Training and Low-pay Mobility: The Case of the UK and the Netherlands
This paper investigates the effect of training on low-pay mobility in the UK and the Netherlands. We contribute to the literature by estimating the 'true' effect of training correcting for measurement error and transitory fluctuations - random shocks - of earnings. This is accomplished by using a random-effects multinomial logit model with a latent structure to take account of the measurement error. Our results indicate that although the countries have rather different training practices, training increases the likelihood for moving from low to higher pay and reduces the likelihood for a transition from higher pay to low pay. However, in the UK, contrary to what we expected, work-related or firm-specific training programmes but not general training programmes pay off better for the intermediate- and the higher-educated workers. No effect of training is found for the low-educated workers. The lower-skilled seem to gain less than the high-skilled from firms' investments in human capital in the UK. Copyright 2009 The Authors. Journal compilation 2009 CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd..
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 23 (2009)
Issue (Month): s1 (03)
|Contact details of provider:|| Postal: Via Columbia, 2 00133 Roma|
Phone: 0039 06 2040234
Fax: 0039 06 2020687
Web page: http://www.blackwellpublishing.com/journal.asp?ref=1121-7081
More information through EDIRC
|Order Information:||Web: http://www.blackwellpublishing.com/subs.asp?ref=1121-7081|