Insights Around Training

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Rather, they are required to train broadly and to standards and occupational profiles decided nationally by committees composed of representatives of business, unions, and the state. These systems are also subject to monitoring and oversight to enforce nationally defined standards in terms of both the content and the quality of training. Such systems ensure smooth school-to-work transitions, while also providing trainees with skills that are certified and portable across the labor market.  Many U.S. employers are afraid that if they invest in worker training, other companies will simply poach their talented workers. European countries have avoided this problem through soft obligations to train or financial incentives through which companies receive support for their training efforts. In Europe, such solutions are sometimes established at the industry level through business associations that collect levies from their members. In the U.S., one could envision the state playing a stronger role in establishing and financing collective training funds to support firms that invest in training workers. U.S. companies could also learn from their European peers when it comes to providing input to educational providers about what skills they need. State or local governments could establish forums to bring together educational providers, employers, and trade unions to make sure that local skills demands are met and that trainees acquire the skills they need to secure stable, well-paid employment.

https://news.mit.edu/2020/3-questions-skills-education-and-workforce-training-1029

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