info
Paper provided by Institute for Labour Research in its series ILR working papers with number 013.

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Length: 25
Date of creation: Aug 1997
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Handle: RePEc:esl:ilrdps:013

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Postal: Institute for Labour Research University of Essex, Wivenhoe Park Colchester, Essex CO4 3SQ UK
Phone: 44-1206-872957
Fax: 44-1206-872724
Web page: http://www.essex.ac.uk/ilr

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Postal: Institute for Labour Research University of Essex, Wivenhoe Park Colchester, Essex CO4 3SQ UK
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Web: http://www.essex.ac.uk/ilr/discuss/index.htm

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Related research
Keywords: Labour market flexibility; work-related training; panel probits;

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Find related papers by JEL classification:
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

Cited by:
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  1. Booth, Alison L & Francesconi, Marco & Zoega, Gylfi, 1999. "Training, Rent-Sharing and Unions," CEPR Discussion Papers 2200, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
  2. repec:ese:iserwp: is not listed on IDEAS
  3. Andrea Bassanini & Alison Booth & Giorgio Brunello & Maria De Paola & Edwin Leuven, 2005. "Workplace Training in Europe," IZA Discussion Papers 1640, Institute for the Study of Labor (IZA). [Downloadable!]
  4. Simon Burgess, 1999. "The Reallocation of Labour: An International Comparison Using Job Tenure," CEP Discussion Papers dp0416, Centre for Economic Performance, LSE. [Downloadable!]
  5. Booth, Alison L. & Francesconi, Marco & Zoega, Gylfi, 2003. "Unions, Work-Related Training, and Wages: Evidence for British Men," IZA Discussion Papers 737, Institute for the Study of Labor (IZA). [Downloadable!]
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