The Incidence and Intensity of Employer Funded Training: Australian Evidence on the Impact of Flexible Work

17 Pages Posted: 2 Nov 2004

See all articles by Mirko Draca

Mirko Draca

London School of Economics & Political Science (LSE) - Centre for Economic Performance (CEP); Harvard University - Edmond J. Safra Center for Ethics; University of Warwick - Department of Economics

Colin P. Green

Department of Economics

Abstract

The interaction between the growth of flexible forms of employment and employer funded training is important for understanding labour market performance. In particular, the idea of a trade-off has been advanced to describe potential market failures in the employment of flexible workers. This study finds that evidence of a trade-off is apparent in both the incidence and intensity of employer funded training. Flexible workers receive training that is 50-80% less intense than the workforce average. Casual workers - especially males - suffer more acutely from the trade-off. This suggests that flexible production externalities may seriously reduce human capital formation in the workforce.

Suggested Citation

Draca, Mirko and Green, Colin P., The Incidence and Intensity of Employer Funded Training: Australian Evidence on the Impact of Flexible Work. Available at SSRN: https://ssrn.com/abstract=610475

Mirko Draca (Contact Author)

London School of Economics & Political Science (LSE) - Centre for Economic Performance (CEP) ( email )

Houghton Street
London WC2A 2AE
United Kingdom
+20 7955 7010 (Phone)

Harvard University - Edmond J. Safra Center for Ethics ( email )

124 Mount Auburn Street
Suite 520N
Cambridge, MA 02138
United States

University of Warwick - Department of Economics ( email )

Coventry CV4 7AL
United Kingdom

Colin P. Green

Department of Economics ( email )

Høgskoleringen
Trondheim NO-7491, 7491
Norway

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