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Wages and On-the-Job Training in Tunisia

Muller, Christophe; Nordman, Christophe Jalil (2017), Wages and On-the-Job Training in Tunisia, Middle East Development Journal, 9, 2, p. 294-318. 10.1080/17938120.2017.1366771

Type
Article accepté pour publication ou publié
Date
2017
Journal name
Middle East Development Journal
Volume
9
Number
2
Publisher
Taylor & Francis
Pages
294-318
Publication identifier
10.1080/17938120.2017.1366771
Metadata
Show full item record
Author(s)
Muller, Christophe
Groupement de Recherche en Économie Quantitative d'Aix-Marseille [GREQAM]
Nordman, Christophe Jalil cc
Développement, institutions et analyses de long terme [DIAL]
Dynamique de l'information génétique : bases fondamentales et cancer [DIG CANCER]
Laboratoire d'Economie de Dauphine [LEDa]
Abstract (EN)
Training costs may hamper intra-firm human capital accumulation. As a consequence, firms may be tempted to have workers pay for their on-the-job training (OJT). In this paper, we analyse the links of OJT and worker remuneration in the suburb of Tunis, using case study data for eight firms. We find that the duration of former OJT negatively influences starting wages, while there is no anticipated effect of future training on wages at the firm entry. In contrast, current wages are positively affected by former OJT but negatively affected by ongoing OJT. These results provide very rare empirical support in Less Developed Countries (LDCs) for classical human capital theories and cost sharing theories applied to OJT.
Subjects / Keywords
wages; on-the-job training; Tunisia
JEL
J24 - Human Capital; Skills; Occupational Choice; Labor Productivity
J31 - Wage Level and Structure; Wage Differentials
O12 - Microeconomic Analyses of Economic Development

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