Determinants of Further Training: Evidence for Germany

Based on a German representative sample of employees we explore the relevance and development of further training in private sector firms. We focus on formal training and explore possible individual and job-based determinants of its incidence. We also show changes over time during a 20 year observation period from 1989 to 2008. Most hypotheses are supported by the empirical evidence. Job status and firm size are the most relevant characteristics for training participation. Furthermore, our analyses reveal a general trend of rising training rates from 1989 to 2008 indicating an increased importance in the German labor market.further training, GSOEP, human capital, panel data

Evaluation of Further Training Programmes with an Optimal Matching Algorithm

This study evaluates the effects of further training on the individual unemployment duration of different groups of persons representing individual characteristics and some aspects of the economic environment. The Micro Census Saxony enables us to include additional information about a person's employment history to eliminate the bias resulting from unobservable characteristics and to avoid Ashenfelter's Dip. In order to solve the sample selection problem we employ an optimal full matching assignment, the Hungarian algorithm. The impact of participation in further training is evaluated by comparing the unemployment duration between participants and non-participants using the Kaplan-Meier-estimator. Overall, we find empirical evidence that participation in further training programmes results in even longer unemployment duration.evaluation, further training, optimal full matching, duration analysis

Why Do Low-Educated Workers Invest Less in Further Training?

Several studies document the fact that low-educated workers participate less often in further training than high-educated workers. The economic literature suggests that there is no significant difference in employer willingness to train low-educated workers, which leaves the question of why the low educated invest less in training unanswered. This paper investigates two possible explanations: Low-educated workers invest less in training because of 1) the lower economic returns to these investments or 2) their lower willingness to participate in training. Controlling for unobserved heterogeneity that can affect the probability of enrolling into training, we find that the economic returns to training for low-educated workers are positive and not significantly different from those for high-educated workers. However, low-educated workers are significantly less willing to participate in training. This lesser willingness to participate in training is driven by economic preferences (future orientation, preference for leisure), as well as personality traits (locus of control, exam anxiety, and openness to experience).returns to training, preferences, non-cognitive skills

Effects of workplace representation on firm-provided further training in Germany

"Unions are an important indicator of various measures of firm performance in Anglo-Saxon countries. The same holds for the German analogue of workplace unionism - the works council. Using the IAB Establishment Panel I examine the impact of works councils and shop-floor participation on further training and training intensity. As some studies suggest that the impact of workplace representation varies with firm size, I also test for differences between large and small/medium-sized establishments. Pooled logit and count data models are employed to analyze firms' further training activity and training intensity. Because the treatment variables may suffer from endogeneity I also adopt linear and nonlinear instrumental variables techniques. The analysis reveals a positive impact of works councils on firm-provided further training, but provides slightly weaker evidence of firm-size differentials of workplace representation." (Author's abstract, IAB-Doku) ((en))betriebliche Weiterbildung, Interessenvertretung, IAB-Betriebspanel, Betriebsrat - Auswirkungen

WeLL – Unique Linked Employer-Employee Data on Further Training in Germany

This paper explains the main features of an innovative linked employer-employee data set with a particular focus on continuous training in Germany, calledWeLL. The data set comprises establishment data that can be linked to longitudinal information on the associated employees. The employer survey and the first wave of the employee survey were conducted in 2007. Both surveys focus on the collection of training information together with a variety of employee and employer background characteristics. In addition, it is possible to link these data with other survey and administrative data for a large number of respondents.Employee training, establishment data, linked employer-employee data

A double hurdle approach for company further training behaviour and an empirical test of this using data from the IAB establishment panel

"In this paper the further training behaviour of firms is explained using a double hurdle approach: the first hurdle is that the further training of employees is worthwhile for the firms in general, the second hurdle is that demand for further training arises. The empirical test is conducted using data from the IAB establishment panel: by combining the balanced panel for three waves into a cross-section it is possible to determine the effect of extending the observation period for the provision of further training (probit estimates) and the intensity of further training (quasi-likelihood estimates). The results confirm the double hurdle approach: variables for capital intensity, innovation orientation and the employee structure have a significant impact on whether further training is generally worthwhile for the firms, and investment in data processing and in the field of communication as well as organisational changes are significant motivations for providing further training." (Author's abstract, IAB-Doku) ((en)) Additional Information Kurzfassung (deutsch) Executive summary (English)Weiterbildungsverhalten - Determinanten, betriebliche Weiterbildung, Betrieb, Qualifikationsbedarf, Weiterbildungsbedarf, Bildungsertrag, Kapitalintensität, Innovation, Beschäftigtenstruktur, technischer Wandel, informationstechnische Bildung, organisatorischer Wandel, Bildungsinvestitionen, Bildungsökonomie, IAB-Betriebspanel

Further training for the unemployed : what can we learn about dropouts from administrative data?

"One out of five participants of further training programs in Germany drops out of the program. Studies on the employment effects of these measures usually consider the start of a program as the treatment and do not deal with the question if the program has been completed. By contrast, this paper focuses on the distinction between dropping out and completing a program. It first discusses how to identify dropouts in the German Integrated Employment Biographies Sample, which is possible after having corrected measurement error in the registered end of participation. Second, the occurrence of dropouts is studied - how often and when do people drop out and what makes a dropout more likely. Third, the employment prospects of dropouts are analyzed descriptively." (Author's abstract, IAB-Doku) ((en))Integrierte Erwerbsbiografien, Trainingsmaßnahme, arbeitsmarktpolitische Maßnahme, Wirkungsforschung, Abbrecher, Absolventen, Beschäftigungseffekte

Current trends in the of demand-led financing of further training in Europe: a synopsis

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Workplace Training and Labour Market Institutions in Europe

Arbeitsmarkt, Arbeitsverwaltung, Weiterbildung, Betriebliche Weiterbildung, EU-Staaten, OECD-Staaten, Labour market, Labour administration, Further training, In-house training, EU countries, OECD countries