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The Development of Employers’ Training Investments Over Time – A Decomposition Analysis Using German Establishment Data

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  • Katja Goerlitz

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Abstract

Using establishment data covering the time period 1997 to 2007, this paper investigates trends of employer-sponsored further training in Germany, with a focus on the share of establishments investing in training. In West and East Germany alike I find a positive time trend in the share of training active establishments. Applying Oaxaca-Blinder decomposition techniques shows that changes in some establishment characteristics affect the trend, however not only in a positive way. While the increase of the fraction of skilled workers, changes in industry composition and the risen share of innovative establishments contributed positively to the trend, the decreased fraction of establishments engaged in collective bargaining operates in opposite direction. In spite of these findings, the overall characteristics effect is rather small.

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Bibliographic Info

Paper provided by Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen in its series Ruhr Economic Papers with number 0087.

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Length: 22 pages
Date of creation: Feb 2009
Date of revision:
Handle: RePEc:rwi:repape:0087

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Keywords: Continuous training; employers; time trends; decomposition analysis;

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References

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Citations

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Cited by:
  1. Facundo Sepulveda & Fabio Mendez, 2011. "The cyclicality of skill acquisition: evidence from panel data," CAMA Working Papers 2011-13, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
  2. Pfeifer, Christian, 2013. "Intra-firm Wage Compression and Cost Coverage of Training: Evidence from Linked Employer-Employee Data," Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order 80030, Verein für Socialpolitik / German Economic Association.
  3. Görlitz, Katja, 2010. "The effect of subsidizing continuous training investments -- Evidence from German establishment data," Labour Economics, Elsevier, vol. 17(5), pages 789-798, October.

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