Economic change and continuous vocational training in the work history: a longitudinal multilevel analysis of the employees\u2019 participation in further training and the effects on their occupational careers in Germany, 1970\u20132008

Rolf Becker

doi:10.1186/s40461-019-0079-x

Abstract

Human capital theory and the life-course perspective are used to investigate how economic modernisation, as well as developments in the labour market after the West German “economic miracle”, impacted employers’ supply of further education and training on the job, and employees’ increased participation in these arrangements. Additionally—controlling for the aforementioned structural change and economic cycles—it is analysed whether participation in further training minimises employees’ risk of dismissal and heightens their commitment to a company. The hypotheses are tested using longitudinal data and time series—allowing the analysis of employees’ participation in further education and training on the job, and the careers of West Germans born between 1956 and 1978 for the 1972–2008 periods—by procedures of event history analysis and episode splitting in a dynamic multi-level design. Systematic period and cohort effects of structural change in the economy and labour markets on companies’ supply of, and employees’ participation in, continued vocational training on the job have been revealed. Participation in further training reduces employees’ risk of dismissal, as well as their mobility between companies. Participants’ adaptation to structural change via job-related further training is correlated with increased employment security, professional flexibility, and commitment to the employer.

Highlights

Since the 1970s German employment research has told the story that investment in further training on the job is essential to ensure the firms’ economic competitive ability and to secure the employees’ occupational qualifications (Becker 2018; Solga and Becker2012: 13–14; Buttler 1994; Buttler and Tessaring 1993; Hartung and Nuthmann 1975: 12; Becker Empirical Res Voc Ed Train (2019) 11:4Sass et al 1974)
Summary and conclusion In the research on labour markets and employment, it has often been assumed that economic modernisation, in terms of technological, industrial and professional change, the cyclical developments of the labour market situation, and the sinking value of formal initial training force employees to perpetually engage in professional development and, in further training on the job (Mayer 2000; Acemoglu 2002; Goldin and Katz 2009; Becker and Blossfeld 2017)
The aim of the present sociological contribution was to subject these assumptions to empirical testing from the dynamic perspective of life-course research and by a multi-level analysis of life-cycle, period, and cohort effects of economic modernisation and changing labour market situation

Summary

Introduction

Since the 1970s German employment research has told the story that investment in further training on the job is essential to ensure the firms’ economic competitive ability and to secure the employees’ occupational qualifications (Becker 2018; Solga and Becker2012: 13–14; Buttler 1994; Buttler and Tessaring 1993; Hartung and Nuthmann 1975: 12; Becker Empirical Res Voc Ed Train (2019) 11:4Sass et al 1974).

Results

Conclusion