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Delivering Skills: Apprenticeship Program Sponsorship and Transition from Training

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Author Info

  • Cihan Bilginsoy

Abstract

Formal apprenticeship programs in the US construction industry are organized under one of three forms: jointly by unions and management in the unionized sector, and unilaterally by a group of employers or by a single employer in the open shop sector. I use parametric survival analysis to compare completion and quit rates of electrical and mechanical trades apprentices across program types, controlling for sex, race, education, wage, program size, and unemployment rate among other factors. I find substantial and statistically significant differences in terms of the probability of completion and cancellation and the duration of apprenticeship. Apprentices in joint programs, regardless of demographic characteristics, have the highest probability of completion, followed by unilateral multiple and unilateral single employers, but their average time to graduation is longer. The mean duration of a cancelled apprenticeship in open shop programs does not appear to be long enough for apprentices to accumulate a substantial amount of skills. Although non-joint programs graduate a smaller fraction of their apprentices, those who graduate do so at a significantly faster pace than their counterparts in joint programs.

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Bibliographic Info

Paper provided by University of Utah, Department of Economics in its series Working Paper Series, Department of Economics, University of Utah with number 2005_01.

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Length: 32 pages
Date of creation: 2005
Date of revision:
Publication status: Published in Industrial Relations, October 2007, 46(4), 738-765.
Handle: RePEc:uta:papers:2005_01

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Related research

Keywords: Apprenticeship; turnover; construction survival analysis;

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References

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  1. Snower, Dennis J., 1994. "The Low-Skill, Bad-Job Trap," CEPR Discussion Papers 999, C.E.P.R. Discussion Papers.
  2. 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.
  3. Schlicht, Ekkehart, 1996. "Endogenous on-the-job training with moral hazard," Labour Economics, Elsevier, vol. 3(1), pages 81-92, August.
  4. Jovanovic, Boyan, 1979. "Job Matching and the Theory of Turnover," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 972-90, October.
  5. Acemoglu, Daron & Pischke, Jorn-Steffen, 2000. "Certification of training and training outcomes," European Economic Review, Elsevier, vol. 44(4-6), pages 917-927, May.
  6. Malcomson, James M. & Maw, James W. & McCormick, Barry, 2003. "General training by firms, apprentice contracts, and public policy," European Economic Review, Elsevier, vol. 47(2), pages 197-227, April.
  7. Cihan Bilginsoy, 2003. "The hazards of training: Attrition and retention in construction industry apprenticeship programs," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 57(1), pages 54-67, October.
  8. Booth, Alison L & Satchell, Stephen E, 1994. "Apprenticeships and Job Tenure," Oxford Economic Papers, Oxford University Press, vol. 46(4), pages 676-95, October.
  9. Thomas, Jonathan M, 1996. "On the Interpretation of Covariate Estimates in Independent Competing-Risks Models," Bulletin of Economic Research, Wiley Blackwell, vol. 48(1), pages 27-39, January.
  10. Mortensen, Dale T, 1988. "Wages, Separations, and Job Tenure: On-the-Job Specific Training or Matching?," Journal of Labor Economics, University of Chicago Press, vol. 6(4), pages 445-71, October.
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Cited by:
  1. Dostie, Benoit, 2010. "A Competing Risks Analysis of the Determinants of Low Completion Rates in the Canadian Apprenticeship System," CLSSRN working papers clsrn_admin-2010-29, Vancouver School of Economics, revised 21 Oct 2010.
  2. Fries, Jan & Göbel, Christian & Maier, Michael F., 2013. "Do employment subsidies reduce early apprenticeship dropout?," ZEW Discussion Papers 13-053, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.

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