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So similar and yet so different: A comparative analysis of a firm's net costs and post-apprenticeship training benefits in Austria and Switzerland

Luca Moretti, Martin Mayerl, Samuel Muehlemann (), Peter Schloegl and Stefan Wolter
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Martin Mayerl: Austrian Institute for Research on Vocational Training (OeIBF), Vienna
Peter Schloegl: Alpen-Adria-Universitaet Klagenfurt & Austrian Institute for Research on Vocational Training (OeIBF), Vienna

No 137, Economics of Education Working Paper Series from University of Zurich, Department of Business Administration (IBW)

Abstract: The authors compare a firm's net cost and post-apprenticeship benefits of providing apprenticeship training in Austria and Switzerland: two countries with many similarities but some critical institutional differences. On average, a Swiss firm generates an annual net benefit of Euro 3,400 from training an apprentice, whereas a firm in Austria incurs net costs of Euro 4,200. The impetus for this difference is largely a higher relative apprentice pay in Austria. However, compared with Swiss firms, Austrian firms generate a higher post-training return by retaining a higher share of apprentices and savings on future hiring costs.

Keywords: Apprenticeship training; cost-benefit analysis; initial VET; hiring costs (search for similar items in EconPapers)
JEL-codes: J24 J31 J44 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eur and nep-lma
Date: 2017-10, Revised 2018-04
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