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Returns to firm-provided training in France: Evidence on mobility and wages

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Author Info

  • Arna Chéron

    (GAINS - Groupe d'Analyse des Itinéraires et des Niveaux Salariaux - Université du Maine)

  • Bénédicte Rouland

    (GAINS - Groupe d'Analyse des Itinéraires et des Niveaux Salariaux - Université du Maine)

  • François Charles Wolff

    ()
    (LEMNA - LABORATOIRE D'economie et de management de nantes - Université de Nantes : EA)

Abstract

While numerous studies have provided selectivity-corrected estimates of the wage returns to training both in the US and in European countries, less is known about the impact of training on mobility on the labour market. In this paper, we estimate the impact of firmprovided training on both the employment-unemployment and job-to-job transitions using French panel data covering the 1998-2000 period. We find that participating to a training session in 1998 reduces the probability to experience an employment-unemployment transition during the period and that the probability to switch firms is higher among untrained workers. Additional results on the effect of training on wages indicate that training participation in 1998 increases wages by 7% in 2000, the wage premium remaining flat along the wage distribution.

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Bibliographic Info

Paper provided by HAL in its series Working Papers with number halshs-00809753.

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Date of creation: Jan 2010
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Handle: RePEc:hal:wpaper:halshs-00809753

Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00809753
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Related research

Keywords: Returns to training ; matching estimators ; labour market mobility ; wages ; France;

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References

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  1. Francis Green & Alan Felstead & Ken Mayhew & Alan Pack, 2000. "The Impact of Training on Labour Mobility: Individual and Firm-level Evidence from Britain," British Journal of Industrial Relations, London School of Economics, vol. 38(2), pages 261-275, 06.
  2. Acemoglu, Daron & Pischke, Jörn-Steffen, 1998. "The Structure of Wages and Investment in General Training," CEPR Discussion Papers 1833, C.E.P.R. Discussion Papers.
  3. Acemoglu, Daron & Pischke, Jörn-Steffen, 1996. "Why do Firms Train? Theory and Evidence," CEPR Discussion Papers 1460, C.E.P.R. Discussion Papers.
  4. Santiago Budria & Pedro Telhado Pereira, 2007. "The wage effects of training in Portugal: differences across skill groups, genders, sectors and training types," Applied Economics, Taylor & Francis Journals, vol. 39(6), pages 787-807.
  5. Parent, Daniel, 1999. "Wages and Mobility: The Impact of Employer-Provided Training," Journal of Labor Economics, University of Chicago Press, vol. 17(2), pages 298-317, April.
  6. Budría, Santiago & Pereira, Pedro T., 2004. "On the Returns to Training in Portugal," IZA Discussion Papers 1429, Institute for the Study of Labor (IZA).
  7. Sergio Firpo, 2007. "Efficient Semiparametric Estimation of Quantile Treatment Effects," Econometrica, Econometric Society, vol. 75(1), pages 259-276, 01.
  8. Goux, Dominique & Maurin, Eric, 2000. "Returns to firm-provided training: evidence from French worker-firm matched data1," Labour Economics, Elsevier, vol. 7(1), pages 1-19, January.
  9. Daron Acemoglu & Joern-Steffen Pischke, 1998. "Beyond Becker: Training in Imperfect Labor Markets," Working papers 98-12, Massachusetts Institute of Technology (MIT), Department of Economics.
  10. Bassanini, Andrea & Booth, Alison L. & Brunello, Giorgio & De Paola, Maria & Leuven, Edwin, 2005. "Workplace Training in Europe," IZA Discussion Papers 1640, Institute for the Study of Labor (IZA).
  11. Wilde, Joachim, 2000. "Identification of multiple equation probit models with endogenous dummy regressors," Economics Letters, Elsevier, vol. 69(3), pages 309-312, December.
  12. Mark A. Loewenstein & James R. Spletzer, 1999. "General and Specific Training: Evidence and Implications," Journal of Human Resources, University of Wisconsin Press, vol. 34(4), pages 710-733.
  13. Victor Chernozhukov & Christian Hansen, 2005. "An IV Model of Quantile Treatment Effects," Econometrica, Econometric Society, vol. 73(1), pages 245-261, 01.
  14. William H. Greene, 1998. "Gender Economics Courses in Liberal Arts Colleges: Further Results," The Journal of Economic Education, Taylor & Francis Journals, vol. 29(4), pages 291-300, January.
  15. Heckman, James J & Ichimura, Hidehiko & Todd, Petra, 1998. "Matching as an Econometric Evaluation Estimator," Review of Economic Studies, Wiley Blackwell, vol. 65(2), pages 261-94, April.
  16. Acemoglu, Daron, 1997. "Training and Innovation in an Imperfect Labour Market," Review of Economic Studies, Wiley Blackwell, vol. 64(3), pages 445-64, July.
  17. Edwin Leuven & Hessel Oosterbeek, 2008. "An alternative approach to estimate the wage returns to private-sector training," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 23(4), pages 423-434.
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Cited by:
  1. Pierre-Jean Messe & Bénédicte Rouland, 2012. "Stricter employment protection and firms' incentives to train: The case of French older workers," Working Papers halshs-00856132, HAL.
  2. Messe, Pierre-Jean & Rouland, Bénédicte, 2012. "Stricter employment protection and firms’ incentives to sponsor training: The case of French older workers," CEPREMAP Working Papers (Docweb) 1206, CEPREMAP.

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