The Measurement and Determinants of Skill Acquisition in Young Workers’ First Job

The article analyses participation in five types of training (formal on-site, formal off-site, informal co-worker training, learning by watching and learning by doing) and self-assessed skill acquisition in young Flemish workers’ first job. A skill production function is estimated whereby the simultaneity of participation in the different types of training and skill acquisition is taken into account. The results clearly demonstrate the importance of informal training. Formal training participation is found to be only a fraction of total training participation. Moreover, the determinants of total training participation and skill acquisition differ from those of formal training participation. While some training types are complementary, others are clearly substitutes. Finally, most types of training generate additional skills. Nonetheless, learning by doing is found to be complementary to formal education in the production of both specific and general skills, whereas formal training serves as a substitute.