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

  • Jens Mohrenweiser

    ()

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

  • Uschi Backes-Gellner

    ()

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

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.

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File URL: http://repec.business.uzh.ch/RePEc/iso/leadinghouse/0007_lhwpaper.pdf
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Paper provided by University of Zurich, Institute for Strategy and Business Economics (ISU) in its series Economics of Education Working Paper Series with number 0007.

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Length: 22 pages
Date of creation: Nov 2006
Date of revision:
Handle: RePEc:iso:educat:0007
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  1. Stevens, Margaret, 1994. "An Investment Model for the Supply of Training by Employers," Economic Journal, Royal Economic Society, vol. 104(424), pages 556-70, May.
  2. Muehlemann, Samuel & Wolter, Stefan C., 2007. "Regional effects on employer-provided training: Evidence fromapprenticeship training in Switzerland," Zeitschrift für ArbeitsmarktForschung - Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 40(2/3), pages 135-147.
  3. 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.
  4. 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.
  5. Harhoff, Dietmar & Kane, Thomas J, 1996. "Is the German Apprenticeship System a Panacea for the US Labour Market?," CEPR Discussion Papers 1311, C.E.P.R. Discussion Papers.
  6. Wolter, Stefan C. & Mühlemann, Samuel & Schweri, Jürg, 2003. "Why Some Firms Train Apprentices and Many Others Do Not," IZA Discussion Papers 916, Institute for the Study of Labor (IZA).
  7. Acemoglu, D. & Pischki, J.S., 1996. "Why Do Firms Train? Theory and Evidence," Working papers 96-7, Massachusetts Institute of Technology (MIT), Department of Economics.
  8. Acemoglu, D. & Pischke, J.S., 1997. "The Structure of Wages and Investment in General Training," Working papers 97-24, Massachusetts Institute of Technology (MIT), Department of Economics.
  9. Samuel Muehlemann & Juerg Schweri & Rainer Winkelmann & Stefan C. Wolter, 2005. "A Structural Model of Demand for Apprentices," SOI - Working Papers 0504, Socioeconomic Institute - University of Zurich.
  10. Rob Euwals & Rainer Winkelmann, 2003. "Training Intensity and First Labor Market Outcomes of Apprenticeship Graduates," SOI - Working Papers 0308, Socioeconomic Institute - University of Zurich.
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