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Employer-provided training is an important determinant of economic outcomes, yet our understanding of its extent and distribution is well out of date—with the most recent national survey being from 2008. This article updates our understanding of employer-provided training through a 2020 nationally representative survey of 3,648 working civilian adults between the ages of 24 and 64. Results show that while employer-provided training is reasonably extensive, considerable disparities occur along the lines of race, ethnicity, and educational attainment. Additionally, the author contributes to the literature by making clear distinctions among types of employment—standard, contract (those employed by a contract company but working onsite at another firm), and freelancer (those with no employer per se). Contract workers receive considerably less employer training than do employees who work under standard arrangements. Findings are robust to a range of job skill measures as well as skill specificity. The author also examines the relationship between employer-provided training and whether people seek out training on their own and shows that the inequalities in access to employer-provided training are accentuated with self-directed training.
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Contract Employment: Measurement and Implications for Employer–Employee Relationships
This article utilizes a new nationally representative survey, executed in January 2020, that measures non-standard work. The author estimates the incidence of contract company employment and freelancing and describes who goes into non-standard employment. He then studies earnings and access to employer-provided training among contract company employees—the largest and most mis-measured group of non-standard workers. Training is important because it affects wage growth and career trajectories and also gives insight into the evolving character of employment relationships. Findings indicate that contract company employees face an earnings penalty but that considerable heterogeneity occurs within this category. The analysis of multiple forms of formal training finds that contract company employees receive less training than do standard employees even after multiple controls. Informal training is more textured due to the nature of social interactions inherent in its availability. Throughout the analysis, racial and ethnic disparities are apparent.
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- Award ID(s):
- 2026444
- PAR ID:
- 10393054
- Date Published:
- Journal Name:
- ILR Review
- ISSN:
- 0019-7939
- Page Range / eLocation ID:
- 001979392211325
- Format(s):
- Medium: X
- Sponsoring Org:
- National Science Foundation
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- Free Publicly Accessible Full Text
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Accepted Manuscript1.0
- Journal Article:
- https://doi.org/10.1177/00197939221132530
