Vocational training during the COVID-19 pandemic: Under what conditions does the public support state subsidies for training firms?

Abstract

This article presents novel empirical findings on whether and under what conditions the public supports apprenticeship subsidies paid to training firms during the COVID-19 pandemic. Drawing on the literature on justice research and deservingness theory, we construct an experimental factorial survey among individuals from German administrative records. The findings suggest selective support targeting the neediest firms, for example, small firms and firms strongly affected economically. Furthermore, we find that perceived deservingness is higher for firms offering apprenticeships in an area of skill shortage. Our results furthermore suggest that personal characteristics impact the assessment of the distribution of state support.