%0 Report
        %A Gielen, Anne C.
        %T Performance Pay, Training and Labor Mobility
        %D 2007
        %8 2007 Jul
        %I Institute of Labor Economics (IZA)
        %C Bonn
        %7 IZA Discussion Paper
        %N 2932
        %U https://www.iza.org/publications/dp2932
        %X Market imperfections may cause firms and workers to under-invest in specific training. This paper shows that profit sharing may be a suitable instrument to enhance specific training investments, either by enhancing wage flexibility or by increasing the returns to training. As a result, profit sharing not only increases productivity by means of an effort effect, but also by increased training investments. Furthermore, the results suggest that older workers' employability can be improved if a profit-related remuneration is paid.
        %K profit-related pay
%K training
%K labor productivity
%K labor mobility