TY  - JOUR
AU  - Bartel,Ann P.
TI  - Training, Wage Growth and Job Performance: Evidence From a Company Database
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 4027
PY  - 1995
Y2  - August 1995
UR  - http://www.nber.org/papers/w4027
L1  - http://www.nber.org/papers/w4027.pdf
N1  - Author contact info:
Ann P. Bartel
Graduate School of Business
Columbia University
3022 Broadway, 623 Uris Hall
New York, NY  10027
Tel: 212/854-4419
Fax: (212) 316-9219
E-Mail: apb2@columbia.edu
AB  - This paper studies the relationships between on-the-job training, wages and job performance by using the personnel records of a large manufacturing firm. Utilizing a company database avoids the biases that generally result when individuals are unable to accurately recall the amount of training they received and/or when definitions of training vary across diverse firms. The main findings presented in this paper are: (1) Controlling for information on days spent in formal training programs reduces the returns to tenure by 18%; (2) First-difference models of wage growth which eliminate heterogeneity bias in wage levels show that training has a positive and significant effect on wage growth; (3) Fixed-effects models that control for heterogeneity bias in wage growth still find a positive and significant effect of training on wage growth; and (4) Training leads to an improvement in job performance, as measured by performance rating scores.
ER  -