Abstract

This article investigates the role of ‘voice’, technology, innovation (of products, services, or processes) and labor shortages in the training participation of low skilled workers in German companies. By building on the key findings of previous research, hypotheses on drivers of training participation are derived from filter theory and the concept of social embeddedness. Regression and cluster analysis based on the German IAB Establishment Panel (wave 2011) show evidence that training participation is shaped by ‘voice’‐related institutional company characteristics such as employee representation or formalized HR practices. Both characteristics often cluster together. Regression analyses confirm that companies in this cluster train a higher share of their low‐skilled workforce. The share is particularly high when companies in this cluster face labor shortages. Apart from that, advanced technology and recent innovations at the company level are not related to higher rates of training participation among low skilled workers.

Highlights

  • In all European societies, low skilled workers face particular labor market risks in terms of unemployment, bad working conditions, or low pay (Eurofound, 2009)

  • As employers are the main providers of continuing training in Germany, an important question is how training participation of low skilled workers is influenced by the organizational context

  • This study contributes to issues of social exclusion and inequality in coordinated market economies by exploring the role of institutional arrangements in continuing training participation of low-skilled workers

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Summary

Introduction

In all European societies, low skilled workers face particular labor market risks in terms of unemployment, bad working conditions, or low pay (Eurofound, 2009). Drivers of training participation in low skilled jobs 245 by improving digital skills, labor market opportunities and career prospects for this group of workers The crucial question of this paper is how low skilled workers can be better integrated into employer-provided continuing training in Germany. Similar to many European countries (Abramovsky et al, 2011; Martin & Rüber, 2016; Ramos & Harris, 2012) training participation of low skilled workers is low in Germany. As employers are the main providers of continuing training in Germany, an important question is how training participation of low skilled workers is influenced by the organizational context

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