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Distinguishing Companies with Different Apprenticeship Training Motivations – Evidence from German Establishment Data

Author

Listed:
  • Jens Mohrenweiser

    () (Institute for Strategy and Business Economics, University of Zurich)

  • Uschi Backes-Gellner

    () (Institute for Strategy and Business Economics, University of Zurich)

Abstract

In the theoretical literature on why companies train apprentices three different approaches are usually distinguished: the investment, the substitution and the reputation motive. The aim of our paper is to empirically identify whether a company follows one or the other motive or even more than one training motive. We derive identifying variables from the respective theoretical models and estimate econometric models which help to reliably classify companies with respect to their training motives. The distribution of the companies across the respective motivations we receive is similar to results that can be derived from studies with detailed cost benefit training information. However, unlike our data set the latter data sets have only a limited set of non-training variables which restricts the possibilities of further analyzing training matters in conjunction with the broader company or industry picture. Using detailed company information we show that the influence of foreign owned firms and work councils on training participation is critical dependent on the training motivation of the companies.

Suggested Citation

  • Jens Mohrenweiser & Uschi Backes-Gellner, 2006. "Distinguishing Companies with Different Apprenticeship Training Motivations – Evidence from German Establishment Data," Economics of Education Working Paper Series 0007, University of Zurich, Department of Business Administration (IBW).
  • Handle: RePEc:iso:educat:0007
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    File URL: http://repec.business.uzh.ch/RePEc/iso/leadinghouse/0007_lhwpaper.pdf
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    References listed on IDEAS

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    1. Daron Acemoglu & Jörn-Steffen Pischke, 1998. "Why Do Firms Train? Theory and Evidence," The Quarterly Journal of Economics, Oxford University Press, vol. 113(1), pages 79-119.
    2. Samuel Muehlemann & Stefan C. Wolter, 2006. "Regional Effects on Employer Provided Training: Evidence from Apprenticeship Training in Switzerland," CESifo Working Paper Series 1665, CESifo Group Munich.
    3. Samuel Muehlemann & Juerg Schweri & Rainer Winkelmann & Stefan C. Wolter, 2005. "A Structural Model of Demand for Apprentices," CESifo Working Paper Series 1417, CESifo Group Munich.
    4. Daron Acemoglu & Jorn-Steffen Pischke, 1999. "The Structure of Wages and Investment in General Training," Journal of Political Economy, University of Chicago Press, vol. 107(3), pages 539-572, June.
    5. Acemoglu, Daron & Pischke, Jorn-Steffen, 1999. "Beyond Becker: Training in Imperfect Labour Markets," Economic Journal, Royal Economic Society, vol. 109(453), pages 112-142, February.
    6. Thomas J. Kane & Dietmar Harhoff, 1997. "Is the German apprenticeship system a panacea for the U.S. labor market?," Journal of Population Economics, Springer;European Society for Population Economics, vol. 10(2), pages 171-196.
    7. Stefan C. Wolter & Samuel Mühlemann & Jürg Schweri, 2006. "Why Some Firms Train Apprentices and Many Others Do Not," German Economic Review, Verein für Socialpolitik, vol. 7, pages 249-264, August.
    8. Rob Euwals & Rainer Winkelmann, 2003. "Training Intensity and First Labor Market Outcomes of Apprenticeship Graduates," SOI - Working Papers 0308, Socioeconomic Institute - University of Zurich.
    9. Jacobebbinghaus, Peter & Zwick, Thomas, 2001. "New technologies and the demand for medium qualified labour in Germany," ZEW Discussion Papers 01-12, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    10. Stevens, Margaret, 1994. "An Investment Model for the Supply of Training by Employers," Economic Journal, Royal Economic Society, vol. 104(424), pages 556-570, May.
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    Citations

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    Cited by:

    1. Spyros Arvanitis & Tobias Stucki, 2008. "Training Propensity of Start-ups in Switzerland - A Study Based on Data for the Start-up Cohort 1996-97," KOF Working papers 08-199, KOF Swiss Economic Institute, ETH Zurich.
    2. Spyros Arvanitis, 2008. "Are Firm Innovativeness and Firm Age Relevant for the Supply of Vocational Training? - A Study Based on Swiss Micro Data," KOF Working papers 08-198, KOF Swiss Economic Institute, ETH Zurich.
    3. Heinz Hollenstein & Tobias Stucki, 2008. "The Impact of ICT Usage, Workplace Organisation and Human Capital on the Provision of Apprenticeship Training: A firm-level analysis based on Swiss panel data," KOF Working papers 08-205, KOF Swiss Economic Institute, ETH Zurich.
    4. Heinz Hollenstein & Tobias Stucki, 2009. "Determinanten des Angebots an Lehrstellen – Der Einfluss von IKT, Organisation und Humankapital," KOF Analysen, KOF Swiss Economic Institute, ETH Zurich, vol. 3(1), pages 79-93, March.

    More about this item

    Keywords

    Apprentices Training Motives; Investment in Training; Substitution Effects; Foreign Owned Firms; Works Councils;

    JEL classification:

    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M53 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Training

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