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Wages are a composite measure of the return to education and the return to work experiences. Work experiences are often defined as workers who gain experiences on-the-job. However, work experiences can also be part of a study curriculum in vocational secondary education. We estimate the return to in-school work experiences by comparing the Heckman selection model and the Rubin matching model. First, we show that students with in-school work experiences earn +16% more in the first years of labour than their theoretical peers. Second, we indicate that both empirical models do not appropriately deal with censored observations in the presence of an informal market. Including information on a set of censored observations increases the effect to +22%.

A meta-analysis is used to study the average wage effects of on-the-job training. This study shows that the average reported wage effect of on-the-job training, corrected for publication bias, is 2.6 per cent per course. The analyses reveal a substantial heterogeneity between training courses, while wage effects reported in studies based on instrumental variables and panel estimators are substantially lower than estimates based on techniques that do not correct for selectivity issues. Appropriate methodology and the quality of the data turn out to be crucial to determine the wage returns.