The effects of wage compression on training: Swedish empirical evidence

Thomas Ericson

No 2004:15, Working Paper Series from IFAU - Institute for Evaluation of Labour Market and Education Policy

Abstract: This paper investigates the relation between workers’ on-the-job training activities and the degree of wage compression in their occupation. With respect to general training – as opposed to firm-specific training – human capital theory implies that the worker initiates and finances the training when there is a negative relationship. A positive relation between general training and wage compression, on the other hand, shows that the employer pays for and benefits from training. The empirical results show that the intensity of general training in Sweden decreases with wage compression. The paper also reveals differences between men and women.

Keywords: Wage compression; training (search for similar items in EconPapers)
JEL-codes: J31 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2004-11-23
New Economics Papers: this item is included in nep-bec
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Published in Applied Economics Letters, 2008, pages 165-169.

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