Skip to Main content Skip to Navigation
Preprints, Working Papers, ...

Who should pay the bill for employee upskilling?

Abstract : Upskilling is an investment in human capital that allows a worker to successfully undertake a new task or new project within his/her existing job. It involves costly effort on behalf of the employee to acquire new skills and new knowledge. In this context, one essential question for managers is whether to invest in workers' upskilling or let them pay for the investment in human capital and compensate them accordingly. Using traditional contract theory analysis, we show that the latter choice is not cost-neutral since the most flexible workers benefit of an informational rent. A profit comparison shows that it might be in the interest of a company to invest in worker upskilling, rather than to rely on worker self-training
Document type :
Preprints, Working Papers, ...
Complete list of metadata
Contributor : Michel Demoura Connect in order to contact the contributor
Submitted on : Monday, January 18, 2021 - 5:07:52 PM
Last modification on : Tuesday, May 18, 2021 - 4:59:57 PM


WP 2008 v2.pdf
Files produced by the author(s)


  • HAL Id : hal-02977891, version 2


Radu Vranceanu, Angela Sutan. Who should pay the bill for employee upskilling?. 2020. ⟨hal-02977891v2⟩



Record views


Files downloads