Abstract

We study how advancing digital technology impacts the occupational training and skill acquisition of vocationally trained workers in Germany, and the labor market consequences of updated training for workers. We construct a novel database of legally binding training curricula descriptions and changes therein, spanning the near universe of vocational training in Germany over five decades. To identify the effect of technological change on educational content, vocational curricula are linked to breakthrough technologies embodied in patents with Natural Language Processing techniques. Updates in vocational training are spurred by technological advances, with curriculum content evolving towards less routine intensive tasks, and higher use of digital technology as well as social skills. Using administrative employer-employee data, we show that educational updates help workers adjust to changing skill demands, leading to improved wage outcomes compared to workers with outdated skills.

Authors: Cäcilia Lipowski, Anna Salomons, Ulrich Zierahn-Weilage

Biography

Economics and Data Analytics