The first section of this article discusses why training and skill formation are considered to be central to economic competitiveness and company performance and the ways in which business interests may be involved in social institutions and policy-making in this arena. The second section explores the political economy of training and skill formation, identifying the strengths and limitations of different approaches and typologies. The third section extends the analysis of business and social institutions by examining the emerging supranational level for economic and employment policy. Here,...

The first section of this article discusses why training and skill formation are considered to be central to economic competitiveness and company performance and the ways in which business interests may be involved in social institutions and policy-making in this arena. The second section explores the political economy of training and skill formation, identifying the strengths and limitations of different approaches and typologies. The third section extends the analysis of business and social institutions by examining the emerging supranational level for economic and employment policy. Here, the principal focus is on the European Union as a regional bloc in which training policy has played a significant role as an arena of social dialogue between organized interest groups at the European level. The fourth section examines the training and human resource management practices of multinational companies, exploring the extent to which they intersect with national institutional arenas in which business interest groups operate. The conclusion assesses continuity and change in the relationships between the state and business interests in the field of vocational training.