The labour market position of the lower skilled is increasingly under pressure in most high income countries. Their bargaining position is declining under the twin pressures of globalisation and technological change; and they are at risk of losing access to better positions as firms’ pay and...

How skills acquired in vocational education and training (VET) affect wages and employment is not clear. We develop and estimate a search and matching model for workers with a VET degree. Workers differ in interpersonal, cognitive and manual skills, while firms require and value different...

The paper studies human capital accumulation over workers' careers in an on the job search setting with heterogenous firms. In renegotiation proof employment con- tracts, more productive firms provide more training. Both general and specific training induce higher wages within jobs, and with...