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Profit sharing for increased training investments

Gielen,A. C.
Abstract
This article investigates whether paying a profit-related wage stimulates training investments. The results point to increased worker effort and wage flexibility as two channels through which profit sharing enhances investments in training. While both effects are found for young workers, for older workers, profit sharing mainly affects training investments through greater worker effort. The results suggest that profit sharing can be especially useful for stimulating training among older workers, a growing group in the labour force with a relatively weak labour market position due to a lack of training.
Description
Appeared earlier as CentER DP 2007-048 (rt)
Date
2011
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Tilburg University Research Output Collection
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Keywords
SDG 8 - Decent Work and Economic Growth
Citation
Gielen, A C 2011, 'Profit sharing for increased training investments', British Journal of Industrial Relations, vol. 49, no. 4, pp. 643-665. https://doi.org/10.1111/j.1467-8543.2010.00836.x
URI
https://hdl.handle.net/20.500.14602/53793
License
info:eu-repo/semantics/closedAccess
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