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Informing Employees in Small and Medium Sized Firms about Training: Results of a Randomized Field Experiment

Author

Listed:
  • van den Berg, Gerard J.

    (University of Groningen)

  • Dauth, Christine

    (Institute for Employment Research (IAB), Nuremberg)

  • Homrighausen, Pia

    (Federal Office for Migration and Refugees (BAMF))

  • Stephan, Gesine

    (Institute for Employment Research (IAB), Nuremberg)

Abstract
We analyze a German labor market program that subsidizes skill-upgrading occupational training for workers employed in small and medium sized enterprises. This WeGebAU program reimburses training costs but take-up has been low. In an experimental setup, we mailed 10,000 brochures to potentially eligible workers, informing them about the importance of skill-upgrading occupational training in general and about WeGebAU in particular. Using combined survey and register data, we analyze the impact of receiving the brochure on workers' awareness of the program, on take-up of WeGebAU and other training, and on job characteristics. The survey data reveal that the brochure more than doubled workers' awareness of the program. We do not find effects on WeGebAU program take-up or short-run labor market outcomes in the register data. However, the information treatment positively affected participation in other (unsubsidized) training among employees under 45 years.

Suggested Citation

  • van den Berg, Gerard J. & Dauth, Christine & Homrighausen, Pia & Stephan, Gesine, 2018. "Informing Employees in Small and Medium Sized Firms about Training: Results of a Randomized Field Experiment," IZA Discussion Papers 11963, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp11963
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Teresa Backhaus, 2022. "Training in Late Careers - A Structural Approach," CRC TR 224 Discussion Paper Series crctr224_2022_382, University of Bonn and University of Mannheim, Germany.
    2. Christine Dauth & Julia Lang, 2024. "Continuing vocational training in times of economic uncertainty: an event-study analysis in real time," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 58(1), pages 1-23, December.
    3. Brunello, Giorgio & Wruuck, Patricia, 2020. "Employer provided training in Europe: Determinants and obstacles," EIB Working Papers 2020/03, European Investment Bank (EIB).
    4. Wolff, Richard & Struck, Olaf & Osiander, Christopher & Senghaas, Monika & Stephan, Gesine, 2022. "Justice perceptions of occupational training subsidies: findings from a factorial survey," Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 56, pages 1-6.
    5. Cairo, Sofie & Mahlstedt, Robert, 2023. "The disparate effects of information provision: A field experiment on the work incentives of social welfare," Journal of Public Economics, Elsevier, vol. 226(C).
    6. Homrighausen, Pia & Lang, Julia, 2019. "Do informational nudges alter firms’ hiring behavior of older workers?," VfS Annual Conference 2019 (Leipzig): 30 Years after the Fall of the Berlin Wall - Democracy and Market Economy 203481, Verein für Socialpolitik / German Economic Association.

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    More about this item

    Keywords

    information treatment; wages; skills; employment; randomized controlled trial;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings

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