The impact of training on labour productivity in the European utilities sector: An empirical analysis

Abstract

This paper investigates the effects of firm training on productivity growth among sustainable utility companies in Europe during the Great Recession (2008–2010). The empirical analysis uses an ad-hoc dataset based on the merge between financial and sustainability reporting. Evidence indicates the existence of positive effects of both training flow and training stock on average labour productivity, showing the crucial role of firm-sponsored human capital development in the utilities sector. Results and implications offer useful insights for a faster recovery of the utilities sector after severe recessions and in presence of major techno-organizational changes through countercyclical training investments.