Do employees with Flexible Contracts receive less Training?

Abstract

For the growing group of flexible workers, further investments in their human capital are even more important than for employees with permanent contracts, because the labour market position of flexible workers is continuously at risk. In this paper, we analyse the participation rate of flexible employees in company training. We will simultaneously estimate the determinants of receiving continuing vocational training and the duration of this training in a sample selection model. The estimation results indicate that flexible employees receive about half as much training with the current employer than permanent employees. A Blinder-like decomposition analysis shows that 40% of this difference is due to the fact that employers are more willing to invest in the human capital of permanent employees. However, flexible workers who do get training participate in training of at least the same duration as that of the permanent employees.education, training and the labour market;