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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. Acemoglu, Daron & Pischke, Jorn-Steffen, 1999. "Beyond Becker: Training in Imperfect Labour Markets," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 109(453), pages F112-42, February.
  2. 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, Taylor & Francis Journals, vol. 39(6), pages 787-807.
  3. Wilde, Joachim, 2000. "Identification of multiple equation probit models with endogenous dummy regressors," Economics Letters, Elsevier, Elsevier, vol. 69(3), pages 309-312, December.
  4. Victor Chernozhukov & Christian Hansen, 2005. "An IV Model of Quantile Treatment Effects," Econometrica, Econometric Society, Econometric Society, vol. 73(1), pages 245-261, 01.
  5. 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.
  6. Acemoglu, D. & Pischki, J.S., 1996. "Why Do Firms Train? Theory and Evidence," Working papers, Massachusetts Institute of Technology (MIT), Department of Economics 96-7, Massachusetts Institute of Technology (MIT), Department of Economics.
  7. Sergio Firpo, 2007. "Efficient Semiparametric Estimation of Quantile Treatment Effects," Econometrica, Econometric Society, Econometric Society, vol. 75(1), pages 259-276, 01.
  8. Parent, Daniel, 1999. "Wages and Mobility: The Impact of Employer-Provided Training," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 17(2), pages 298-317, April.
  9. Heckman, James J & Ichimura, Hidehiko & Todd, Petra, 1998. "Matching as an Econometric Evaluation Estimator," Review of Economic Studies, Wiley Blackwell, Wiley Blackwell, vol. 65(2), pages 261-94, April.
  10. Goux, Dominique & Maurin, Eric, 2000. "Returns to firm-provided training: evidence from French worker-firm matched data1," Labour Economics, Elsevier, Elsevier, vol. 7(1), pages 1-19, January.
  11. 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).
  12. Budría, Santiago & Pereira, Pedro T., 2004. "On the Returns to Training in Portugal," IZA Discussion Papers 1429, Institute for the Study of Labor (IZA).
  13. Daron Acemoglu & Jorn-Steffen Pischke, 1998. "The Structure of Wages and Investment in General Training," NBER Working Papers 6357, National Bureau of Economic Research, Inc.
  14. Acemoglu, Daron, 1997. "Training and Innovation in an Imperfect Labour Market," Review of Economic Studies, Wiley Blackwell, Wiley Blackwell, vol. 64(3), pages 445-64, July.
  15. 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., John Wiley & Sons, Ltd., vol. 23(4), pages 423-434.
  16. William H. Greene, 1998. "Gender Economics Courses in Liberal Arts Colleges: Further Results," The Journal of Economic Education, Taylor & Francis Journals, Taylor & Francis Journals, vol. 29(4), pages 291-300, January.
  17. 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.
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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), CEPREMAP 1206, CEPREMAP.

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