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Can German vocational training combat skill shortages in developing countries? Evidence from dual training system in the Philippines

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This paper estimates the impacts of the Philippine Dual Training System (DTS) on labor market outcomes using a recent survey that tracked graduates from DTS and non-DTS programs provided by vocational training institutes. DTS programs partner with local employers to combine on-the-job training (OJT)...

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Main Authors: Yamauchi, Futoshi, Kim, Taejong, Lee, Kye Woo, Tiongco, Marites
Format: Artículo preliminar
Language:Inglés
Published: International Food Policy Research Institute 2018
Subjects:
human capital
labour market
economic development
investment
training
capacity development
vocational training
training programmes
Online Access:https://hdl.handle.net/10568/146533
Summary:This paper estimates the impacts of the Philippine Dual Training System (DTS) on labor market outcomes using a recent survey that tracked graduates from DTS and non-DTS programs provided by vocational training institutes. DTS programs partner with local employers to combine on-the-job training (OJT) with the conventional school- or center-based instruction, while non-DTS programs consist solely of the latter. The estimation results in Fuzzy Regression Discontinuity Design show a significantly positive impact on the most-recent monthly earnings. The impact significantly increases with the OJT intensity, measured by the number of hours of in-company OJT. The above results imply that the role played by OJT is essential to support higher earnings for DTS graduates.

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