If there are turnover costs,for specific training

Question

Quizplus · Accepted Answer

If there are turnover costs associated with specific training, it means that the firm incurs costs every time an employee who has received that training quits their job. To avoid such costs, the firm would want to incentivize employees to stay on by offering them a higher wage, which will in turn increase the cost of labor for the firm. Therefore, the wage will be higher in order to avoid turnover of the workers.

If There Are Turnover Costs,for Specific Training