Training in Industry

Abstract

Examining the conceptual basis under which training occurs in industry involves the consideration of who gains from such training and who pays, as well as the conditions that ensure an optimal quantity and structure of training. The analysis of these factors then provides a rationale (or several rationales) for social intervention in the occupational training process as provided by private sector firms. This examination also attempts to quantify the nature and extent of training in industry and the level and distribution of the costs of such training. The following conclusions can be anticipated: • There are a variety of conditions under which it is socially justified for government to influence the extent and nature of occupational training in industry. • The existing evidence does not tell us and is not likely to tell us in the near future the optimal nature or extent of social intervention in the process of occupational training in the private sector of industry. • Even the nature, level, and composition of training in private industry, as well as its costs, are not well documented or clearly understood. To suggest that the relevant descriptive data, much less data that would allow careful structural analysis, are fragmentary is a major understatement. But, of course, an appropriate intervention strategy ultimately must be based on the evidence of sound information.