Institutions of skill formation in Turkey

Abstract

This chapter examines the national institutions in Turkey that influence the Turkish auto parts suppliers’ skilling strategies. It builds on the discussions in the literature on comparative capitalisms and particularly the comparative political economy of skill formation. The chapter provides a description of institutions in Turkey, which define the training practices available to firms and that shape the supply of, demand for, and mobility of workers with different skills. The chapter explains the complementarity between these institutions and the role of state involvement in them. The chapter shows that there are four main institutions that have become the macro-level complementarities of the skill system in Turkey: the vocational education and training system, labour regulations and wage institutions, firms’ location and public transportation facilities, and the compulsory military service for men. Furthermore, the chapter argues that the high state involvement in Turkey is a key factor shaping these four macro-level institutions.