DP4241 On-the-Job Training, Firing Costs and Employment
|Author(s):||Pilar Diaz-Vazquez, Dennis J. Snower|
|Publication Date:||February 2004|
|Keyword(s):||average employment, firing costs, on-the-job training|
|JEL(s):||E24, J23, J24, J32, J64|
|Programme Areas:||Labour Economics|
|Link to this Page:||www.cepr.org/active/publications/discussion_papers/dp.php?dpno=4241|
This Paper explores the influence of on-the-job training on the employment effect of firing costs. It shows that on-the-job training (generating firm specific skills) causes firing costs to have a contractionary influence on average employment (over the booms and recessions of the business cycle).