For starters, firms often give new workers valuable on-the-job training. As a result, signaling can indirectly boost your productivity. Step 1: Signal in school. Step 2: Land a good job. Step 3: Learn useful job skills on the job. Step 4: Persistently profit. If your signal modestly overstates your skill, your employer may soon wish they’d hired someone else. By the time they spot their mistake, however, your new marketable skills permanently justify higher pay.
