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This chapter draws on extensive Australian and international literature to describe the effect of participation in formal enterprise-based training on the wages of the employees. Estimates of the size of wage effects vary substantially among studies but average around eight or nine per cent. Few studies calculate the rates of return associated with these wage effects because the necessary data are usually not available. This study estimates rates of return by making assumptions about key variables. The process of producing these estimates provides an opportunity to discuss several influences on the rates of return to training, including the hours of training, the division of the benefits and costs of training between employers and employees, depreciation in the value of training, the rate at which returns diminish, whether returns vary among categories of workers, and the adequacy of training provision.