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Firm-specific Training: Consequences for Job Mobility

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  • Josef Zweimueller
  • Rudolf Winter-Ebmer

Abstract

This paper analyzes the impact of formal training on worker mobility. Using data the Swiss Labor Force Survey, we find that on-the-job search activities and, to a smaller extent, actual job separations are significantly affected by both employer-provided and general training. Moreover, while the separation probability of searching workers is strongly affected by previous firm-provided training, no such effect shows up for non-searchers. This is consistent with the hypothesis that workers bear most of the cost of specific training.

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Paper provided by Institute for Empirical Research in Economics - University of Zurich in its series IEW - Working Papers with number 037.

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Handle: RePEc:zur:iewwpx:037

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Keywords: firm-specific training; on-the-job-search; turnover;

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  1. John M. Barron & Mark C. Berger & Dan A. Black, 1997. "On-the-Job Training," Books from Upjohn Press, W.E. Upjohn Institute for Employment Research, W.E. Upjohn Institute for Employment Research, number ojt.
  2. John M. Barron & Mark C. Berger & Dan A. Black, 1999. "Do Workers Pay for On-The-Job Training?," Journal of Human Resources, University of Wisconsin Press, vol. 34(2), pages 235-252.
  3. Daron Acemoglu & Joern-Steffen Pischke, 1998. "Beyond Becker: Training in Imperfect Labor Markets," Working papers, Massachusetts Institute of Technology (MIT), Department of Economics 98-12, Massachusetts Institute of Technology (MIT), Department of Economics.
  4. Parent, D., 1995. "Wages and Mobility: the Impact of Employer-Provided Training," Cahiers de recherche, Universite de Montreal, Departement de sciences economiques 9507, Universite de Montreal, Departement de sciences economiques.
  5. Bell, David N.F. & Hart, Robert A., 1999. "Overtime Working in an Unregulated Labour Market," IZA Discussion Papers 44, Institute for the Study of Labor (IZA).
  6. repec:eme:rlepps:v:18:y:1999:i:1999:p:303-330 is not listed on IDEAS
  7. Hart, Robert A. & Ritchie, Felix, 1999. "Tenure-based Wage Setting," IZA Discussion Papers 47, Institute for the Study of Labor (IZA).
  8. Rudolf Winter-Ebmer & Josef Zweimueller, . "Firm Size Wage Differentials in Switzerland: Evidence from Job Changers," IEW - Working Papers, Institute for Empirical Research in Economics - University of Zurich 001, Institute for Empirical Research in Economics - University of Zurich.
  9. Bauer, Thomas K. & Zimmermann, Klaus F., 1999. "Overtime Work and Overtime Compensation in Germany," IZA Discussion Papers 48, Institute for the Study of Labor (IZA).
  10. Krueger, Alan & Rouse, Cecilia, 1998. "The Effect of Workplace Education on Earnings, Turnover, and Job Performance," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 16(1), pages 61-94, January.
  11. Winter-Ebmer, Rudolf & Zweimuller, Josef, 1997. "Unequal Assignment and Unequal Promotion in Job Ladders," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 15(1), pages 43-71, January.
  12. Gritz, R. Mark, 1993. "The impact of training on the frequency and duration of employment," Journal of Econometrics, Elsevier, Elsevier, vol. 57(1-3), pages 21-51.
  13. Lazear, Edward P & Rosen, Sherwin, 1990. "Male-Female Wage Differentials in Job Ladders," Journal of Labor Economics, University of Chicago Press, University of Chicago Press, vol. 8(1), pages S106-23, January.
  14. Lynch, Lisa M, 1991. "The Role of Off-the-Job vs. On-the-Job Training for the Mobility of Women Workers," American Economic Review, American Economic Association, American Economic Association, vol. 81(2), pages 151-56, May.
  15. Hashimoto, Masanori, 1981. "Firm-Specific Human Capital as a Shared Investment," American Economic Review, American Economic Association, American Economic Association, vol. 71(3), pages 475-82, June.
  16. Hart, Robert A. & Malley, James R., 1999. "On the Cyclicality and Stability of Real Earnings," IZA Discussion Papers 45, Institute for the Study of Labor (IZA).
  17. Jonathan R. Veum, 1997. "Training and job mobility among young workers in the United States," Journal of Population Economics, Springer, Springer, vol. 10(2), pages 219-233.
  18. Belzil, Christian & Hansen, Jörgen, 1999. "Household Characteristics, Ability and Education: Evidence from a Dynamic Expected Utility Model," IZA Discussion Papers 43, Institute for the Study of Labor (IZA).
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Cited by:
  1. Klaus Reiner Schenk-Hoppé & Björn Schmalfuss, . "Random Fixed Points in a Stochastic Solow Growth Model," IEW - Working Papers, Institute for Empirical Research in Economics - University of Zurich 065, Institute for Empirical Research in Economics - University of Zurich.
  2. Sieben,Inge, 2005. "Does Training Trigger Turnover...or Not?," ROA Research Memorandum, Maastricht University, Research Centre for Education and the Labour Market (ROA) 008, Maastricht University, Research Centre for Education and the Labour Market (ROA).
  3. Grund, Christian, 2000. "Wages as Risk Compensation in Germany," IZA Discussion Papers 221, Institute for the Study of Labor (IZA).

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