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

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Author Info
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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Publisher 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
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Handle: RePEc:rwi:repape:0087

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

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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

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References listed on IDEAS
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  1. Hans Gersbach & Armin Schmutzler, 2006. "A Product-Market Theory of Industry-Specific Training," Working Papers 0610, University of Zurich, Socioeconomic Institute. [Downloadable!]
  2. Stevens, Margaret, 1994. "A Theoretical Model of On-the-Job Training with Imperfect Competition," Oxford Economic Papers, Oxford University Press, vol. 46(4), pages 537-62, October. [Downloadable!] (restricted)
  3. Bernd Fitzenberger & Karsten Kohn & Qingwei Wang, 2006. "The Erosion of Union Membership in Germany: Determinants, Densities, Decompositions," IZA Discussion Papers 2193, Institute for the Study of Labor (IZA). [Downloadable!]
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  4. Daron Acemoglu & Jörn-Steffen Pischke, 1998. "Why Do Firms Train? Theory And Evidence," The Quarterly Journal of Economics, MIT Press, vol. 113(1), pages 78-118, February. [Downloadable!] (restricted)
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  5. Jörn-Steffen Pischke, 2001. "Continuous training in Germany," Journal of Population Economics, Springer, vol. 14(3), pages 523-548. [Downloadable!] (restricted)
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  6. Dustmann; Christian & Schönberg, Uta, 2004. "Training and Union Wages," IZA Discussion Papers 1435, Institute for the Study of Labor (IZA). [Downloadable!]
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  7. Harley Frazis & Maury Gittleman & Mary Joyce, 2000. "Correlates of training: An analysis using both employer and employee characteristics," Industrial and Labor Relations Review, ILR Review, ILR School, Cornell University, vol. 53(3), pages 443-462, April.
  8. 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!]
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This page was last updated on 2009-11-17.

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