ERIC Number: ED315515
Record Type: RIE
Publication Date: 1989-Feb
Utilizing Corporate Survey Data to Study Investments in Employee Training and Development.
Bartel, Ann P.
Very little is known about how companies make decisions about budgets for training. Previous research on employee training has focused on the impact of training on an individual's success in the labor market. Economists have also studied why employers are more likely to train certain persons than others. This study, on the other hand, uses a unique data base on human resource practices in U.S. businesses (the Columbia Business School Human Resources Survey) to study the variation in the training effort across companies. A simple economic model is used to derive several testable hypotheses about the variables that can explain why some businesses invest more in employee training than others. The role of firm characteristics as well as characteristics of the company's industry are studied. The model correctly predicted that large businesses, those with high capital-labor ratios, and those with a high proportion of internal promotions were more likely to have formal training programs. In the case of cost, however, the model performed poorly. Further research is needed to obtain alternative measures of the extent of training and its cost-effectiveness in terms of the organization. (KC)
Publication Type: Reports - Research; Speeches/Meeting Papers
Education Level: N/A
Sponsor: National Assessment of Vocational Education (ED), Washington, DC.
Authoring Institution: Columbia Univ., New York, NY. Inst. on Education and the Economy.
Note: Paper presented at the Conference on Employer-Sponsored Training (Alexandria, VA, December 1-2, 1988). Set in small type. For related documents, see ED 283 020, ED 290 881, ED 299 412, ED 297 150, CE 053 752-774, and CE 053 783-797.