Work-related learning and skill development in Europe: Does initial skill mismatch matter?

Research output: Contribution to journalArticleAcademic

Abstract

This paper provides more insight into the assumption of human capital
theory that the productivity of job-related training is driven by the
improvement of workers’ skills. We analyze the extent to which training and informal learning on the job are related to employee skill development
and consider the heterogeneity of this relationship with respect to
workers’ skill mismatch at job entry. Using data from the 2014
European Skills and Jobs Survey, we find as assumed by human capital
theory that employees who participated in training or informal
learning show greater improvement of their skills than those who did not.
The contribution of informal learning to employee skill development
appears to be larger than that of training participation. Nevertheless,
both forms of learning are shown to be complementary. This complementarity
between training and informal learning is related to a significant
additional improvement of workers’ skills. The skill development of workers
who were initially underskilled for their job seems to benefit the most
from both training and informal learning, whereas the skill development of
those who were initially overskilled benefits the least. Work-related learning
investments in the latter group seem to be more functional in offsetting
skill depreciation than in fostering skill accumulation.
Original languageEnglish
Pages (from-to)345-407
JournalResearch in Labor Economics
Volume45
DOIs
Publication statusPublished - 2017

Keywords

  • training
  • informal learning
  • skill development
  • skill mismatch
  • human capital

Cite this

@article{0af8447aa3664a30a1a5219823a3ed24,
title = "Work-related learning and skill development in Europe: Does initial skill mismatch matter?",
abstract = "This paper provides more insight into the assumption of human capitaltheory that the productivity of job-related training is driven by theimprovement of workers’ skills. We analyze the extent to which training and informal learning on the job are related to employee skill developmentand consider the heterogeneity of this relationship with respect toworkers’ skill mismatch at job entry. Using data from the 2014European Skills and Jobs Survey, we find as assumed by human capitaltheory that employees who participated in training or informallearning show greater improvement of their skills than those who did not.The contribution of informal learning to employee skill developmentappears to be larger than that of training participation. Nevertheless,both forms of learning are shown to be complementary. This complementaritybetween training and informal learning is related to a significantadditional improvement of workers’ skills. The skill development of workerswho were initially underskilled for their job seems to benefit the mostfrom both training and informal learning, whereas the skill development ofthose who were initially overskilled benefits the least. Work-related learninginvestments in the latter group seem to be more functional in offsettingskill depreciation than in fostering skill accumulation.",
keywords = "training, informal learning, skill development, skill mismatch, human capital",
author = "{Ferreira Sequeda}, Maria and Annemarie K{\"u}nn-Nelen and {de Grip}, Andries",
note = "no datasource used",
year = "2017",
doi = "10.1108/S0147-912120170000045010",
language = "English",
volume = "45",
pages = "345--407",
journal = "Research in Labor Economics",
issn = "0147-9121",
publisher = "JAI Press",

}

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AU - Ferreira Sequeda, Maria

AU - Künn-Nelen, Annemarie

AU - de Grip, Andries

N1 - no datasource used

PY - 2017

Y1 - 2017

N2 - This paper provides more insight into the assumption of human capitaltheory that the productivity of job-related training is driven by theimprovement of workers’ skills. We analyze the extent to which training and informal learning on the job are related to employee skill developmentand consider the heterogeneity of this relationship with respect toworkers’ skill mismatch at job entry. Using data from the 2014European Skills and Jobs Survey, we find as assumed by human capitaltheory that employees who participated in training or informallearning show greater improvement of their skills than those who did not.The contribution of informal learning to employee skill developmentappears to be larger than that of training participation. Nevertheless,both forms of learning are shown to be complementary. This complementaritybetween training and informal learning is related to a significantadditional improvement of workers’ skills. The skill development of workerswho were initially underskilled for their job seems to benefit the mostfrom both training and informal learning, whereas the skill development ofthose who were initially overskilled benefits the least. Work-related learninginvestments in the latter group seem to be more functional in offsettingskill depreciation than in fostering skill accumulation.

AB - This paper provides more insight into the assumption of human capitaltheory that the productivity of job-related training is driven by theimprovement of workers’ skills. We analyze the extent to which training and informal learning on the job are related to employee skill developmentand consider the heterogeneity of this relationship with respect toworkers’ skill mismatch at job entry. Using data from the 2014European Skills and Jobs Survey, we find as assumed by human capitaltheory that employees who participated in training or informallearning show greater improvement of their skills than those who did not.The contribution of informal learning to employee skill developmentappears to be larger than that of training participation. Nevertheless,both forms of learning are shown to be complementary. This complementaritybetween training and informal learning is related to a significantadditional improvement of workers’ skills. The skill development of workerswho were initially underskilled for their job seems to benefit the mostfrom both training and informal learning, whereas the skill development ofthose who were initially overskilled benefits the least. Work-related learninginvestments in the latter group seem to be more functional in offsettingskill depreciation than in fostering skill accumulation.

KW - training

KW - informal learning

KW - skill development

KW - skill mismatch

KW - human capital

U2 - 10.1108/S0147-912120170000045010

DO - 10.1108/S0147-912120170000045010

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JF - Research in Labor Economics

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