No. 61. ECONOMIC ASPECTS OF ADULT TRAINING (in Greek)

Published in STUDIES

C. Kanellopoulos in cooperation with P. Papaconstantinou. 2005. | ISBN: 960-341-059-4

 

This Study documents the low incidence of vocational training in the country in the recent years, analyses the profile of trainees and estimates the effects of training upon the position of individuals in the labour market. The latter involves their labour force participation, their employment and unemployment, their exit from unemployment and keeping of their jobs, as well as their wages. To this end, the Study utilises individual data derived from the Labour Force Survey and by using appropriate models it analyses whether the completion of certain training programmes, ceteris paribus, improves the individuals’ position in the labour market.

 

Having considered the limitations posed by available data, the Study defines as trainees those attending training programmes at accredited Centres of Vocational training (KEK), at public or private Institutes of Vocational Training (IEK), as well as those enrolled in schools of vocational education and training. The so-defined training excludes short term training courses, while there are no reasons for underestimating the initial training undertaken before the entry into the labour market.

 

The trainees examined in this research represent a quantitatively remarkable yet declining percentage of those enrolled in the overall educational system (formal and informal). However, as a percentage of the population aged 19 – 54 these trainees represent a rather small percentage, i.e. 1.6% of this population in Spring of 1999. This percentage is clearly less than the corresponding EU-15 average level. Such a finding, to a certain extent, could be attributed to the small firm size that prevails in the Greek economy, since training is more frequently undertaken at relatively large and prosperous firms. Moreover, additional reasons related to the structure and the level of development of the Greek economy might have contributed to a labour market balance at less than the optimum training level.

 

Although the percentage of trainees is rather low, it turns out that certain population groups (i.e. those at mature age, less educated, married) display lower probabilities to attend training programmes. This implies that in addition to the expansion of the incidence of training, efforts are required towards the reduction of inequalities in the access of training programmes.

 

By estimating multivariable models, it appears that training affects positively the probability of women to participate in the labour market, while for men, who in any case for social reasons participate, its effect is insignificant.

 

The exit from unemployment to employment increases marginally for those graduated from IEK, whereas having finished a technical or vocational school does not influence this probability significantly. The previous attendance of a training programme with a duration of at least six months does not facilitate the exit from unemployment.

 

Regarding the relation between training and unemployment duration it turns out that the graduates of vocational and technical schools display relatively shorter unemployment duration, while for the rest groups of trained significant differences do not appear between those and those without training regarding the unemployment duration.

 

Out of the examination of the probability of exit from employment to unemployment it appears that the previous training, at least as measured in this study, does not influence this probability or in any case such an influence is marginally negative.

 

Our estimates show that the analysed forms of training affect positively and significantly the net wages of males (from 2.3% - 9.6%). For women the influence of training upon their wages is clearly higher than that of men (with the exception of training programmes lasting more than six months).

 

Summing up, it could be argued that vocational education and training programmes offer rather little to job seeking or keeping, nevertheless as long as the trained are employed the previously acquired training improves significantly their pay.

 

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