A Study on the Effect of Job Training on Non-regular Employees

Based on a microeconometric evaluation, this paper investigates the handling of the issue of training effects on non-regular employees. In addition, it also examines the effects of job training which non-regular employees take part in while working in their workplace or company. The paper also introduces a nonparametric matching and continuous treatment effect method to analyze the total effects of job training on changes in wages and employees’ status within the Korea labor market. In particular, the study applies multiple treatment effect methods to measure the effect of various job training types for non-regular employees in companies that have introduced training vouchers and supporting funds for participants and Job-ability Upgrading & Maturing Program(JUMP). We used raw data received from the economically active population survey (EAPS) conducted by Statistics Korea to analyze the total effects, and survey data pertaining to a total 3,000 persons-1,000 per group respectively-selected based on HRD.net operated by KEIS to examine the effect by job training type. We concluded that job training is a more important factor in explaining changes in the employment status of non-regular employees within the Korean labor market than in terms of wages. Non-regular employees move to regular status in the multiple treatment setting shows that JUMP treatment groups were more affected than other comparison groups. Furthermore, we could not uncover any evidence of differences between types of training as far as variations in job satisfaction post-job training were concerned. Our findings imply that job training for non-regular employees can be a good strategy to improve or change their employment status. The government should develop or tailor training programs designed to raise the effectiveness and efficiency of public-sponsored training programs for employees. It is our hope that the outcome of the present paper will constitute to a step toward a richer and more inclusive understanding of the reality of training of non-regular employees