An evaluation of state‐subsidized, firm‐based training : The workforce development partnership program

State‐subsidized, firm‐based training is an increasingly popular strategy used by state governments in the USA to encourage the economic growth of firms by upgrading the skills of employees. In 1999, 47 of the 50 states provided cash‐assistance totalling $600 million to employers to assist them in upgrading the skills of current or new employees. A comprehensive two‐year evaluation of one of the larger programs in the USA, the State of New Jersey's Workforce Development Partnership Program, concludes that such programs can help businesses remain competitive, contribute to the state's tax base and offer expanded employment opportunities for firm employees. As governments and private companies throughout the world search for the most effective ways to encourage economic growth, state‐subsidized, firm‐based training programs can form an important element of successful strategies for human and economic development.