Abstract
Several studies have shown that employees with temporary contracts have a lower
training participation than those who have a contract of indefinite duration. There
is however no empirical literature on the difference in informal learning on-the-job
between permanent and temporary workers. In this paper, we analyse this difference across twenty OECD countries using unique data from the recent PIAAC survey. Using an instrumented control function model with endogenous switching, we find that workers in temporary jobs engage in informal learning more intensively than their counterparts in permanent employment, although the former are, indeed, less likely to participate in formal training activities. In addition, we find evidence for complementarity between training and informal learning for both temporary and permanent employees. Our findings then suggest that temporary employment need not be dead-end jobs. Instead, temporary jobs with high learning content could be a stepping stone towards permanent employment. However, our results also suggest that labour market segmentation in OECD countries actually occurs within temporary employment due to the distinction between jobs with low and high learning opportunities.
training participation than those who have a contract of indefinite duration. There
is however no empirical literature on the difference in informal learning on-the-job
between permanent and temporary workers. In this paper, we analyse this difference across twenty OECD countries using unique data from the recent PIAAC survey. Using an instrumented control function model with endogenous switching, we find that workers in temporary jobs engage in informal learning more intensively than their counterparts in permanent employment, although the former are, indeed, less likely to participate in formal training activities. In addition, we find evidence for complementarity between training and informal learning for both temporary and permanent employees. Our findings then suggest that temporary employment need not be dead-end jobs. Instead, temporary jobs with high learning content could be a stepping stone towards permanent employment. However, our results also suggest that labour market segmentation in OECD countries actually occurs within temporary employment due to the distinction between jobs with low and high learning opportunities.
Original language | English |
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Place of Publication | Maastricht |
Publisher | ROA |
Number of pages | 43 |
DOIs | |
Publication status | Published - 1 Jan 2015 |
Publication series
Series | ROA Research Memoranda |
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Number | 008 |