Productivity effects of enterprise-related training

Abstract

In this paper we use data on individual productivity ratings to analyse the productivity and wage effects of enterprise-related training. The average productivity growth of training is 16%, while the average productivity difference between trained and nontrained workers is 8%. The average wage growth is less than a quarter of the average productivity growth. Further, a sizeable fraction of the workers contributes to the costs of training but receives none of its benefits, while another fraction of the trained workers shares in the benefits of training without having contributed to it.